N.M. Admin. Code § 14.5.9.8

Current through Register Vol. 35, No. 21, November 5, 2024

Section 14.5.9.8 - REQUIREMENTS FOR FILING A CLAIM

A. Rights of indemnitee: The filing of a claim with the division serves to show an indemnitee established their potential right to payment on a claim within the two-year time limitation set forth in Section 60-13-49, NMSA 1978. It further serves to establish priority of claim should the licensee have more than one claim on the code bond simultaneously. Acceptance by the division of a claim does not confirm if a code violation has actually occurred, nor if the licensee was performing work within the scope of the license issued by division, does not infer any right to a payout on the claim, nor does it require a surety to hold any funds in reserve to pay a potential claim. The surety may close the claim file after a period of inactivity on the claim, but any such closure shall not serve to eliminate the right of the indemnitee to re-activate the claim upon receipt of a certificate of uncorrected code violation from the construction industries division.

B. Eligibility requirements: a request for investigation of a potential violation of a New Mexico code must meet the following minimum requirements for acceptance.

(1)The request from the indemnitee must be on a form provided by the division.

(2)The request from the indemnitee must be received by the division within two years from the date the final inspection occurred or certificate of occupancy was issued, whichever is earlier.

(3)The work performed must have been completed by a properly licensed contractor.

(4)The indemnitee must agree to allow the responsible party the opportunity to correct the alleged code violation. Failure to agree to allow the licensee access for the purpose of performing corrective work shall result in dismissal of indemnitee's claim without further investigation.

N.M. Admin. Code § 14.5.9.8

Adopted by New Mexico Register, Volume XXVI, Issue 06, March 31, 2015, eff. 4/30/2015