Contract Clauses That May No Longer Protect You Under Florida’s Updated Construction Laws

In 2023 and 2024, Florida enacted major changes to its construction defect statutes, dramatically impacting how disputes must be handled. If you’re reviewing standard contract clauses, it’s critical to understand which provisions may no longer offer protection—and what needs to be updated. Reach out to Bleakley Bavol Denman & Grace for a consultation today.

Statute of Repose Reduced and Trigger Events Revised

Florida Senate Bill 360, effective April 13, 2023, reduced the statute of repose timeline from 10 years to 7 years under Fla. Stat. § 95.11(3)(b). (A statute of repose is a limitation on a party’s right to pursue a legal action after a specified time period has elapsed, regardless of when that party’s injuries or damages actually accrue) More importantly, the law now defines clear triggering events for when the clock starts—such as issuance of a temporary or permanent certificate of occupancy, certificate of completion, or project abandonment, whichever occurs first.

For contracting parties, this means clauses referencing earlier statutes or outdated triggers—like “actual possession” or completion of the contract—may no longer cover your risk timeline. Contracts relying on the older interpretation could create unexpected liability beyond the new repose period.

Inadequate Notice & Cure Provisions Under Chapter 558

Florida’s Chapter 558 requires mandatory notice-of-claim and cure procedures before a construction defect lawsuit can proceed. Any contract for improvements entered into after October 1, 2009, must include a conspicuous notice referring to Chapter 558, unless the parties opt out in writing. Contracts lacking this language—or incorrectly opting out—may be unenforceable or expose parties to greater risk.

Contract Clauses That Need Revision

Here are key examples of clauses that may no longer protect your interests under the new law:

• Outdated Statute References – Clauses that reference a 10‑year deadline or old trigger events should be revised to reflect the 7‑year limitation and updated timing rules under SB 360.
• Limitation-of-Liability Provisions – If your contract caps liability beyond seven years—even if defects appear earlier—the clause may no longer be enforceable.
• Delayed Filing Protections – Agreements that rely on tolling periods tied to “actual possession” or contract termination could miscalculate filing deadlines.
• Improper Opt-Out Language for Chapter 558 – Any contract with vague wording about opting out of Chapter 558 procedures may render the statutory cure/reset process unenforceable .

Practical Steps for Tampa Contractors and Developers

• Update templates now: Integrate accurate defined repose/start triggering events and reference the 7‑year deadline.
• Include proper Chapter 558 language: Ensure contracts include the required notice in capital letters unless a valid written opt‑out exists.
• Audit existing agreements: Contracts signed between 2023–2024 might still reflect old terms. Revisit them—especially if trigger events occurred during the grace period that ends July 1, 2024.

Why These Changes Matter

What once provided protection may now leave contractors or property owners exposed. Claims filed after July 1, 2024, based on projects where trigger events occurred more than 7 years ago, will be strictly barred—even for latent defects.

Contract clauses that lack updated language may mislead parties about filing windows, notice requirements, or defect responsibilities—creating serious unintended liabilities.

How BBDG Law Can Help

Our Tampa construction and contract attorneys helps Florida clients:

• Update contract templates and risk allocations
• Draft enforceable notice-of-claim provisions under Chapter 558
• Assess whether existing agreements expose liability under the new statutory timeline

If you’re drafting, reviewing, or litigating construction contracts in Florida, don’t rely on outdated protections. Contact Bleakley Bavol Denman & Grace Law to ensure your agreements reflect the latest legal landscape and truly protect your interests.

Source:

leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0095/Sections/0095.11.html