The process of maintaining, tracking, and enforcing warranty coverage on a commercial building's roofing system. Roof warranties require periodic inspections and specific maintenance to remain valid. Administration costs may appear in CAM, but warranty-covered repairs should not.
Commercial roof warranties (typically 10 to 30 years from manufacturer or installer) require the property owner to perform scheduled inspections, maintain drainage systems, promptly address ponding water, and avoid unauthorized roof penetrations. Warranty administration includes coordinating annual inspections, filing warranty claims, and maintaining documentation. The cost of required inspections is a legitimate operating expense. However, repairs covered under the active warranty should be performed at no cost and must not be passed through to tenants via CAM.
A landlord billed tenants $38,000 for roof membrane repairs through CAM, but the roof was still under a 20-year manufacturer warranty. The repairs should have been filed as a warranty claim at no cost to tenants. The landlord either failed to file the claim or collected from both the warranty and the tenants.
Ask your landlord whether the roof is under warranty and when the warranty expires. If roof repair costs appear on your reconciliation, verify that the landlord filed a warranty claim first. Any repair covered under warranty should cost tenants nothing.
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Find My OverchargesThis page provides general educational information. It is not legal advice and may not reflect the most current law in your state. Consult a licensed attorney for advice specific to your situation.
