AMENDED IN SENATE AUGUST 21, 2026
AMENDED IN SENATE AUGUST 4, 2026
AMENDED IN SENATE JUNE 11, 2026
AMENDED IN ASSEMBLY MAY 18, 2026
AMENDED IN ASSEMBLY APRIL 23, 2026
AMENDED IN ASSEMBLY MARCH 19, 2026
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
93
Introduced by Assembly Members Wicks and Wilson
(Coauthors: Assembly Members Harabedian, Irwin, Schultz, and Ward)
February 12, 2026
An act to amend Sections 895, 896, 897, 910, 930, and 942 of, to add Sections 898, 942.2, 945.1, and 945.2 and 945.6 to, to add Chapter 6 (commencing with Section 945.9) to Title 7 of Part 2 of Division 2 of, and to repeal and add Section 926 of, the Civil Code, relating to construction defects.
Vote: majority Appropriation: no Fiscal committee: no Local program: no
LEGISLATIVE COUNSEL’S DIGEST
Existing law specifies the rights and requirements of a claimant or homeowner to bring a civil action for construction defects of a dwelling, including applicable standards for home construction, detailed prelitigation procedures, statute of limitations, burden of proof, and the damages recoverable. Existing law provides that, to the extent the function or component of a structure is not addressed by the applicable standards, a function or component of a structure shall be actionable, if it causes damage. Existing law specifies the rights and prohibitions for a builder to defend against a civil action for construction defects, including a prohibition against a builder obtaining a release or waiver in exchange for repair work mandated by law. Existing law defines various terms for these purposes.
This bill would bill, among other things, would revise the applicable standards with respect to water issues, structural issues, soil issues, and fire protection issues, as prescribed. The bill would, instead, provide that, to the extent the function or component of a structure is not addressed by the applicable standards, a function or component of a structure shall be actionable, if it causes damage to another component part. The bill would specify circumstances that are not a violation of the applicable standards. The bill would modify specific rights, requirements, and prohibitions for the parties to a civil action for construction defects of a dwelling by revising, among other things,
the requirements for a prelitigation notice from the claimant to the builder and the evidence a claimant is required to affirmatively demonstrate to make a claim. The bill would prohibit the recovery of investigative costs, except as specified. The Among other changes, the bill would repeal the prohibition on, and instead and, instead, authorize, a builder to obtain a release or waiver in exchange for certain repair work, as specified. The Commencing July 1, 2027, the
bill would prohibit an insurer from asserting repairs as a voluntary payment or as a payment made without the insurer’s consent, or denying counting the costs associated with those repairs, against a deductible or self-insured retention. The bill would provide that its provisions apply to a structures subject to the provisions governing the rights of a claimant or homeowner to bring a civil action for construction defects of a dwelling, except as provided. The bill would further provide that its provisions are severable. The bill would additionally revise various definitions and define additional terms.
The people of the State of California do enact as follows:
SECTION 1.
Section 895 of the Civil Code is amended to read:
895.
(a) “Structure” means any residential dwelling, other building, or improvement located upon a lot or within a common area.
(c) “Actual moisture barrier” means any component or material, actually installed, that serves to any degree as a barrier against moisture, whether or not intended as a barrier against moisture.
(b) “Moisture barrier” means a discrete building component or material whose primary purpose is preventing water intrusion into the building enclosure. The term does not include components whose primary function is structural, aesthetic, or incidental to moisture management, such as interior or exterior finishes, including but not limited to stucco, cladding, siding materials, roof tiles, roof shingles, or other exterior weather proofing finish elements.
(c) “Unintended water” means water that passes beyond, around, or through a component or
the material the final moisture barrier that is designed to prevent that passage.
(d) “Living space” means the interior of a residence intended for ordinary human occupancy, measured inward from the exposed interior surfaces of the finished walls, floors, and ceilings enclosing that space. Living space includes the airspace and ordinarily accessible interior surfaces of bedrooms, bathrooms, kitchens, living areas, hallways, closets, and similar finished areas. It does not include any wall, floor, ceiling, roof, or foundation assembly; any cavity within such an assembly; or any attic, crawlspace, or other area not intended for ordinary human occupancy.
(e) “Nonhabitable space” means every enclosed portion of a building that is not an interior living space, on the internal side of the final moisture barrier. Nonhabitable space includes walls, floors, ceilings, roof framing, foundations, and their assemblies and cavities; attics; crawlspaces; and other areas not intended for ordinary human occupancy.
(f) “Actionable water intrusion” means either of the following:
(1) Unintended water intrusion into a living space.
(2) Unintended water intrusion beyond the final moisture barrier into a nonhabitable space that causes actual damage. Water that does not pass beyond the final moisture barrier is not actionable.
(g) “Close of escrow” means the date of the close of escrow between the builder and the original homeowner. With respect to claims by an association, as defined in Section 4080, “close of escrow” means the date of substantial completion, as defined in Section 337.15 of the Code of Civil Procedure, or the date the builder relinquishes control over the association’s ability to decide whether to initiate a claim under this title, whichever is later.
(h) “Claimant” or “homeowner” includes the individual owners of single-family homes, individual unit owners of attached dwellings and, in the case of a common interest development, any association as defined in Section 4080.
SEC. 2.
Section 896 of the Civil Code is amended to read:
896.
In any action seeking recovery of damages arising out of, or related to deficiencies in, the residential construction, design, specifications, surveying, planning, supervision, testing, or observation of construction, a builder, and to the extent set forth in Chapter 4 (commencing with Section 910), a general contractor, subcontractor, material supplier, individual product manufacturer, or design professional, shall, except as specifically set forth in this title, be liable for, and the claimant’s claims or causes of action shall be limited to violation of, the following standards, except as specifically set forth in this title. This title applies to original construction intended to be sold as an individual dwelling unit. As to condominium conversions, this title does not apply to or does not supersede any other statutory or common law.
(a) With respect to water issues:
(1) A door shall not allow unintended water to pass beyond, around, or through the door or its designed or actual moisture barriers, if any. any, and cause actionable water intrusion.
(2) Windows, patio doors, doors and deck doors, and their systems
doors shall not allow unintended water to pass beyond, around, or through the window, patio door, or deck door or its designed or actual
moisture barriers, including, without limitation, internal barriers within the systems themselves. For purposes of this paragraph, “systems” include, without limitation, windows, window assemblies, framing, substrate, flashings, and trim, if any. barriers, and cause actionable water intrusion.
(3) Windows, patio doors, deck doors, and their systems moisture barriers
shall not allow excessive condensation to enter the structure and cause damage to another component. For purposes of this paragraph, “systems” include, without limitation, windows, window assemblies, framing, substrate, flashings, and trim, if any.
(4) Roofs, roofing systems, chimney caps, and ventilation components shall not allow
unintended water to enter the structure or to pass beyond, around, or through the designed or actual moisture barriers, including, without limitation, internal barriers located within the systems themselves. For purposes of this paragraph, “systems” include, without limitation, framing, substrate, and sheathing, if any. and cause actionable water intrusion.
(5) Decks, deck systems, balconies, balcony systems, exterior stairs, and stair systems shall not allow unintended water to pass into the adjacent structure. For purposes of this paragraph, “systems” include, without limitation, framing, substrate, flashing, and sheathing, if any.
(6) Decks, deck systems, balconies, balcony systems, exterior stairs, and stair systems shall not allow unintended water to pass within the systems themselves and cause damage to the systems. For purposes of this paragraph, “systems” include, without limitation, framing, substrate, flashing, and sheathing, if any.
(7) Foundation systems and slabs shall not allow water or vapor to enter into the structure so as to cause damage to another building component.
(9)
(8) Hardscape, including paths and patios, irrigation systems, landscaping systems, and drainage systems, that are installed as part of the original construction, shall not be installed in such a way as to cause water or soil erosion to enter into or come in contact with the structure so as to cause damage to another building component.
(9) Stucco, exterior siding, exterior walls, including, without limitation, exterior framing, and other exterior wall finishes and fixtures and the systems of those components and fixtures, including, but not limited to, pot shelves, horizontal surfaces, columns, and plant-ons, shall be installed in such a way so as not to allow unintended water to pass through moisture barriers into the structure or to pass beyond, around, or through the designed or actual moisture barriers of the system, including any internal barriers located within the system itself. For purposes of this paragraph, “systems” include, without limitation, framing, substrate, flashings, trim, wall assemblies, and internal wall cavities, if any.
and cause actionable water intrusion.
(10) Stucco, exterior siding, and exterior walls shall not allow excessive condensation to enter the structure and cause damage to another component. For purposes of this paragraph, “systems” include, without limitation, framing, substrate, flashings, trim, wall assemblies, and internal wall cavities, if any.
(11) Retaining and site walls and their associated drainage systems shall not allow unintended water to pass beyond, around, or through its designed or actual moisture barriers including, without limitation, any internal moisture barriers, so as to cause damage. damage to another component. This standard does not apply to those portions of any wall or drainage system that are designed
intended to have water flow beyond, around, or through them.
(14)
(12) The lines and components of the plumbing system, sewer system, and utility systems shall not leak.
leak so as to cause actionable water intrusion.
(13) Plumbing lines, sewer lines, and utility lines shall not corrode so as to impede the useful life of the systems. cause actionable water intrusion.
(14) Sewer systems shall be installed in such a way as to allow the designated amount of sewage to flow through the system.
(15) Showers, baths, and related waterproofing systems shall not leak so as to allow unintended water into the interior of walls, flooring systems, or the interior of other components. components and cause actionable water intrusion.
(16) The waterproofing system behind or under ceramic tile and tile countertops shall not allow water into the interior of walls, flooring systems, or other components so as to cause damage. damage to another component. Ceramic tile systems shall be designed and installed so as to deflect intended water to the waterproofing system. system and shall not cause damage to another component.
(b) With respect to structural issues:
(1) Foundations, load bearing components, and slabs, shall not contain significant cracks or significant vertical displacement.
displacement so as to cause damage to another building component.
(2) Foundations, load bearing components, and slabs shall not cause the structure, in whole or in part, to be structurally unsafe.
(3) Foundations, load bearing components, and slabs, and underlying soils shall be constructed so as to materially comply with the design criteria set by applicable government building codes, regulations, and ordinances for chemical deterioration or corrosion resistance in effect at the time of original construction.
(4) A structure shall be constructed so as to materially comply with the design criteria for earthquake and wind load resistance, as set forth in the applicable government building codes, regulations, and ordinances in effect at the time of original construction.
(c) With respect to soil issues:
(1) Soils and engineered retaining walls shall not cause, in whole or in part, damage to the structure built upon the soil or engineered retaining wall.
(2) Soils and engineered retaining walls shall not cause, in whole or in part, the structure to be structurally unsafe.
(3) Soils shall not cause, in whole or in part, the land upon which no structure is built to become unusable for the purpose represented at the time of original sale by the(d) With respect to fire protection issues:
(1) A structure shall be constructed so as to materially comply with the design criteria of the applicable government building codes, regulations, and ordinances for fire protection of the occupants in effect at the time of the original construction. The overall construction of the building’s fire protection assemblies and systems, including the presence or absence of fire sprinklers, shall be considered in evaluating material compliance.
(2) Fireplaces, chimneys, chimney structures, and chimney termination caps shall be constructed and installed in such a way so as not to cause an unreasonable risk of fire outside the fireplace enclosure or chimney.
(3) Electrical and mechanical systems shall be constructed and installed in such a way so as not to cause an unreasonable risk of fire.
(e) With respect to plumbing and sewer issues:
Plumbing and sewer systems shall be installed to operate properly and shall not materially impair the use of the structure by its inhabitants. However, no action may be brought for a violation of this subdivision more than four years after close of escrow.
(f) With respect to electrical system issues:
Electrical systems shall operate properly and shall not materially impair the use of the structure by its inhabitants. However, no action shall be brought pursuant to this subdivision more than four years from close of escrow.
(g) With respect to issues regarding other areas of construction:
(1) Exterior pathways, driveways, hardscape, sidewalls, sidewalks, and patios installed by the original builder shall not contain cracks that display significant vertical displacement or that are excessive. However, no action shall be brought upon a violation of this paragraph more than four years from close of escrow.
(2) Stucco, exterior siding, and other exterior wall finishes and fixtures, including, but not limited to, pot shelves, horizontal surfaces, columns, and plant-ons, shall not contain significant cracks or separations.
(3) (A) To the extent not otherwise covered by these standards, manufactured products, including, but not limited to, windows, doors, roofs, plumbing products and fixtures, fireplaces, electrical fixtures, HVAC units, countertops, cabinets, paint, and appliances shall be installed so as not to interfere with the products’ useful life, if any.
(B) For purposes of this paragraph, “useful life” means a representation of how long a product is warranted or represented, through its limited warranty or any written representations, to last by its manufacturer, including recommended or required maintenance. If there is no representation by a manufacturer, a builder shall install manufactured products so as not to interfere with the product’s utility.
(C) For purposes of this paragraph, “manufactured product” means a product that is completely manufactured offsite.
(D) If no useful life representation is made, or if the representation is less than one year, the period shall be no less than one year. If a manufactured product is damaged as a result of a violation of these standards, damage to the product is a recoverable element of damages. This subparagraph does not limit recovery if there has been damage to another building component caused by a manufactured product during the manufactured product’s useful life.
(E) This title does not apply in any action seeking recovery solely for a defect in a manufactured product located within or adjacent to a structure.
(4) Heating shall be installed so as to be capable of maintaining a room temperature of 70 degrees Fahrenheit at a point three feet above the floor in any living space if the heating was installed pursuant to a building permit application submitted prior to January 1, 2008, or capable of maintaining a room temperature of 68 degrees Fahrenheit at a point three feet above the floor and two feet from exterior walls in all habitable rooms at the design temperature if the heating was installed pursuant to a building permit application submitted on or before January 1, 2008.
(5) Living space air-conditioning, if any, shall be provided in a manner consistent with the size and efficiency design criteria specified in Title 24 of the California Code of Regulations or its successor.
(6) Attached structures shall be constructed to comply with interunit noise transmission standards set by the applicable government building codes, ordinances, or regulations in effect at the time of the original construction. If there is no applicable code, ordinance, or regulation, this paragraph does not apply. However, no action shall be brought pursuant to this paragraph more than one year from the original occupancy of the adjacent unit.
(7) Irrigation systems and drainage shall operate properly so as not to damage landscaping or other external improvements. However, no action shall be brought pursuant to this paragraph more than one year from close of escrow.
(8) Untreated wood posts shall not be installed in contact with soil so as to cause unreasonable decay to the wood based upon the finish grade at the time of original construction. However, no action shall be brought pursuant to this paragraph more than two years from close of escrow.
(9) Untreated steel fences and adjacent components shall be installed so as to prevent unreasonable corrosion. However, no action shall be brought pursuant to this paragraph more than four years from close of escrow.
(10) Paint and stains shall be applied in such a manner so as not to cause deterioration of the building surfaces for the length of time specified by the paint or stain manufacturers’ representations, if any. However, no action shall be brought pursuant to this paragraph more than five years from close of escrow.
(11) Roofing materials shall be installed so as to avoid materials falling from the roof.
(12) The landscaping systems shall be installed in such a manner so as to survive for not less than one year. However, no action shall be brought pursuant to this paragraph more than two years from close of escrow.
(13) Ceramic tile and tile backing shall be installed in such a manner that the tile does not detach.
(14) Dryer ducts shall be installed and terminated pursuant to manufacturer installation requirements. However, no action shall be brought pursuant to this paragraph more than two years from close of escrow.
(15) Structures shall be constructed in such a manner so as not to impair the occupants’ safety because they contain public health hazards as determined by a duly authorized public health official, health agency, or governmental entity having jurisdiction. This paragraph does not limit recovery for any damages caused by a violation of any other paragraph of this section on the grounds that the damages do not constitute a health hazard.
SEC. 3.
Section 897 of the Civil Code is amended to read:
897.
The standards set forth in this chapter are intended to address every function or component of a structure. To the extent that a function or component of a structure is not addressed by these standards, it shall be actionable if it causes damage. damage to another component part.
SEC. 4.
Section 898 is added to the Civil Code, to read:
898.
The following shall not be a violation of any standard in this chapter if they do not result in damage to another building component:
(a) Hairline cracking.
(b) Efflorescence.
(c) Temporary moisture condensation.
(d) Staining outside of the living space.
SECTION 1.SEC. 5.
Section 910 of the Civil Code is amended to read:
910.
Prior to filing an action against any party alleged to have contributed to a violation of the standards set forth in Chapter 2 (commencing with Section 896), the claimant shall initiate the following prelitigation procedures:
(a) (1) The claimant or their legal representative shall provide a written notice via certified mail, overnight mail, or personal delivery to the builder, in the manner prescribed in this section, of the claimant’s claim that the construction of their residence violates any of the standards set forth in Chapter 2 (commencing with Section 896).
(2) The notice shall state that the claimant alleges a violation pursuant to this title against the builder.
(3) The notice shall be signed by the claimant.
(4) The notice shall include all of the following:
(A) The claimant’s name, address, and preferred method of contact.
(B) A description of the claimed violation in reasonable detail sufficient to determine the nature and location, to the extent known, of the claimed violation.
(C) Evidence of the claimed violation, including copies of any reasonably available photographs, estimates, or reports relating to any claimed violation, to the extent they exist at the time the notice is provided, and the specific location of the evidence.
(5) The notice shall have the same force and effect as a notice of commencement of a legal proceeding.
(b) The notice requirements of this section do not preclude a homeowner from seeking redress through any applicable normal customer service procedure as set forth in any contractual, warranty, or other builder-generated document; and, if a homeowner seeks to do so, that request shall not satisfy the notice requirements of this section.
SEC. 2.SEC. 6.
Section 926 of the Civil Code is repealed.
SEC. 3.SEC. 7.
Section 926 is added to the Civil Code, to read:
926.
The builder may obtain a release or waiver of any kind in exchange for the repair work pursuant to this chapter effective one year after the conclusion of the repair.
SEC. 4.SEC. 8.
Section 930 of the Civil Code is amended to read:
930.
(a) The time periods and all other requirements in this chapter are to be strictly construed, and, unless extended by the mutual agreement of the parties in accordance with this chapter, shall govern the rights and obligations under this title. If a builder fails to act in accordance with this section within the timeframes mandated, unless extended by the mutual agreement of the parties as evidenced by a postclaim written confirmation by the affected homeowner demonstrating that they have knowingly and voluntarily extended the statutory timeframe, the claimant may proceed with filing an action. If this occurs, the standards of the other chapters of this title shall continue to apply to the action.
(b) If the claimant does not substantially comply with the requirements of this chapter, the builder may bring a motion to dismiss without prejudice any court action or other proceeding. In the alternative, the builder may bring a motion to stay until the requirements of this chapter have been satisfied. The court, in its discretion, may award the prevailing party on the motion, their reasonable attorney’s fees and costs incurred in bringing or opposing the motion.
SEC. 5.SEC. 9.
Section 942 of the Civil Code is amended to read:
942.
(a) In order to make a claim for violation of the standards set forth in Chapter 2 (commencing with Section 896), a claimant shall affirmatively demonstrate all of the following, in accordance with the applicable evidentiary standards:
(1) There is a violation of the applicable standard.
(3)
(2) The violation is caused by the original construction.
(b) All claims are subject to the affirmative defenses set forth in Section 945.5.
SEC. 6.SEC. 10.
Section 942.2 is added to the Civil Code, to read:
942.2.
An Effective July 1, 2027, an insurer may not assert repairs as a voluntary payment or as a payment made without the insurer’s consent, or deny counting the costs associated with those repairs, whether pursuant to a warranty or not, against a deductible or self-insured retention.
SEC. 7.SEC. 11.
Section 945.1 is added to the Civil Code, to read:
945.1.
Notwithstanding any other law, an action may not be filed for a particular violation pursuant to this title unless the conditions for filing an action for that violation pursuant to this title have been met, unless otherwise agreed to by the parties.
Section 945.2 is added to the Civil Code, to read:
945.2.
No investigative costs are recoverable unless, after the written notice is served, the builder is provided notice at least 21 days before any inspections and testing and an opportunity to attend.
SEC. 12.
Section 945.6 is added to the Civil Code, to read:
945.6.
(a) The amendments made to this title by the act adding this section apply to structures subject to this title regardless of the date of substantial completion or close of escrow, except as provided in subdivision (b).
(b) The amendments made to this title by the act adding this section do not apply to either of the following, each of which shall continue to be governed by the law in effect immediately before the operative date of this section:
(1) A claim for which a notice was served under Section 910 before the operative date of this section, through the conclusion of the procedures set forth in Chapter 4 (commencing with Section 910) and any ensuing action or proceeding on that claim.
(2) An action or proceeding commenced before the operative date of this section, including any appeal, remand, or further proceeding arising from that action or proceeding.
SEC. 13.
Chapter 6 (commencing with Section 945.9) is added to Title 7 of Part 2 of Division 2 of the Civil Code, to read:
Chapter 6. Severability
945.9.
If any provision of the amendments made to this title by the act adding this section, or the application of any such provision to any person or circumstance, is held invalid, the invalidity shall not affect other provisions or applications of the amendments made to this title by the act adding this section that can be given effect without the invalid provision or application, or the application of that provision to persons or circumstances other than those as to which it is held invalid, and to this end the provisions of the amendments made to this title by the act adding this section are severable.