Florida Building Contractor Business/Finance Practice Exam

Which of the following is NOT a type of warranty used in construction contracts?

1. Material only warranty

2. Full warranty

3. Site warranty

4. Service warranty

The correct answer is: Site warranty

In the context of construction contracts, understanding the various types of warranties is crucial for both contractors and clients when it comes to obligations, protections, and expectations. A warranty serves as a guarantee regarding the quality of work and materials used in a construction project. The common types include a full warranty, which typically covers the entire project for a specific duration, ensuring that any defects or issues will be repaired at no cost to the owner. A material-only warranty focuses specifically on the materials used, assuring that they meet certain standards and will be free from defects. The service warranty often pertains to the maintenance and servicing of the building or its systems, ensuring they remain operational for a specified period. While there are terms and conditions surrounding these warranties that can vary depending on the contract, “site warranty” does not conventionally fit within the established types of warranties in construction. This term may suggest a warranty related to the site conditions but does not represent a recognized category in standard practice. Identifying the correct types of warranties helps in managing liabilities and expectations, making it essential for contractors to clearly communicate and define the warranties applicable to their projects.