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FOR IMMEDIATE NEWS RELEASE NEWS RELEASE # 003 FROM: CLERK OF SUPREME COURT OF LOUISIANA

The Opinions handed down on the 19th day of January, 2006 , are as follows:

BY VICTORY, J. :

2005-CC-0390

JEROME AND PAMELA CARTER v. GLEN DUHE, DUHE CONSTRUCTION, INC., CERTAINTEED ROOFING COMPANY, AND JACKSON INSURANCE COMPANY (Parish of St. John) Retired Judge Philip C. Ciaccio, assigned as Justice Pro Tempore, sitting for Associate Justice Catherine D. Kimball. For the reasons stated herein, the judgment of the court of appeal is reversed, the judgment of trial court granting exception of no cause of action is reinstated, and the case is remanded for the trial court to determine whether case is perempted considering the allegations contained in the Carter's First Supplemental and Amending Petition filed on January 10, 2005. REVERSED AND REMANDED. JOHNSON, J., dissents for reasons assigned by Knoll, J. KNOLL, J., dissents and assigns reasons.

(01/19/2006) SUPREME COURT OF LOUISIANA
No. 2005-CC-0390 JEROME AND PAMELA CARTER VERSUS GLEN DUHE, DUHE CONSTRUCTION, INC., CERTAINTEED ROOFING COMPANY, AND JACKSON INSURANCE COMPANY ON WRIT OF CERTIORARI TO THE COURT OF APPEAL, FIFTH CIRCUIT, PARISH OF ST. JOHN THE BAPTIST VICTORY, J.* The issue in this case is whether a builder's failure to provide the owners of a newly constructed home with written notice of the requirements of the New Home Warranty Act ("NHWA") renders the NHWA inapplicable to a suit by the owners against the builder alleging defects in the construction of the home. After reviewing the record and the applicable law, we reverse the decision of the court of appeal and hold that the NHWA provides the exclusive remedies, warranties, and peremptive periods as between the builder and owner relative to new home construction, regardless of the builder's failure to give the owners notice of the NHWA's requirements. FACTS AND PROCEDURAL HISTORY In 1998, Jerome and Pamela Carter (the "Carters") entered into a contract with Glen Duhe and Duhe Construction, Inc. ("Duhe") for the construction of a new home in LaPlace, Louisiana, on property already owned by the Carters. The contract set forth the terms governing the timing, amount of payments, and completion date of construction. According to the Carters, upon moving into their new home, which was

Retired Judge Philip C. Ciaccio, assigned as Justice Pro Tempore, sitting for Associate Justice Catherine D. Kimball.

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substantially completed in November of 1999, they began to discover numerous defects in the construction of the home. In March of 2003, the Carters noticed additional damage to their home, including defects in the roofing system, walls, partitions, and flooring. The Carters gave Duhe verbal and written notice regarding these problems throughout 2003. Particularly, the Carters provided Duhe with written notice by correspondence in May 2003, via certified mail, therein advising Duhe of the various defects and giving Duhe a reasonable opportunity to remedy the defects. In some instances, Duhe undertook to make repairs and/or assured the Carters that the work had been completed and repaired. In other instances, Duhe did not remedy the defects. As a result, the Carters filed a petition for damages on April 7, 2004 against Duhe, Jackson Insurance Company, and Certainteed Roofing Company, alleging negligence and breach of contract in the construction of the home. Duhe filed an Exception of No Cause of Action contending that the NHWA provided the exclusive remedy for all claims arising out of new construction and, as such, any claims other than those arising under the NHWA must be dismissed as a matter of law. Duhe also filed an Exception of Peremption, contending that under the NHWA, a majority of the claims were perempted. The Carters opposed the

exceptions, arguing that, because Duhe did not give the Carters notice of the requirements of the NHWA at the time of closing, the exclusivity and peremption provisions of the NHWA did not apply and that therefore, they still had a cause of action for negligence and breach of contract outside the confines of the NHWA. On December 7, 2004, the trial court granted Duhe's exceptions, but also gave the Carters thirty days to amend their petition to plead claims that had not been perempted under the NHWA. The Carters amended their original petition on January 5, 2005, in an effort to reassert claims under the NHWA, and also filed a writ

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application with the Fifth Circuit seeking to have that court reinstate their other causes of action which the trial court had dismissed. On January 25, 2005, the Fifth Circuit granted the Carters' writ application and set aside the ruling of the trial court, holding that Duhe waived the applicability of the NHWA by failing to give the mandatory notice to the Carters of the requirements of the NHWA at the time of closing. Carter v. Duhe, 05-19 (La. App. 5 Cir. 1/25/05). We granted Duhe's writ application to determine whether a builder waives the applicability of the NHWA by failing to provide written notice of the requirements of the NHWA to the owners as required by La. R.S. 9:3145. Carter v. Duhe, 05-390 (La. 4/29/05), 901 So. 2d 1044. DISCUSSION The NHWA was enacted in 1986, and amended in 1999, for the following stated purpose:

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