Halverson, J. L. (June 18, 2013). “A Victory for the Freedom of Contract, at Least for Sophisticated Parties”

The California Court of Appeal handed down an important decision for the design and construction industry, Brisbane Lodging, L.P. v. Webcor Builders, Inc. (http://www.courts.ca.gov/opinions/documents/A132555.PDF).  The Court ruled that sophisticated parties are able to negotiate a specific start to the 4-year statute of limitations for construction defect claims as opposed to being bound by the “delayed discovery rule,” whereby such a cause of action accrues up to 10 years following completion of the project when the plaintiff discovers or could with reasonable diligence discover the injury and cause.