Status: ACTIVE
Assembly Bill 1903 (Wicks)
What the bill does:
AB 1903, authored by Assembly member Buffy Wicks and co-sponsored by HAC, California Building Industry Association, California YIMBY, Bay Area Council, Council of Infill Builders, Habitat for Humanity California, and SPUR, addresses one of the most under appreciated barriers to homeownership production in California: the construction defect litigation system.
California's residential construction defect law was established by SB 800 in 2002 with a clear premise — homeowners identify defects, builders repair them, and litigation is a last resort. Over two decades, that system has been turned upside down: lawsuits now routinely get filed before any repair is attempted, claims can proceed without actual damage, and builders who complete repairs still face ongoing litigation. The result is a 75% decline in condominium construction since SB 800 passed — a direct consequence of costs and legal uncertainty that has made condo development financially untenable for many builders.
Why this bill matters:
Condominiums are one of the most important entry-level homeownership options California has — typically more affordable than single-family homes and better suited to infill development near jobs and transit. The collapse in condo construction isn't a market problem; it's a policy problem. Builders have largely stopped building for-sale attached housing because litigation risk makes it financially unworkable, regardless of demand.
AB 1903 restores the original intent of SB 800 by requiring the pre-litigation repair process to be completed before any lawsuit is filed; requiring claimants to identify where defects are and what evidence supports the claim; restoring the principle that claims must involve real, actual damage; and giving builders who complete repairs a path to liability release that currently doesn't exist.
The bill also adds a straightforward consumer protection: HOA members must be informed and vote before their association initiates construction defect litigation that could affect every homeowner's property value and finances.
Contact Ali Sapirman at Ali@housingactioncoalition.org for more information.
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