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Minnesota Legislature

Office of the Revisor of Statutes

SF 249

1st Engrossment - 87th Legislature (2011 - 2012) Posted on 03/06/2012 02:02pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/03/2011
1st Engrossment Posted on 04/28/2011

Current Version - 1st Engrossment

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A bill for an act
relating to commerce; regulating the provision of certain goods and services of
residential contractors; providing enforcement; amending Minnesota Statutes
2010, sections 325E.66; 326B.811, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2010, section 325E.66, is amended to read:


325E.66 INSURANCE CLAIMS FOR RESIDENTIAL deleted text beginROOFINGdeleted text end
new text begin CONTRACTING new text endGOODS AND SERVICES.

Subdivision 1.

Payment or rebate of insurance deductible.

A residential
contractor providing new text beginthe repair or replacement of new text endresidential roofing deleted text begingoods and servicesdeleted text end
new text begin or siding new text endto be paid by an insured from the proceeds of a property or casualty insurance
policy shall notnew text begin, as an inducement to the sale or provision of goods or services to an
insured,
new text end advertise or promise to pay deleted text beginor rebatedeleted text endnew text begin, directly or indirectly, new text end all or part of any
applicable insurance deductiblenew text begin or offer to compensate an insured for providing any
service to the insured
new text end. If a residential contractor violates this section, the insurer to whom
the insured tendered the claim shall not be obligated to consider the estimate prepared by
the residential contractor.

For purposes of this section, "residential contractor" means a residential roofer, as
defined in section 326B.802, subdivision 14; a residential contractor, as defined in section
326B.802, subdivision 11; and a residential remodeler, as defined in section 326B.802,
subdivision 12new text begin; and a siding contractor registered under section 326B.802, subdivision 15new text end.

Subd. 2.

deleted text beginViolationdeleted text endnew text begin Private remedynew text end.

If a residential contractor violates subdivision
1, the insured or the applicable insurer may bring an action against the residential
contractor in a court of competent jurisdiction for damages sustained by the insured or
insurer as a consequence of the residential deleted text beginroofer'sdeleted text end new text begincontractor's new text endviolation.

new text begin Subd. 3. new text end

new text begin Public enforcement. new text end

new text begin The commissioner of labor and industry shall enforce
this section under sections 326B.081 to 326B.085.
new text end

Sec. 2.

Minnesota Statutes 2010, section 326B.811, subdivision 1, is amended to read:


Subdivision 1.

Required.

A person who has entered into a written contract with
a deleted text begincontractordeleted text end new text beginresidential roofer or a siding contractor registered under section 326B.802,
subdivision 15,
new text endto provide deleted text beginresidential roofingdeleted text end goods and services to be paid by the
insured from the proceeds of a property or casualty insurance policy has the right to
cancel the contract within 72 hours after the insured has been notified by the insurer
that the claim has been denied. Cancellation is evidenced by the insured giving written
notice of cancellation to the contractor at the address stated in the contract. Notice of
cancellation, if given by mail, is effective upon deposit in a mailbox, properly addressed
to the contractor and postage prepaid. Notice of cancellation need not take a particular
form and is sufficient if it indicates, by any form of written expression, the intention of the
insured not to be bound by the contract.