Residents of a 55+ community in Nevada and their homeowners association are pursuing legal action against builder Pulte Group, alleging construction defects that have caused homes to sink and crack. The case, which centres on million-dollar properties at Del Webb at Lake Las Vegas, will see a judge decide this week whether it can proceed in court or must be handled through arbitration.
Pulte contends that arbitration is required under agreements tied to home purchases and the HOA's governing documents. However, homeowners and the HOA argue the contract terms are unfair and should not be enforced. Homeowner John Penn reported his home has shifted approximately one and a half inches away from a rockery wall, which has become unstable. Neighbour John Ross, HOA board president, expressed fears the wall could collapse into his home.
Willie Barron, a disabled veteran, said cracks in his home's foundation have caused him to fall, adding, “Pulte just say, you pay for this.” Francis Lynch, attorney for the HOA, stated the issues extend beyond individual homes to include streets, curbs, and gutters across the neighbourhood. Pulte's attorney, Vail Cloar, argued the homeowners rely on a single case to challenge arbitration provisions.
Homeowners' attorney Bill Coulthard raised concerns that the proposed arbitration forum is not based in Nevada, arguing that senior citizens should have their dispute settled in a state court. The judge has not yet ruled, with further arguments scheduled.
