2019 - 2023 ConsumerLawPA, Attorneys at Law. If contractors wish to display it, they may but they are not required to do so. Home improvement contractors would be well advised to consult with counsel regarding their legal rights and prohibitions prior to the July 1st effective date of the new Act. 327, 546 P.2d 470 (1976). If a contractor has an ad for their business on their vehicle, the ad must include their registration number. *384 Joseph C. Cascarelli, Philadelphia, for appellants. In Anderson v. Kessler, 32 D. & C.3d 623 (Allegh. Landscapers whose work is limited to services performed under Pennsylvanias Plant Pest Act do not need to register. [22] See supra notes 10-17 and accompanying text. 564, 568 (E.D.Pa. N.C.Gen.Stat. 100). (B) That the cost of the services to be performed under the time and materials provision may not exceed 10% above the dollar value indicated in the initial cost estimate. 618 (E.D.Pa. Philadelphia home contractor fraud lawyer, Most Common Types Of Home Improvement Fraud In Pennsylvania, Philadelphia Contractor Faces Criminal Charges For Defrauding At Least 10 Homeowners, Philadelphia Home Contractor Allegedly Absconds With Victims Security Deposit, Mill Hall Roofing Contractor Faces Charges For Home Improvement Fraud, Three Red Flags To Avoid When Hiring A Home Contractor, Serving the Philadelphia Metropolitan Area. A link to that law is provided here. property, tangible or intangible, real, personal or mixed. A home improvement retailer having a net worth of more than $50,000,000 or an employee of that retailer that does not perform home improvements. You should place your registration number in a spot where consumers will be able to see it and read it clearly. Act of March 27, 1713, 1 Sm.L. "Trade" and "commerce" are defined by section 201-2(3) to include "the advertising, offering for sale, sale or distribution of any . Does the Home Improvement Consumer Protection Act affect the licensing or registration of home improvement contractors by counties, cities or towns? The failure to register is a violation of the law and unregistered contractors face legal action, including civil penalties of $1,000 or more. Get free summaries of new Supreme Court of Pennsylvania opinions delivered to your inbox! Below arecommonly asked questions about Pennsylvanias Home Improvement Consumer Protection Act. is regarded as a breach [sic] contract"). All home improvement contractors must register, with the exception of those performing less than $5,000 of work in a calendar year and retailers with a net worth of $50 million. Consequently, the impact of unfair or deceptive practices is greatest in this type of transaction. "[4]Gutierrez v. Pennsylvania Gas and Water Co., *387 352 Pa.Super. . The law does not address how the balance should be paid. The Tri-County Area is no stranger to home improvement contract scams. What is the Home Improvement Consumer Protection Act? . In addition, in applying for such registration, the applicant must state whether the individuals making the application, even if applying as part of a larger business entity, have ever been convicted of any criminal offense related to a home improvement transaction, fraud, theft, a crime of deception or any crime involving fraudulent business practices, as well as a statement of whether the applicant has ever filed a petition of bankruptcy or, within the last ten years had a final civil judgment entered against the applicant or business in which the applicant held an interest that was related to a home improvement transaction. The UTPCPL is also based on the Lanham Trademark Act, 15 U.S.C. Section 517.8 - Home improvement fraud (a) Offense defined.-- A person commits the offense of home improvement fraud if, with intent to defraud or injure anyone or with knowledge that he is facilitating a fraud or injury to be perpetrated by anyone, the actor: . 121 1/2, 261; Iowa Code Ann. *398 Confronted by the same issue in Murry v. Western American Mortgage Co., 124 Ariz. 387, 604 P.2d 651 (1979), the Arizona Supreme Court applied that state's one-year "catchall" limitations period to the Arizona Consumer Fraud Act. In addition, search results will only display approved registrations. It must be noted that the definition of home improvement fraud is more extensive than noted above, but cannot be cited fully due to the confines of space. Under the Home Improvement Consumer Protection Act, any work performed under the emergency work provisions of Section 201-7 of Pennsylvanias Unfair Trade Practices and Consumer Protection Law is not considered a home improvement. If the contract includes a time and materials provision: Section 201-7 of Pennsylvanias Unfair Trade Practices and Consumer Protection Law contains a sample notice of cancellation you may wish to use in your contracts. However if an employees perform home improvements on private residential properties on their own, outside the scope of their employment, and that works totals $5,000 or more in a calendar year, then the employee must register as a contractor. 25 Feb/23. The term home improvement also includes construction, replacement, installation or improvement of driveways, swimming pools, porches, garage roofs, HVAC and solar energy systems, security systems, flooring, patios, fences, gazebos, sheds, windows, awnings and waterproofing. ; 52-584 ; 52-584a. 45(a)(1) ("Unfair methods of competition in commerce, and unfair or deceptive acts or practices in or affecting commerce, are declared unlawful."). [5] Thus, although a claim under the UTPCPL brings forth a new cause of action, it also spawns a new statute of limitation period, to be discussed infra. Shortly after taking possession of the realty, appellants discovered an allegedly substantial defect in the main soil stack pipe from the cellar to the second floor bath of the house and a leak in the rainspout from the front porch of the house into the cellar. 326, Art. Do building superintendents or the maintenance staff for apartment buildings, condominiums, or community associations need to register? However, landscapers who perform other work at private residences including, but not limited to: the placement of retaining walls, fountains or drainage systems, or the construction, replacement, installation or improvement of buildings, driveways, swimming pools, porches, garages, roofs, siding, insulation, solar energy systems, security systems, flooring, patios, non-decorative fences, doors, lighting systems, concrete walkways and windows must register and comply with the act. For instance, under this state law, only agreements that are in writing are considered legally enforceable. Although we have no appellate decision in our courts specifically addressing this issue, our sister courts of common pleas have expressed a view on this question. The Pennsylvania legislature in 1976 enacted a new, all-inclusive limitation of actions statute. pennsylvania cash consumer protection act pennsylvania cash consumer protection act (No Ratings Yet) . ch. What are the limits on down payments or deposits? The district court held that the plaintiff's common law libel claim was time-barred by 42 P.C.S. 75-1.1 et seq. [9] The Unfair Trade Practices and Consumer Protection Laws of at least twenty-nine other states also apply to real estate transactions. The law also limits down payments or deposits for any home improvement project for which the total price is more than $5,000. ." Statute coverage a. 201-2(4)(viii). [16] Id. :The Act applies to condominiums created after the Act's effective date (120 days from July 2, 1980). 2011 -2019.2 A powerful weapon; Used to protect consumers from "advertising, offering for sale, sale or distribution of any services and any property, tangible or intangible, real, In short, no home improvement contractor will be permitted to use any form of advertising or promotional material that does not allow the consumer to trace that contractor through a registration number to the Pennsylvania Bureau of Consumer Protection. The UTPCPL contains a list of offenses that are deemed to be unfair competition or unfair methods and practices. In fact, this state law also applies to construction done on swimming pools, porches, driveways, garages, patios, fences, and sheds. In addition, section 1961 of the Pennsylvania Automobile Lemon Law, 73 P.S. We agree, but base our conclusion on the more solid ground of the UTPCPL itself. See 13 P.S. 1033, 42 Pa.C.S.A. 30, 36 (1986). . 76 (repealed by Act No. This is due to the longer statute of the UTPCPLS (6 years for the unfair trade practices and consumer protection law versus 2 years for breach of contract), and the additional monetary compensation that may be awarded. The first major restriction of the Act is set out at Section 517.3, which provides that no person shall hold themself out as a contractor, nor shall a person perform any home improvement without first registering with the Bureau of Consumer Protection of the Office of the Pennsylvania Attorney General. Co. v. Greenspan, 360 Pa. 542, 63 A.2d 72 (1949). In 1982, the legislature amended the Judicial Code to provide a two-year limitation period specifically for fraud and deceit actions. 387, as amended 1976, Nov. 24, P.L. Pennsylvania's Home Improvement Consumer Protection Act ("HICPA" or the "Act") was enacted to protect consumers from the unfair trade practices and fraudulent activities of home improvement contractors. v. Under the Home Improvement Consumer Protection Act, every contract for home improvements needs to be written, legible and signed by the consumer and the contractor (or their representatives). A prerequisite to the prosecution of a private enforcement action under the Unfair Trade Practices and Consumer Protection Law is that the action must come within the protection of the statute. The enforcement of this law falls under the jurisdiction of the Consumer Protection Bureau of the Pennsylvania Attorney General's office. C.P. Construction, replacement, installation or improvement of driveways, swimming pools, pool houses, porches, garages, roofs, siding, insulation, solar energy systems, security systems, flooring, patios, fences, gazebos, sheds, cabanas, landscaping work (other than work performed under the Plant Pest Act), painting, doors and windows and waterproofing. (2) A waiver of Federal, State or local health, life, safety or building code requirements. 15, 752; Or.Rev.Stat. 2725(a). We now turn our attention to the important question of the appropriate statute of limitations for private enforcement actions brought under the UTPCPL. Because the remedy of this statute is analogous to an action for revocation of acceptance under section 2608 of the Uniform Commercial Code, 13 P.C.S. 19.86.010; Wyo.Stat.Ann. No sweeping changes in legal relationships were occasioned by the CPL, since prevention of deception and the exploitation of unfair advantage has always been an object of remedial legislation. Although the decision to grant or deny a petition to amend a pleading is a matter of judicial discretion, we have held that "[a]mendments should be allowed with great liberality at any stage of the case unless they violate the law or prejudice the rights of the opposing party. 59.1-198; Wash. Rev.Code Ann. How should I list the Bureau of Consumer Protection's phone number in my contracts? Commonwealth v. Monumental Properties, Inc., 459 Pa. 450, 467, 329 A.2d 812, 820 (1974). [15] Id. attorneygeneral.gov/resources/home-improvement-contractor-registration/contractor-frequently-asked-questions/, https://www.consumerlawpa.com/home-contractor-fraud/, "We would like to say beyond a normal thank you how much Bob and I appreciate what you have done for us in more than one legal situation. 1983) (disparagement action "protects economic interests by providing a remedy to one who suffers pecuniary loss from slurs affecting the marketability of his goods"). The law does not grandfather existing businesses. It exists to prevent businesses from participating in deceptive or unfair practices or inequitable competition. See American Oil Co. v. Norkus, 358 Pa. 407, 57 A.2d 868 (1948) (common law tradename infringement). Last Action: This bill amends the act of October 17, 2008 (P.L.1645, No.0132), known as the Home Improvement Consumer Protection Act - Enactment. 1981); Rosenthal v. Perkins, 42 N.C.App. Act 2008-132 (S.B. Id. HICPA was enacted to regulate home improvement contracts and to prohibit certain acts in the home improvement industry. Appellants subsequently paid the full purchase price and took possession at settlement on August 29, 1980. [21] Even if we were to conclude that all actions brought pursuant to the UTPCPL sounded in deceit or fraud, what with appellants' additional claims under UTPCPL the six-year "catchall" limitation of section 5527(6) would be applicable. While it is rare that the court awards an amount over the actual damages sustained, the threat of this occurring will often help to resolve the case outside of court, as businesses don't want to risk this ruling. For cases applying these statutes to real estate transactions, see, e.g., Klotz v. Underwood, 563 F. Supp. Does the law contain a "grandfather" clause for businesses that have been doing work for a long time or do they still need to register? Why must a home improvement contract contain the 3-day cancellation notice? The law establishes a mandatory registration program for contractors who offer or perform home improvements in Pennsylvania. Contact and identifying information for the applicant, including information on any prior home improvement businesses operated by the applicant; For corporations and business entities, information on partners, officers, managers and other parties with an interest in the business; Information on other contractor licenses and registrations held by the applicant; A description of the applicants business; Background disclosures, including information on prior bankruptcies and criminal pleas or convictions; Insurance policy information showing at least $50,000 of personal injury liability coverage and $50,000 of property damage coverage (this is not related to contractor performance or quality of work); A signed and dated certification by the applicant; and. See Ariz.Rev.Stat.Ann. The amendment of appellants' complaint to include a claim for violation of the Unfair Trade Practices and Consumer Protection Law does plead a new cause of action, but also brings forth a consideration of another statute of limitations in addition to the two-year statute of limitation for common law fraud. A non-refundable application fee of $50.00, payable to Commonwealth of Pennsylvania. [1] Appellants also filed on August 28, 1986 a writ of summons commencing a separate action pursuant to the Unfair Trade Practices and Consumer Protection Law so as to preserve their claim in the event their petition for leave to amend was denied. The Court of Common Pleas for Philadelphia County denied appellants' petition by order of September 15, 1986 on the *386 grounds that the statute of limitations which governs private civil actions under the UTPCPL had run. Appellants are individuals and owners of residential property located at 5714 Marshall Street in Philadelphia. The Home Improvement Consumer Protection Act ("The Act") forever changed the relationship in Pennsylvania between home owners and those who agree to do home improvement. There are a number of federal laws in place that aim to protect homeowners from unscrupulous contractors. [18] 42 P.C.S. Section 517.6 - Proof of registration. (iii) (confusion caused by misleading tradenames). Statutes of limitations (time limits for filing your complaint) for civil lawsuits in Pennsylvania, including personal injury; false imprisonment; defamation; fraud; damage to personal property; professional malpractice; and trespassing. 553, 561, 382 A.2d 762, 765 (1978) ("the Federal Trade Commission Act . 45.50.481(a)(1) says that the statute does not apply to "an act or transaction regulated under laws administered by the state, by a regulatory board or commission except as Pennsylvania's statutes of limitation are actual statutes located at 42 Pa.C.S.A. 449, 257 S.E.2d 63 (1979); Sherrod v. Holzshuh, 274 Or. 1125(a), which provides: Any person who shall affix, apply, or annex, or use in connection with any goods or services, or any container or containers for goods, a false designation or origin, or any false description or representation, including words or symbols tending falsely to describe or represent the same, and shall cause such goods to enter into commerce . Under Section 517.6 of the Act, this registration number must be included in all of the contractors advertisements, contracts, estimates and proposals created by the contractor after July 1, 2009. 1 P.C.S. Pennsylvania unfair trade practices and consumer protection law (UTPCPL) is used to protect consumers and purchasers of household goods and services. v. Commonwealth, 58 Pa.Commw. You and your office staff are the "Creme de la Creme" of legal knowledge. Any home improvement contractor who is not registered is prohibited from offering or performing home improvements. In addition, the Federal Trade Commission has invoked jurisdiction over real estate sales transactions. Act 2008 Pa. Legis. [3] Id. . The Pennsylvania Home Improvement Consumer Protection Act There are a number of federal laws in place that aim to protect homeowners from unscrupulous contractors. The law requires contractors to submit a completed application which includes among other information: Effective October 22, 2014, HICPA was amended to require that contractors update the information supplied in their application for registration within thirty (30) days of any change. [14] 73 P.S. 106-1202(c); Idaho Code Ann. 459 Pa. at 467-70, 329 A.2d at 820-23 (citations omitted). The term also does not include the sale of services furnished for a commercial or business use or for resale if the service takes place somewhere other than at a private residence. 93A, 1(b) & 9(1); Mich.Stat.Ann. Plaintiffs would be uncertain as to which limitations period governed their UTPCPL claim until the court determined *395 whether their claim more closely resembled a tort action,[18] a contract action,[19] or an action under some other statute. The bureau has a complaint process and will conduct an investigation, but cannot recover civil damages for you. Seeking to amend their complaint to include an action under the Consumer Fraud Act in addition to their common law fraud claim, the plaintiffs argued that Arizona's three-year statute of limitations for fraud should apply. of the goods of one vendor . Only the first 5 bills are included here. Thank you Lou! Richard J. Raab, Philadelphia, Fasey Real Estate, appellee. For more detailed information regarding a registered contractor, please email us at hic@attorneygeneral.gov. He articulated all of the details of my case very clearly and in a timely manner. 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