Court Orders Construction Firms to Pay Couple NIS 161,000 for Home Defects

A Haifa Magistrate's Court has ordered construction company "Tkuma - Yechiam" and its subcontractor "Rashid Salameh - Paint, Finishes and Construction" to pay Shavit and Inna Lazar approximately NIS 161,000 for defects in a home built for them in the expanded area of Kibbutz Yechiam. Judge Sigalit Mitz rejected the companies' request to fix the defects themselves, ruling that the couple would receive money and hire their own contractor. One reason cited was that the companies had initially denied most of the damages.

The lawsuit was filed in December 2020, and the ruling came nearly six years later. Midway through, the parties agreed that a court-appointed expert would determine the repairs, but according to the couple, only one item was ultimately fixed. The couple signed an agreement with Tkuma in 2013 for a 150-square-meter house, which was delivered in December 2015. A 2017 inspection report noted holes in the rockery, soil erosion, and a sinking driveway, with a comment that it was "not treated." Further issues were documented in January 2019 and June 2019, with the couple repeatedly contacting the company about unresolved problems, particularly with the rockery and cracks.

The couple sued for approximately NIS 209,000, with their engineer estimating the repairs at NIS 172,000. The defendants' experts offered much lower estimates. The court's expert, Zvika Rom, found defects valued at NIS 46,950 before supervision and VAT, later adding NIS 15,300 for a laboratory's moisture test. The identified issues included moisture stains, inadequate waterproofing, plumbing leaks, hollow tiles, wavy plaster, and poor painting. The most expensive item was the rockery surrounding the house, which the expert recommended be dismantled and rebuilt at a cost of NIS 14,600.

Tkuma argued the claim was excessive, while the subcontractor stated he had no contract with the couple and that the couple prevented his workers from completing some tasks. The judge emphasized that the contractor has the primary responsibility to address defects and that the companies' denial of the damages justified the court's decision to award monetary compensation instead of allowing them to perform repairs. The court awarded NIS 102,670 for the estimated repair costs, plus NIS 15,000 for emotional distress due to the nature of the defects and failed repair attempts, and NIS 10,000 for alternative housing and moving expenses. Legal fees and expenses also amounted to approximately NIS 23,700. The companies are jointly and severally liable, except for the rockery repair cost, which falls solely on Tkuma.