Homeowners claim builder trying to avoid responsibility

Monday, March 11, 2002 | 9:46 a.m.

A Las Vegas residential development is challenging attempts by its builder, U.S. Home Corp. of Houston, and subsidiary Vista Hills Inc. to block its efforts to recover up to $10.5 million in damages and attorneys' fees in a construction defect lawsuit it filed in 1999.

Los Prados Community Association, a 1,358-home project located at Lone Mountain Road and Jones Boulevard near North Las Vegas, accused U.S. Home and Vista Hills of trying to delay hearings scheduled to start May 1 in Las Vegas by reopening its bankruptcy on Feb. 26 and asserting that Los Prados' claims were discharged by their bankruptcy filings in 1991.

U.S. Home and Vista Hills filed for Chapter 11 in 1991 in New York and emerged from bankruptcy in 1993.

Los Prados sued U.S. Home and Vista Hills in September 1999, alleging defects in some portions of 15 miles of wall within the project that it said weren't "built to code, lacked water proofing and were severely cracked because of improper reinforcement."

Los Prados took action in September 1999 after the builders filed a suit against the development in August 1999 alleging its defect claims were barred by their bankruptcy filing in 1991.

"Since the lawsuits were filed, U.S. Home had tried to exclude Los Prados' claims and were successful in excluding portions of its claims," Troy Isaacson, a Los Prados attorney, said. "Senior Clark County District Judge Norman Robison ruled last year that some of Los Prados' claims exceeded a 10-year statute of limitations for filing construction defect claims. But we will be appealing his ruling."

"But U.S. Home hasn't stepped up to the plate to take responsibility for the remaining claims that Judge Robison ruled were legally pursuable," he said.

Isaacson said he is seeking $7.7 million in damages, $2.5 million in attorneys' fees and $300,000 in costs.

U.S. Home could not be reached for comment.