North Carolina's 2-10 Home Buyers Warranty

EXCLUSIONS

This Limited Warranty does not provide any coverage for the following items, which are specifically excluded.

1. Damage to land and other real property that was not part of your home, or any property that was not included in the purchase price stated on the Certificate of Warranty Coverage;
2. Damage to swimming pools and other recreational facilities; driveways; boundary walls, retaining walls and bulkheads (except where boundary walls, retaining walls and bulkheads are necessary for the structural stability of the home); fences; landscaping (including sodding, seeding, shrubs, trees, and plantings); sprinkler systems, patios, decks, stoops, steps and porches, outbuildings, detached carports, or any other appurtenant structure or attachment to the dwelling; or other additions or improvements not a part of your home;
3. Loss or damage which arises while your home is being used primarily for nonresidential purposes;
4. Changes in the level of underground water table which were not reasonably foreseeable at the time of construction of your home;
5. Failure of your builder to complete construction;
6. Noncompliance with plans and specification; violations of local or national building codes, ordinances or standards;
7. Any condition which has not resulted in actual physical damage to your home;
8. Any loss or damage that is caused or made worse by any of the following causes, whether acting alone or in sequence or concurrence with any other cause or causes whatsoever, including without limitation:
1. Negligence, improper maintenance, defective material or work supplied by, or improper operation by, anyone other than your builder or its employees, agents or subcontractor, including failure to comply with the warranty requirements of manufacturers of appliances, equipment or fixtures;
2. Your failure to give prompt and proper notice to HBW and your builder of any defect;
3. Change of the grading of the ground that does not comply with accepted grading practices, or failure to maintain the original grade;
4. Riot or civil commotion, war, vandalism, hurricane, tornado or other windstorm, fire, explosion, blasting, smoke, water, rainwater, ground water, flood, dampness, condensation, hail, snow, ice storm, lightning, falling trees or other objects, aircraft, vehicles, mud slide, avalanche, earthquake, or volcanic eruption;
5. Abuse or use of your home, or any part thereof, beyond the reasonable capacity of such part for such use;
6. Microorganisms, fungus, decay, wet rot, dry rot, soft rot, rotting of any kind, mold, mildew, vermin, termites, insects, rodents, birds, wild or domestic animal, plants, corrosion, rust radon, radiation, formaldehyde, asbestos, any solid, liquid or gaseous pollutant, contaminant, toxin, irritant or carcinogenic substance, whether organic or inorganic, and electromagnetic field or emissions, including any claim of health risk or uninhabitability based on any of the foregoing;
7. Your failure to minimize or mitigate any defect, condition, loss or damage as soon as practicable;
9. Any loss or damage caused by buried debris, underground springs, sinkholes, mine shafts or other anomalies which were not reasonably foreseeable in a building site provided by you;
10. Any defect or damage you knew about prior to the Effective Dave of Warranty;
11. Any request for warranty performance submitted to HBW or your builder after an unreasonable delay or later than 30 days after the expiration of the applicable Warranty Term;
12. Loss caused, in whole or in part, by any peril or occurrence for which compensation is provided by state legislation or public funds;
13. Costs of shelter, transportation, food, moving, storage, or other incidental expenses related to relocation during repair, or any other costs due to loss of use, inconvenience, or annoyance;
14. Diminished market value of your home; and
15. Any and all consequential loss or damage, including without limitation, any damage to property not covered by this Warranty, any bodily damage or personal injury of any kind, including physical or mental pain and suffering and emotional distress, and any medical or hospital expenses, or lost profits.
16. Any and all exclusions set forth in the Construction Performance Guidelines.

The Limited Warranty covers only those Defects and Structural Defects which first occur during the Warranty Term; any Defects or Structural Defects you knew about prior to the Effective Dave of Warranty such as "walk-through" or "punch-list" items are not covered.

The Limited Warranty does not apply to any manufactured item such as appliances, fixtures, equipment (except as specifically defined in the Construction Performance Guidelines) or any other item which is covered by a manufacturer's warranty, nor does it cover systems Defects that are caused by failure of any such manufactured item. Appliances and items of equipment not covered by this Limited Warranty, include but are not limited to: air conditioning units, attic fans, boilers, burglar alarms, carbon monoxide detectors, ceiling fans, central vacuum systems, chimes, dishwashers, dryers, electric meters, electronic air cleaners, exhaust fans, fire alarms, fire protection sprinkler systems, freezers, furnaces, garage door openers, garbage disposals, gas meters, gas or electric grills, heat exchangers, heat pumps, humidifiers, intercoms, oil tanks, outside lights or motion lights not attached to the home, range hoods, ranges, refrigerators, sewage pumps, smoke detectors, solar collectors, space heaters, sump pumps, thermostats, trash compactors, washers, water pumps, water softeners, water heaters, whirlpool baths, and whole house fans.

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