Kohler Co. v. Superior Court of L. A. Cnty.

*59 In 2000, the California Supreme Court ruled in Aas v. Superior Court (2000) 24 Cal.4th 627 , 101 Cal.Rptr.2d 718 , 12 P.3d 1125 ( Aas ) that a homeowner could not recover on a negligence claim for construction defects unless the homeowner could show actual property damage or personal injury (as opposed to purely economic loss, such as diminution in value of the home or the cost to repair the defects). After Aas was decided, representatives from the building industries, insurance companies, and homeowners came together with members of the Legislature to devise a comprehensive statutory scheme to govern construction defect litigation. That statutory scheme, commonly known as the Right to Repair Act (the Act) was enacted in 2002. (Stats. 2002, ch. 722, principally codified at Civ. Code, 1 §§ 895- 945.5.) As recently explained by the Supreme Court, "[t]he Act sets forth detailed statewide standards that the components of a dwelling must satisfy. It also establishes a prelitigation dispute resolution process that affords builders notice of alleged construction defects and the opportunity to cure such defects, while granting homeowners the right to sue for deficiencies even in the…