SB59 Summary

• Amends Sections 6-5-221, 6-5-222, 6-5-225, and 6-5-227 of the Alabama Code to establish a 7-year statute of repose for civil actions against architects, engineers, and builders for defects or deficiencies in construction.

• Civil actions must be commenced within 2 years after a cause of action accrues, but no action can be brought more than 7 years after substantial completion of construction, except where the defendant had actual knowledge of a defect and failed to disclose it.

• Exception applies to licensed general contractors and professionals who are owners or in actual possession of the improvement at the time the cause of action accrues—the statute of repose does not bar actions against them.

• Written express warranties, contracts, or indemnities that extend beyond 7 years remain enforceable according to their terms, with actions on these instruments limited to 2 years from accrual but subject to the warranty period.

• Effective date: First day of the third month following passage and approval by the Governor (Senate passed 19-APR-11, House passed 26-MAY-11).