Lawsuits against Chesmar Homes on the public record include a wrongful death claim by the family of a construction worker who fell at one of its jobsites, a 75-homeowner suit over a failing septic system in far north Bexar County that settled confidentially in 2023, a dust-and-noise nuisance case that was dismissed on appeal, and an insurance coverage fight tied to a home the builder allegedly failed to disclose was subject to flooding. The company has also drawn steady consumer complaints through the Better Business Bureau, most of them about warranty and repair disputes.
Wrongful Death Suit Over a Fatal Jobsite Fall
On December 15, 2022, the family of a construction worker identified as Rivera filed a wrongful death and negligence lawsuit in the 133rd District Court of Harris County. The suit names Chesmar Homes, LLC, as the general contractor and Big Tex Air Conditioning, Inc., the subcontractor that employed Rivera.1Ammons Law Firm. Lawsuit Filed Against Chesmar Homes and Big Tex
According to the complaint, Rivera fell more than two stories while working on an air conditioning unit in the unfinished third-floor attic of a home Chesmar was building. The filing says the attic had no flooring, no temporary walkways, no adequate lighting, and no fall-protection gear, and that the work was ordered during evening hours without sufficient illumination. The plaintiffs argue Chesmar owed a duty as owner and occupier of the site to keep the premises safe and instead invited workers into what the complaint calls an “extremely perilous” space. Big Tex is accused of acting as Rivera’s de facto employer while controlling the details of the work and failing to protect him from known hazards. The suit was brought by Rivera’s wife and three children.1Ammons Law Firm. Lawsuit Filed Against Chesmar Homes and Big Tex
No public resolution has been reported.
Villas at Timberwood Septic System Case
The largest suit against Chesmar came out of the Villas at Timberwood subdivision in far north Bexar County. In July 2019, 75 homeowners sued Chesmar Homes and the subdivision’s developer, Timberwood Development Company, alleging fraud, negligence, and deceptive trade practices tied to a community septic system residents described as “poorly designed” and “inadequate.”2KSAT. Residents Suing Developer, Home Builder Over Sewage Nightmare in Far North Bexar County
Residents reported recurring sewage leaks, standing pools of gray water, and pipes that would spray sewage into the air during heavy rains. The complaint alleged the on-site septic facility was not built in compliance with its permits, that drain field lines were placed too close together and too near the Mustang Creek Tributary, and that the system had been designed for homes roughly half the size of those actually constructed. Homeowners also said they had been falsely told the neighborhood would eventually connect to the San Antonio Water System. Bexar County identified the failing system as a “threat to public health,” noting leaks were occurring within the Edwards Aquifer Contribution Zone and a 100-year floodplain.3KSAT. Homeowners Facing Septic Nightmare Celebrate After Securing $2M to Connect to SAWS Sewer System
The parties reached a confidential mediated settlement in late 2023. Financial terms were not disclosed. Bryan Woods, an attorney for Timberwood Development, said only that his client was “paying a confidential sum, along with a whole bunch of other folks.”4San Antonio Report. Grant Moody, Christopher Schuchardt, Villas of Timberwood
The settlement did not cover the full cost of replacing the system. On January 23, 2024, the Bexar County Commissioners Court approved $2 million in federal American Rescue Plan Act funds to help the HOA connect the neighborhood to SAWS. The total infrastructure project was estimated at $2.5 million to $2.8 million, with the HOA using settlement money alongside the county funds to cover the balance.3KSAT. Homeowners Facing Septic Nightmare Celebrate After Securing $2M to Connect to SAWS Sewer System
Bruington Dust and Nuisance Case Dismissed
Steven and Nancy Bruington sued Chesmar Homes, LLC, and Yantis Corporation in Guadalupe County, alleging that nearby construction was causing dust, noise, and other nuisances interfering with their property. The case was filed in the 456th Judicial District Court as Case No. 22-1755-CV-E.5Justia. Steven L. Bruington and Nancy Bruington v. Chesmar Homes, LLC and Yantis Corporation
The trial court dismissed the suit without prejudice for lack of subject matter jurisdiction, finding the claims were not “ripe.” The Eighth Court of Appeals in El Paso affirmed on October 20, 2023, holding that the Bruingtons failed to show a “concrete injury” and had rested their claims on “uncertain or contingent future events.” Videos of dust and rainfall the homeowners submitted were deemed insufficient to prove substantial interference with property use or actual damage, and car-washing expenses they cited did not meet the $500 minimum amount in controversy.5Justia. Steven L. Bruington and Nancy Bruington v. Chesmar Homes, LLC and Yantis Corporation
Insurance Coverage Fight Over Flooding Disclosure
A separate matter reached federal court after Chesmar sued its commercial general liability insurer, seeking a declaration that the insurer had a duty to defend it against homebuyer claims. The underlying homebuyer claims alleged Chesmar failed to disclose that a property it built was subject to flooding.6Mealey’s. Builder’s Coverage Dispute Over Home Subject to Flooding Dismissed After Settlement
U.S. District Judge David Ezra ruled for Chesmar on July 26, 2022, finding the insurer did owe a duty to defend. The parties later settled, and the case was dismissed with prejudice on October 17, 2023, after a joint motion.6Mealey’s. Builder’s Coverage Dispute Over Home Subject to Flooding Dismissed After Settlement
Consumer Complaints on the BBB Record
Beyond formal litigation, Chesmar has drawn a steady stream of consumer complaints. As of mid-2026, its Better Business Bureau profile shows 22 complaints in the past three years, with 10 filed in the most recent 12 months. The company is not BBB-accredited. Most complaints involve service or repair issues, including plumbing failures, pest infestations, and warranty coverage disputes. A smaller number involve earnest money refund disagreements and construction delays.7Better Business Bureau. Chesmar Homes Complaints
In its BBB responses, Chesmar has said it addresses issues within its warranty terms and contractual obligations. It has argued in several cases that claimed defects fell outside warranty scope or resulted from homeowner modifications. When homeowners retain attorneys, the company has said it pauses direct communication to protect the legal process.7Better Business Bureau. Chesmar Homes Complaints
If You Are Considering Suing a Texas Builder
Texas homeowners cannot walk straight into court over a construction defect. Chapter 27 of the Texas Property Code, the Residential Construction Liability Act, requires a pre-suit process. A homeowner must send the builder written notice of the defects at least 60 days before filing. The builder then has 35 days to inspect and up to 60 days to submit a written settlement offer. If the homeowner rejects it, they must explain why in writing within 25 days, and the builder gets 10 more days to revise the proposal.8Texas State Law Library. Construction Defects
Skipping this process can get a lawsuit dismissed. If a case proceeds, recoverable damages generally include repair costs, engineering fees, temporary housing during repairs, and attorney fees. For homes built after June 9, 2023, the statute of repose is six years if the builder provides a standard “1-2-6” warranty, or ten years if no such warranty is in place.8Texas State Law Library. Construction Defects
Who You Are Actually Suing Now
The corporate identity of Chesmar has changed. Japanese homebuilder Sekisui House Ltd. acquired Chesmar Homes in a deal valued at roughly $514 million, announced in June 2022 and closed in two phases: Chesmar Homes, LLC, on July 1, 2022, and affiliated mortgage and title companies by the end of that year.9HousingWire. Sekisui House Pays $514 Million for Texas-Based Chesmar Homes10Sekisui House. Acquisition of Chesmar Homes Disclosure
In January 2026, Sekisui finalized a broader U.S. restructuring under what it called a “One Company” model. Chesmar Homes is being absorbed into a unified entity and will no longer operate as a distinct brand. M.D.C. Holdings, another Sekisui subsidiary, was rebranded as Sekisui House U.S. and now serves as the controlling company for the group’s American homebuilding operations. Sekisui said it would “liquidate and merge” certain Chesmar entities during the transition.11Builder Online. Sekisui House Finalizes U.S. Rebrand After M.D.C. Holdings Acquisition
Anyone weighing a claim tied to a Chesmar-built home should confirm the current legal name of the entity that built or warrantied the property before sending a Chapter 27 notice or filing suit.