Citations Affected: IC 32-8-3-15; IC 35-43-6 .
Synopsis: Construction practices. Changes the criminal mental state
needed to commit the crime of home improvement fraud from
"knowingly" to the lesser degree of "recklessly". Adds reckless failure
to complete promised home improvements within 90 days after
materials are delivered to the work site and reckless failure to take
reasonable steps to protect exposed parts of a home improvement
construction site from weather related damage to other crimes defined
as home improvement fraud. Simplifies the penalty structure applicable
to the offense of home improvement fraud, and makes certain acts of
home improvement fraud a Class A misdemeanor instead of a Class B
misdemeanor. Moves the offense of construction deception from Title
32 of the Indiana Code to Title 35 of the Indiana Code.
Effective: July 1, 2001.
January 8, 2001, read first time and referred to Committee on Corrections, Criminal and
A BILL FOR AN ACT to amend the Indiana Code concerning
criminal law and procedure.
IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 12. (a) A home
improvement supplier who enters into a home improvement contract
(1) misrepresents a material fact relating to the terms of the home improvement contract or the preexisting or existing condition of any part of the property involved;
(2) creates or confirms a consumer's impression that is false;
that the home improvement supplier does not believe to be true;
(3) promises performance that the home improvement supplier:
(A) does not intend to perform;
(B) knows will not be performed; or
(C) has recklessly failed to determine can or will be performed;
(4) uses or employs any deception, false pretense, or false promise to cause a consumer to enter into a home improvement contract;
(5) enters into an unconscionable home improvement contract
with a home improvement contract price of four thousand dollars
($4,000) or more;
(6) fails to comply with the provisions of IC 23-15-1 relating to the use of an assumed name in the conduct or transaction of business in Indiana and misrepresents or conceals either the home improvement supplier's real name, business name, or business address;
(7) accepts payment in an amount that is at least equal to the actual amount of the materials or labor, or both, for any part of a home improvement contract and recklessly fails to substantially complete the work for that part of the home improvement contract within ninety (90) days after substantially all of the materials for that part of the home improvement contract have been delivered to the site of the work; or
(8) performs work that exposes the consumer's property to damage from wind, water, or other weather related conditions and recklessly fails to take reasonable precautions at the site to protect the exposed area from weather related damage;
commits home improvement fraud, a Class
B A misdemeanor. except
as provided in section 13(a) of this chapter.
(b) A home improvement supplier who, with the intent to enter into a home improvement contract,
(1) damages the property of a consumer;
(2) does work on the property of a consumer without the consumer's prior authorization;
(3) misrepresents that the supplier or another person is an employee or agent of the federal government, the state, a political subdivision of the state, or any other governmental agency or entity; or
(4) misrepresents that the supplier or another person is an employee or agent of any public or private utility;
commits home improvement fraud, a Class A misdemeanor.
as provided in section 13(b) of this chapter.
(c) An offense under this section is a Class D felony if:
(1) the consumer is at least sixty (60) years of age on the date that the contract is entered into;
(2) the home improvement supplier has committed at least one (1) prior unrelated violation of this section; or
(3) the home improvement contract exceeds an aggregate amount of ten thousand dollars ($10,000).
SECTION 2. IC 35-43-6-15 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2001]: Sec. 15. A person:
(A) performs labor, supplies services, or furnishes material or machinery in the construction, repair, or remodeling of any building, structure, or any other work;
(B) accepts payment for the labor, services, material, or machinery so furnished and supplied; and
(C) at the time of receiving the payment, has knowledge of the person's indebtedness to another for labor (including the cost of renting or leasing construction and other equipment and tools, whether or not an operator is also provided by the lessor), services, material, or machinery used or employed in the construction, repair, or remodeling;
(2) who, at the time of receiving payment, and with intent to defraud, fails to notify in writing the person from whom the payment was received of the existence of the outstanding indebtedness; and
(3) whose failure under subdivision (2) to notify the person from whom payment was received causes that person to suffer a loss;
commits construction deception, a Class D felony.
SECTION 3. THE FOLLOWING ARE REPEALED [EFFECTIVE JULY 1, 2001]: IC 32-8-3-15 ; IC 35-43-6-13 ; IC 35-43-6-14.
SECTION 4. [EFFECTIVE JULY 1, 2001] The amendment of IC 35-43-6-12 , the addition of IC 35-43-6-15 , and the repeal of IC 32-8-3-15 , IC 35-43-6-13 , and IC 35-43-6-14 , all by this act, apply only to offenses committed after June 30, 2001.