By Tim Gordon
NOTE: BASED ON THE SUPREME COURT’S DECISION IN GOODMAN V. HERITAGE BUILDERS, INC., 2017 CO 13, THE HOLDING OF THIS CASE MAY NO LONGER BE GOOD LAW. SEE HERE.
Piecemeal appellate-court decisions have put developers and contractors in a catch-22 with respect to the timing of indemnification claims against their subcontractors. Their indemnification claims against subcontractors might be barred by the two-year statute of limitations unless they wait until after the underlying construction defects litigation is resolved in order to take advantage of the 90-day tolling period. But waiting until the underlying construction defects litigation is resolved might result in their indemnification claims being barred by the six-year statute of repose.