HB 734

Present law requires that all actions, arbitrations, or other binding dispute resolution proceedings to recover damages for any deficiency in the design, planning, supervision, observation of construction, or construction of an improvement to real proper ty, for injury to property, real or personal, arising out of any such deficiency, or for injury to the person or for wrongful death arising out of any such deficiency, must be brought against a person performing or furnishing the design, planning, supervi si on, observation of construction, or construction of the improvement within four years after substantial completion of the improvement. This bill creates an exception to this provision for counterclaims, third party complaints, and cross-claims as long as the original claim was not time barred by an applicable statute of limitations when it was filed. ON MARCH 16, 2026, THE SENATE ADOPTED AMENDMENT #2 AND PASSED SENATE BILL 866, AS AMENDED. AMENDMENT #2 changes the effective date of the bill from July 1, 2025, to July 1, 2026.