R Value – Is it in your construction contract?

Homebuilders and remodelers, does your contract contain an R Value disclosure?

If you are uncertain, then you may want to review your form agreement and then contact your attorney to see if the Federal Trade Commission’s (FTC) rule on “Labeling and Advertising of Home Insulation,” applies to your company. If it does, then you may need to revise your contract to add a simple disclosure.

Under the FTC’s insulation disclosure rule, homebuilders and remodelers who install insulation must disclose the type, thickness, and R Value of insulation that is/will be installed in each part of the house – usually the attic/roof, walls, and floor. If this information is not known at the time the contract is signed, then you must provide the buyer/homeowner with this information (have the buyer/homeowner sign a copy and retain this in your records) as soon as you know the information.

If your customers have the ability to select different insulation, then you must have the fact sheets for the insulation products that you sell available for review by your customers before they make the purchase. Again, obtaining documentation that the fact sheets were given is advisable.

This blog post is offered for general information and educational purposes only. It is not offered as legal advice and does not constitute legal advice or opinion. Although I intend to keep this information current, I do not promise or guarantee that the information is correct, complete, or up-todate. You should not act or reply upon the information in this post without seeking the advice of an attorney.

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