How to File a Warranty Claim for Condo or House Construction Defects in the Philippines

Practical, Philippine-focused guidance for unit owners, homeowners, and associations. This is general information, not legal advice.

Overview

When you buy a newly built condo unit or house, several layers of protection may apply:

Contractual warranties in your Contract to Sell/Deed of Sale/Turnover documents (often called a “defect liability period” or DLP).
Civil Code warranties (e.g., implied warranties against hidden defects; liability of architects/engineers/contractors for major structural failures).
Building and housing regulations (National Building Code and local ordinances), and sector regulators (e.g., DHSUD for subdivision/condominium developments, building officials, PRC for licensed professionals).
Arbitration or dispute mechanisms specified in your contracts (e.g., CIAC for construction disputes).
Association mechanisms for defects in common areas in a condominium or subdivision.

The steps below help you assert these rights efficiently and in the right forum.

What Counts as a “Defect”?

Patent (visible) defects: readily observable at inspection or turnover (e.g., chipped tiles, misaligned doors).
Latent (hidden) defects: not discoverable by ordinary inspection and revealed later (e.g., water intrusion behind walls, slab deflection).
Workmanship/material defects: poor installation, substandard finishes, or non-compliance with specifications.
Code or plan non-compliance: deviations from approved plans or the National Building Code.
Structural defects: elements affecting stability or safety of the building or house.

Condo vs. House:

Inside a condo unit: generally the unit owner’s warranty claim versus the developer/seller/contractor.
Common areas (condo/subdivision): typically the condo corporation or homeowners’ association (HOA) makes the claim; owners should route reports via the property manager/association.

Time Limits (Prescriptive/Claim Windows)

Exact periods depend on your contract and the legal basis you rely on. When in doubt, notify early and in writing and do not let defects linger.

Contractual DLP: Commonly 6–24 months from turnover/acceptance for non-structural defects. Your contract controls the exact period, reporting method, and cure timelines.
Hidden defects in a sale (Civil Code): The law implies a warranty against hidden defects that render the property unfit or diminish its fitness. Timelines vary by circumstance and contract; courts expect owners to act within a reasonable time after discovery.
Major structural failure (Civil Code): Architects/engineers/contractors may be liable for collapse or serious structural failure within a long tail (often referenced as up to 15 years from completion for collapse-type failures), with actions typically required within a defined period after the event. Because these rules can be technical, consult counsel quickly if you suspect structural issues.
Administrative/regulatory complaints: Usually require prompt filing after discovery and after attempting resolution with the developer/contractor.

Practical rule: Treat 30 days from discovery as your internal deadline to send a formal written notice, even if your contract is silent. If your contract sets a shorter window, follow that.

Evidence You’ll Need

Purchase documents: CTS/Deed of Sale, payment receipts, turnover/acceptance forms, warranty cards, and house rules.
Plans/specifications and finish schedules (from your developer or turnover pack).
Punchlists and inspection reports (pre-turnover and post-move-in).
Photos/videos with date stamps; moisture readings, levelness, thermal images (if available).
Third-party engineer/architect report for significant or contested defects.
Correspondence (emails, service tickets, letters) and repair logs (dates, personnel, materials used).

Step-by-Step: Filing a Warranty Claim

1) Inspect and Make a Punchlist

Do a top-to-bottom walkthrough. In condos, do a unit punchlist; associations should maintain a common-area punchlist.
Categorize: safety/structural, waterproofing, electrical, plumbing, finishes, appliances, doors/windows, HVAC, site works (for houses).

2) Check Your Contract and Turnover Pack

Identify: DLP duration, exclusions (e.g., owner-caused damage, wear-and-tear), notice method (email vs. registered mail), cure period (e.g., 15 or 30 days), and dispute forum (DHSUD, CIAC arbitration, courts).

3) Send a Formal Written Notice (Keep It Polite but Firm)

Address it to the Developer/Contractor/Property Manager per contract.
Include: project, unit/lot details, turnover date, defect list with locations, photos, and demand for rectification within the contractually stated cure period.
Reserve rights under the Civil Code, your contract, and relevant regulations.

(A short template appears near the end.)

4) Allow Access and Document Repairs

Coordinate schedules; insist on work permits, method statements, and materials specs for critical works (e.g., waterproofing).
Keep a repair log. Re-inspect repaired items; do water tests or functional tests where relevant.

5) Escalate if Unresolved

A. Property/Association Route (for condos/subdivisions)

Elevate to the Property Manager then to the Condo Corp/HOA Board for common-area defects. Boards can compel developer action under turnover documents and retained warranties.

B. Developer/Contractor Management

Send a final demand referencing missed cure deadlines and the next forum (regulator/arbitration/court).

C. Regulator / Government

DHSUD Regional Office (for subdivision/condo buyers’ protection matters): complaints about non-compliance by developers, including unrectified defects and turnover issues.
Office of the Building Official (city/municipality): structural or code violations; can issue inspection orders or notices.
PRC: administrative complaint against a licensed architect/engineer for negligence or code breaches.
DTI: product/material issues (e.g., substandard electrical fixtures) may fall under consumer protection.
Barangay: for certain disputes between natural persons (not usually effective for developer corporations).

D. Arbitration / Courts

CIAC Arbitration: Many construction contracts name the Construction Industry Arbitration Commission as the arbitration forum. CIAC can hear owner-contractor and developer-contractor disputes, and, by agreement, unit-owner disputes involving construction.
Regular courts: For damages, rescission, or enforcement when arbitration isn’t mandated or after arbitration awards.

Remedies You Can Seek

Repair or rectification at the developer/contractor’s cost.
Price reduction or reimbursement of repair costs (if you had to self-remedy after reasonable notice).
Damages for delay, water damage, loss of use, or alternative accommodations (when justified and provable).
Rescission (rare in real property but possible in extreme cases).
Administrative sanctions against erring professionals or developers (in regulator forums).
Attorney’s fees and costs where allowed.

Special Situations

Structural or Safety Red Flags

Cracks with displacement, beam/column distress, pervasive slab deflection, persistent leaks indicating waterproofing failure, electrical burning smells, or gas leaks:

Evacuate/avoid use if unsafe.
Notify the Building Official and property management immediately.
Engage a licensed structural engineer for assessment.

Appliances and Fixtures

Built-in appliances or devices may have manufacturer warranties—notify both the developer and the manufacturer to avoid finger-pointing.

Unit vs. Common Area Boundaries

Your Master Deed/House Rules define boundaries (e.g., paint face of walls vs. structural members). Report common-area defects through the association; they usually carry the standing to demand common-area rectifications.

Repaired but Recurring Defects

Chronic leaks or recurring hollow tiles may indicate systemic issues (e.g., waterproofing design). Escalate beyond spot repairs and request a root-cause report and comprehensive remediation plan, not patchwork.

Practical Tips That Win Cases (or Settle Them)

Write like you’ll show it to a judge/arbitrator later. Dates, names, attached photos, clear asks.
Be reasonable with access but keep a paper trail when schedules slip.
Don’t modify the defective area before the developer inspects (unless for safety); you might compromise evidence.
Independent expert report: A short engineer/architect memo tying defects to plans/specs/code is often decisive.
Mitigate damage: Take reasonable steps to prevent further harm (e.g., isolate a leak), and document costs.

Clean, Minimal Paper Trail (What to Send and When)

Notice of Defects & Demand to Repair (Day 0).
Follow-up & Access Schedule Confirmation (Day 7–10).
Repair Log & Re-inspection Notes (during works).
Final Notice/Notice of Default (after missed cure period).
Regulatory/Arbitration/Court Filing (with full evidence packet).

Sample: Notice of Defects & Demand to Repair

Subject: Warranty Claim – [Project/Building], [Unit or House No.], Turnover Date [DD Month YYYY] To: [Developer/Contractor Name & Address / Property Manager Email]

I am the [unit/lot] owner of [Project, Address]. The property was turned over on [date] under [Contract to Sell/Deed of Sale reference].

Within the applicable warranty/defect liability period and under the Civil Code, I hereby notify you of the following defects discovered on [dates]:

Bedroom 1 – Window frame: Water intrusion during moderate rain; visible damp staining on jamb; video/photo attached (Annex A).

Toilet & Bath – Floor tiles: Hollow tiles around drain; grout cracking; photos (Annex B).

Living/Dining – Ceiling: Hairline cracks along beam intersection ~3m length; photos (Annex C).

Please commence rectification within [15] calendar days of receipt and complete within a reasonable period, coordinating access through me at [mobile/email]. For major works (e.g., waterproofing), kindly provide a method statement and materials data sheets before starting.

I reserve all rights and remedies under our contract, the Civil Code, and applicable regulations, including reimbursement of costs if I must procure repairs due to inaction.

Sincerely, [Name] [Address / Email / Contact No.] Date: [DD Month YYYY]

Evidence Checklist (Keep With Your File)

✅ Contract to Sell / Deed of Sale
✅ Turnover/acceptance report & initial punchlist
✅ Photos/videos (before/after, with dates)
✅ Communications (emails, letters, tickets)
✅ Independent engineer/architect memo (if needed)
✅ Receipts/quotes for temporary measures or repairs
✅ Building permits/inspection notes (if any)
✅ Association/Board resolutions for common-area claims (if applicable)

Forum Selection: Where to File if Negotiations Fail

DHSUD (Regional Office) – For developer non-compliance in condo/subdivision developments (buyer protection concerns).
CIAC Arbitration – If your contract or a later agreement provides for construction arbitration (effective for technical disputes and delay/damages claims).
Courts – For damages, rescission, or when arbitration isn’t available.
Building Official – For code violations; can compel corrective action.
PRC – Administrative case against licensed professionals (architect/engineer).

Tip: Before filing, send a final demand that (a) summarizes your evidence, (b) cites the forum you’ll use next, and (c) offers a last window to settle (e.g., 7–10 days).

Frequently Asked Questions

Q: My DLP just expired. Am I out of luck? Not necessarily. Hidden defects and structural issues may still be actionable under the Civil Code and regulations. Act promptly and seek advice.

Q: The developer keeps doing patch repairs. Can I hire my own contractor and charge them? Often yes after giving proper notice and a reasonable opportunity to repair. Preserve evidence, obtain two to three quotes, and keep invoices. Your recoverability depends on the facts and your contract.

Q: Do I need a lawyer right away? For routine punchlist items, not always. For repeat leaks, structural signs, or high-value claims, consult a lawyer or construction professional early. Expert reports are powerful leverage.

Q: Who files for common-area defects? Usually the condo corporation/HOA, through the property manager. Individual unit owners should route reports and may attach their evidence.

Q: Can I stop paying association dues until repairs are done? Generally no. Dues are separate obligations. Use proper remedies; withholding dues can expose you to penalties.

Common Pitfalls (and How to Avoid Them)

Late or verbal-only complaints → Always write and date your notices.
Letting contractors work without scope approvals → Ask for method statements for waterproofing/structural works.
No re-inspection → Always re-test repaired items (water test, load test, function test).
Throwing away damaged materials → Keep samples (tile pieces, waterproofing layers) for evidence when feasible.
Mixing unit and common-area issues → Use the proper channel (owner vs. association) to avoid dismissal on standing.

One-Page Action Plan

Document the defect (photos/video + brief description).
Check contract/DLP and relevant rules.
Notify in writing (initial demand with cure period).
Coordinate access; log works; re-inspect.
Final demand if unresolved.
File (DHSUD / CIAC / court) with complete evidence packet.
Preserve claims for damages where justified.

Final Note

Construction and property disputes turn on paper and proof. If you build a meticulous record and escalate through the right forum, even stubborn defects often get resolved—either by proper rectification or by a fair settlement.