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Senate approves change to economic‑loss rule to expand negligence claims for first homeowners

2714641 · March 20, 2025
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Summary

Senate Bill 185 passed on March 20 to clarify that residential property owners can bring certain negligence claims against construction professionals, reversing a narrower reading of the economic‑loss rule in recent case law, lawmakers said.

The Colorado Senate on March 20 passed Senate Bill 185, which changes how the economic‑loss rule applies to negligence claims in residential construction cases.

Sponsor and supporters said the bill restores or clarifies homeowners’ ability to sue construction professionals — contractors, subcontractors, architects and engineers — for negligent work when defects damage a home's structure…

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