S.C. Appeals Court Says Homeowners Must Arbitrate Defective Stucco Claims

COLUMBIA, S.C. — A South Carolina appeals court has ruled that a couple who sued homebuilders over allegedly defective stucco must arbitrate their claims pursuant to terms of a purchase agreement they signed when buying their home.

In reversing a trial court decision denying a motion to compel arbitration of the homeowners’ tort claims, the South Carolina Court of Appeals held June 12 that the builder did not waive its right to enforce the arbitration clause by litigating the claims for more than two years. Nor is the clause unconscionable or superseded by a deed that did not contain the …