LLR: New requirement for performance bond

LLR has announced a new requirement that must be contained by the license bond purchased by many Licensed Residential Builders. The requirement of the license bond is as follows:

“SC law allows home owners who desire to claim against the required Residential Builder licensing bond to use means other than LLR.”

According to LLR, license bonds purchased after October 31, 2011, or upon expiration of an existing bond, must contain the above language.  Historically, license bonds have not contained this provision, even though South Carolina case law requires it.

South Carolina law requires that Licensed Residential Builders post a $15,000 bond as a condition of their license, or submit an audited financial statement in lieu of the bond.