How to File a Construction Defect Claim in Colorado

If you’ve discovered a significant property defect with your home, condominium, or commercial building, you may have a legal claim. Colorado law allows property owners to hold builders, contractors, and developers accountable for substandard work through construction defect claims, and Robinson & Henry can help you do just that. 

This guide explains how to protect your property investment from a construction defect. From notice periods and filing procedures to possible damages available to you. 

A construction defect is fundamentally a flaw in design, materials, or craftsmanship that creates property damage, thus reducing its value. These defects can be patent or latent. Patent defects are immediately noticeable, while a latent defect can go undetected for years until the damage becomes insurmountable. 

What distinguishes a patent defect from a latent one is whether the issue could have been spotted during a routine inspection. 

The following construction issues are examples of patent or latent defects: 

• Structural - Foundation movement can cause uneven floors and framing defects, which can affect your property’s integrity. 

• Exterior - A badly installed shingle is immediately apparent, but the resulting roof leaks may take time to notice.

• Installation - A poorly installed pipe may result in a slow leak, which can result in water intrusion defects and mold. 

• Materials - Installing the wrong color tile is a different issue from using substandard materials, which ultimately results in an engineering defect.

State law has specific rules governing construction defect claims, including statutes that regulate timing, notice requirements, and builder liability for construction defects in Colorado.

The Colorado Construction Defect Action Reform Act (CDARA) establishes the mandatory filing procedures for construction defect claims. The process requires you to alert the builder or contractor to the alleged defects, giving them a chance to respond and allowing both parties to explore alternative dispute resolution (ADR) — a path courts prefer over immediate litigation. 

When dealing with a construction defect in Colorado, the law sets two different time limits for taking action: one that starts when the defect is discovered, and another, stricter deadline that begins when the project is completed. 

Statute of Limitations

The statute of limitations for construction defects in Colorado is generally between two and six years, as outlined in C.R.S. 13-80-104, depending on the property type.

Statute of Repose

In Colorado, the statute of repose for construction defects represents the absolute limit on filing claims, regardless of when the defect was discovered. That deadline is generally six years from the contractor’s date of completion. However, if the claim is brought within the fifth or sixth year after substantial completion, you can request a two-year extension to bring forward your claim. 

In 2025, Colorado’s general assembly passed construction defect reform, aiming to boost the supply of affordable multi-family condos. HB25-1272, the “Construction Defect & Middle Market Housing Act,” was signed into law in May, introducing the following provisions:

Revised Notice Procedures for Property Owners and HOAs

The new law modifies the process for initiating claims, particularly for HOAs. Specifically:

• Increased HOA Board Vote Requirement - If an executive board of a unit owners’ association wants to initiate a construction defect claim on behalf of the owners, they must now obtain approval from 65 percent of owners, rather than a “simple majority”. 

• Reduced Legal Rights for Buyers - The new law creates an incentive program for builders who join to receive legal protections from the buyers that wouldn’t otherwise exist. 

Adjusted Repair Obligations and Dispute Resolution Requirements

The act also introduced several mandatory and some voluntary provisions that significantly alter how construction defect claims are handled. 

• Expanded Owner Mitigation Duties - Property owners must take reasonable steps to prevent alleged defects from worsening.

• Increased Builder Transparency - Documents that could previously only be requested through the discovery process are now required of builders within 60 days of receiving a notice of claim, or if they offer to settle, whichever comes first.

• Added HOA Settlement Requirement - The 2025 act mandates that an executive board prevailing in a construction defect case must use the monetary damages awarded to make repairs before spending it elsewhere. 

Enhanced Clarity for Commercial and Residential Claims

The new law stipulates that the type of claim you can make depends on whether your builder is part of the new voluntary program. If a builder is in the voluntary program, the owner can only sue for defects that cause major, specific consequences, rather than technical, minor issues. 

To prevail in a case against a commercial builder, the owner must prove one or more of the following: 

• actual harm from the defect, which caused physical damage or loss of property use

• a safety risk to the life, health, or safety of the people on the property

• a system failure in a major aspect of the building

• a decrease in effectiveness or functionality due to a system that’s compromised

Note that some provisions have already taken effect, while others begin January 1, 2026. Working with an attorney with a Denver, Douglas, or El Paso County construction defect law firm can help you ensure compliance with these new legal processes.

Bringing a construction defect claim in Colorado requires you to follow a set of specific legal steps. These rules clearly spell out who has the right to file a lawsuit, which generally comes down to three types of property owners: homeowners, HOAs, and commercial building owners. 

Under the CDARA, a “claimant” is anyone who asserts a claim against a construction professional regarding defects in a real property improvement project. A homeowner can file a residential construction defect lawsuit in Colorado if they’ve experienced actual damage to their property or suffered a loss of use due to construction defects once all initial requirements are fulfilled.

It’s crucial for homeowners to adhere to the CDARA’s strict procedural requirements before initiating litigation. This includes serving a written notice of claim to the construction professional. The contractor must receive the defect repair demand notice in Colorado at least 75 days before any action is filed. 

Homeowners’ associations have what’s known as associational standing to file an HOA construction defect claim in Colorado. Specifically, the Colorado Common Interest Ownership Act (CCIOA) grants HOAs the authority to institute litigation on behalf of themselves or on behalf of two or more unit owners for issues affecting the common interest community. 

HOA claims often focus on construction defects found in common areas, but they may also involve individual units if the defects are directly attributable to those common areas. 

The CDARA explicitly includes commercial property owners within its scope. These owners are eligible to file claims, provided the property is zoned for office, industrial, or commercial use. 

The claims process for commercial property is similar to that of residential property owners. Commercial owners are also required to serve a notice of claim and allow the construction professional the opportunity to address the defect before pursuing litigation. 

Ultimately, regardless of the type of property owner you are, specific statutory frameworks govern your ability to seek compensation for repairs or diminished value resulting from construction defects. Our attorneys often guide clients through these requirements, ensuring compliance with local rules and stipulations, particularly across Jefferson, Douglas, Arapahoe, Adams, El Paso, Pueblo, and Teller counties. 

Filing a construction defect claim in Colorado requires adherence to a specific statutory process designed to encourage the resolution of disputes before litigation ever becomes necessary. Compliance with the requirements outlined in CDARA is critical for preserving your right to remedies. A construction defect attorney will be able to ensure you follow the steps correctly.

Before initiating the formal process, you first need to assess the defect by identifying the issue, documenting it thoroughly with photos, and noting when the defect first appeared. Maintaining detailed documentation of defects, damages, and any communications with the construction professional is crucial. 

This is also an appropriate time to attempt to mitigate any damage. Under C.R.S. 13-20-803.5, the claimant must certify that this mitigation duty was fulfilled before filing. Otherwise, you won’t be able to recover damages for unreasonable failure to mitigate. 

It’s highly recommended to hire an expert inspector, such as a forensic engineer or construction expert, early in the process, who can evaluate the defect and provide a professional report necessary for substantiating claims and proving liability during subsequent litigation. 

Expert inspections can be performed by a forensic engineer, who will be able to evaluate the defect and provide a professional report, which is crucial to proving liability. 

State law advises you to fulfill the written notice of claim requirement at least 75 days before filing a Colorado construction defect lawsuit. Commercial property owners have 90 days to send a written notice. 

The notice must describe the alleged defect in reasonable detail, including its type, location, and any damages caused. You should also include supporting evidence, such as photographs or expert findings. You must allow the builder the opportunity to repair the defect. The notice of claim process stops the clock for up to 60 days after its completion. 

Once your contractor has received notice, Colorado law gives them a limited window to act. They have 30 days to inspect a residential property or 45 days to inspect a commercial property for the claimed defect. The court expects you to provide reasonable access to the property during that time, for instance, during regular working hours. 

Note that C.R.S. 13-20-805 freezes the clock during the notice of claim process for up to 60 days.

Review your contract carefully to determine whether it includes a provision for participating in mediation, arbitration, or another alternative dispute resolution (ADR) format. 

Colorado law also encourages the use of ADR to save owners time and legal costs, and many disputes are resolved through alternative means. If you’re contractually obligated to participate in the ADR process, you must satisfy this requirement before any lawsuit is filed. 

CDARA generally encourages both parties to pursue alternative dispute resolution (ADR) before formal litigation. C.R.S. 13-20-806 stresses that before a property owner can proceed to the filing stage, both parties must complete mediation if stipulated in the contract. 

Additionally, before commencing with a claim, the property owner must seek all reasonable remedies available under the written warranty, if one exists. The statute of limitations is paused while the warranty process is underway. 

If your contractor submits a written offer to settle the claim either by payment or by agreeing to fix the defect, you then have 15 days to accept or reject the offer. No response is essentially a rejection. 

The offer must be detailed and include a report of the inspection and its findings, as well as a description of the proposed remedial work, and an estimated timeline for completion. 

If the contractor provides you with an offer to remedy or settle the claim, your construction defect attorney can advise you on whether to accept it or reject it. If an offer is accepted but the construction professional fails to fulfill the terms, the claimant may then proceed with the lawsuit without requiring any further notice. 

If negotiations fail, you may need to pursue construction defect litigation. Colorado statutes can be challenging to decipher without help from a construction defect attorney from Denver and other Front Range communities. 

A Denver or Colorado Springs defect claim lawyer can file a lawsuit on a property owner’s behalf, seeking recovery for damages such as: 

• Repair costs

• Diminution in property value

• Temporary housing or commercial relocation expenses

• Attorney fees and expert costs

One procedural requirement you’ll need your construction defect lawyer in Colorado to file within 60 days of commencing the action is an initial list of construction defects. Colorado law allows claimants to amend initial lists if additional defects are uncovered; the case won’t proceed until this list is filed. 

Providing an Initial List of Construction Defects

Upon filing the lawsuit, you also must file and serve an initial list of construction defects within 60 days of commencing the action. C.R.S. 13-20-803 mandates the claimant provide a detailed, descriptive list of alleged defects, which may be amended if additional defects are discovered. Your Colorado Springs or Denver construction defect attorney can ensure your list is complete so you can proceed to trial. 

Succeeding in a Colorado construction defect case against a builder or contractor requires meticulous attention to both statutory procedures and evidentiary standards. 

In other words, property owners must demonstrate that the defect exists and is caused by the construction professional, that the defect caused damage to the property, and that the property owner followed legal requirements for notice and mitigation. 

Contractor liability is typically established through negligence or implied warranty claims under Colorado law. 

Negligence Claims

Builders, contractors, and subcontractors owe an independent duty of care to avoid negligence during the construction process. This duty extends to foreseeable users of the property, including subsequent purchasers, even in the absence of a contractual relationship. 

To establish liability based on negligence, the plaintiff must prove:

• a defect in materials, workmanship, or supervision

• a negligent act or omission caused the defect 

• the defect was not readily discoverable (if work was accepted) 

Implied Warranty Claims

Alternatively, you may be able to pursue claims for breach of the implied warranty of workmanlike construction or habitability. Colorado warranty law in construction defects requires an owner to prove a contractor failed to meet professional industry standards and applicable building codes. Homeowners can also hold contractors liable for work that falls below industry standards if the resulting work deems the home unsafe and unsuitable for inhabiting. 

Under this theory, proof of a defect resulting from improper construction, design, or preparation is typically sufficient to establish liability. 

It’s up to the property owner to prove not only that a defect exists, but also that it exists due to the builder or contractor’s negligence as opposed to other factors like natural wear and tear or your own improper maintenance. 

Your contractor may allege the burden of proof rests on the professional, who may argue the damages were caused by natural phenomena, homeowner neglect, or misuse of the property. 

Once liability is proven, recovery is focused on damages. CDARA limits recovery to actual damages. For instance, the cost of repairing the defect itself, along with any consequential damages directly caused by the defect, based on available evidence.

It should be noted that noneconomic damages, such as pain and suffering, are capped at $250,000, specifically in personal injury cases arising from construction defects. 

Q: How long do I have to file a claim in Colorado?

A: How long you have to file a construction defect claim in Colorado depends on the nature of the defect and the type of property you’re dealing with. The absolute deadline is generally six years from the time the project is completed, but in some instances, it can be up to 10 years. 

Q: Can an HOA file a claim on behalf of its members?

A: Yes, HOAs have the legal authority to notify builders of defects in common areas and engage in negotiations to resolve the issues through repairs or litigation on the community’s behalf, if necessary. 

Q: What if the builder offers to repair the defect?

A: Colorado law gives builders 60 days to inspect the alleged defect and offer to fix the damage or settle in cash. Before accepting an offer, it’s best to speak with a construction defect attorney who can tell you whether the offer is fair or if it’s too low. 

Q: Are commercial property claims handled differently?

A: A commercial construction defect claim in Colorado generally presents greater complexities and can take longer to resolve, given that CDARA extends statutory deadlines for multiple procedural steps. 

When considering Robinson & Henry for your construction defect case, clients benefit from their specific qualifications and expansive geographic coverage. We represent clients throughout Colorado, in major cities such as Denver and Colorado Springs, as well as in counties including Jefferson, Douglas, Arapahoe, El Paso, Pueblo, and Teller Counties. 

Robinson & Henry utilizes a comprehensive approach to legal representation. We’re equipped to guide clients through every procedural step, starting with the initial inspections and continuing representation throughout the litigation process. Understanding the filing deadlines, as well as the statutes of limitations and repose, is critical to a successful case outcome. 

In addition to residential property, our firm has cultivated expertise in HOA and commercial real estate matters. My team understands the unique challenges associated with both commercial property and community claims, and is happy to assist you in proceeding with a construction defect claim in Colorado Springs, Denver, and the surrounding areas. 

Crucially, we’re up-to-date on the local legal requirements in your area, as well as all requirements mandated by CDARA and CCIOA, related Colorado statutes, and recent legislative reforms, including HB25-1272. Our Denver and Colorado Springs attorneys help clients track deadlines to preserve their legal rights.

If you suspect a construction defect is affecting your property, acting promptly is crucial. My team at Robinson & Henry is available to discuss your situation and protect your property rights. Our experienced attorneys can review your case, explain your options, and assist you in navigating Colorado’s construction defect laws. Call 303-688-0944 or book your consultation online now.