<a id="pl.1.3"></a><var>1.3</var>due to faulty construction;amending Minnesota Statutes 2006, section 327A.05.<br/>
<a id="pl.1.4"></a><var>1.4</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.5"></a><var>1.5</var>    Section 1. Minnesota Statutes 2006, section 327A.05, is amended to read:<br/>
<a id="pl.1.6"></a><var>1.6</var><b>327A.05 REMEDIES.</b><br/>
<a id="pl.1.7"></a><var>1.7</var>    Subdivision 1. <b>New home warranties.</b> Upon breach of any warranty imposed <br/>
<a id="pl.1.8"></a><var>1.8</var>by section 
         <statute_ref>327A.02, subdivision 1</statute_ref>, the vendee shall have a cause of action against the <br/>
<a id="pl.1.9"></a><var>1.9</var>vendor for damages arising out of the breach, or for specific performance. Damages <br/>
<a id="pl.1.10"></a><var>1.10</var>shall be limited to: <br/>
<a id="pl.1.11"></a><var>1.11</var>    (a) (1)(i) the amount necessary to remedy the defect or breach; or<br/>
<a id="pl.1.12"></a><var>1.12</var>    (b) (ii) the difference between the value of the dwelling without the defect and the <br/>
<a id="pl.1.13"></a><var>1.13</var>value of the dwelling with the defect; and<br/>
<a id="pl.1.14"></a><var>1.14</var>    (2) reasonable costs for short-term housing made necessary as a result of the breach.<br/>
<a id="pl.1.15"></a><var>1.15</var>    Subd. 2. <b>Home improvement warranty.</b> Upon breach of any warranty imposed by <br/>
<a id="pl.1.16"></a><var>1.16</var>section 
         <statute_ref>327A.02, subdivision 3</statute_ref>, the owner shall have a cause of action against the home <br/>
<a id="pl.1.17"></a><var>1.17</var>improvement contractor for damages arising out of the breach, or for specific performance. <br/>
<a id="pl.1.18"></a><var>1.18</var>Damages shall be limited to the amount necessary to remedy the defect or breach and <br/>
<a id="pl.1.19"></a><var>1.19</var>reasonable costs for short-term housing made necessary as a result of the breach. <br/>
<a id="pl.1.20"></a><var>1.20</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.1.21"></a><var>1.21</var>and applies to actions commenced on or after that date.<br/>