Homeowners called me worried about the construction of their home. KB Home refused to fix the warranty claims blaming lack of homeowner maintenance. Now, the Florida Attorney General says it was defective construction.
"Heavy rains I stay inside my kitchen with a wet vacuum to try to keep the water level down," said homeowner Paul Baker.
KB homeowners complained of mold and water damage inside because outside their stucco was cracking.
In some cases, the new owner bought the home after it was foreclosed or bank owned. KB often denied those claims because the home was vacant and neglected.
KB Home fixed some homes, but denied claims on others baffling owners.
In a multi-million dollar settlement with the Attorney General, KB will be required to fix even more homes.
KB Home said stucco is an industry-wide challenge in Florida, and it's committed to improving stucco standards and warranties.
It's required to make changes as part of the deal. The Attorney General said KB will spend $17 million over the next five years to improve construction techniques, train subcontractors, and use improved materials in new construction. The company's new construction will also be reviewed by a third-party inspector.
The Attorney General has been investigating the company for three years. During this time, KB Home spent $71 million to fix impacted homes including 1,688 that needed repairs for construction-related water issues.
Under the settlement, KB Home will need to fix homes that are up to ten years old and that meet certain criteria. To schedule an inspection and repairs call KB in Orlando at 1-800-305-2246 or send an email to OrlandoCustomerService@kbhome.com.
To apply for restitution, go to Florida-AG-KBSettlement.com or call 888-210-5486 for the claims administrator.
"KB Home Florida has cooperated with the Attorney General's office to address issues with residential stucco performance, which we consider to be an industry-wide challenge in Florida. We share the Attorney General's interest in improving residential stucco standards in Florida, and we are proud to have implemented comprehensive stucco standards, which we are backing with a new, industry-leading warranty on stucco. KB Home is committed to providing quality homes and we stand behind our product."
-- KB Home Florida