Water, mold damage must be repaired

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Water, mold damage must be repaired

CONDOMINIUMS & #8194; BY MARK PEARLSTEIN

April 20, 2008

Chicago Tribune*

http://www.chicagotribune.com/business/chi-re-pearl-condoqa-

0420apr20,0,7920817.story

Q: As part of an investment group, I own a condo unit as a rental. I

am also on the board. We have problems with water seeping through

the cinder blocks used in the 4-year-old buildings. There is some

damage to the drywall and floors in the units and noticeable mold in

some areas. In some units, it is pretty obvious that there is

insufficient caulking around the doors and windows. Is the

association responsible for this damage?

The developer is not taking our calls. We are considering suing him

for fraud. We all signed a one-year limited warranty with him.

Should we pursue this type of lawsuit? Would you try to sell the

unit? Is it the association's responsibility to fix the wood floors

and repair the drywall once we have determined the cause of the

seepage?

A: The association is responsible for preventing water infiltration

from the common elements into the units. With the assistance of

engineers and contractors, the board should determine the source of

the seepage, repair the drywall, caulk the doors and windows and

eradicate mold growth caused by the water infiltration. The board

cannot wait for the developer to respond.

The board may have a valid claim for a breach of warranty and can

pursue a lawsuit for consumer fraud—if it can prove that he knew of,

but failed to disclose, these defects. Violations of the Illinois

Consumer Fraud Act may entitle the association to recover its

attorneys' fees. But the statute of limitations to file a

construction defect claim is four years from the date the buildings

were completed or when the association first discovered the defect,

whichever is earlier.

The decision to sell the unit is a personal choice. Before selling,

however, the board must control water infiltration. Ongoing water

damage is a material defect an owner must disclose under the

Illinois Residential Real Property Disclosure Act.