ReportHost vs. Spectora Lawsuit: A Deep Dive Into an Ongoing Industry Legal Battle

by | Jun 3, 2025 | Home Inspection Information

The ongoing legal dispute between ReportHost LLC and Spectora Inc. has garnered significant attention within the home inspection industry. This comprehensive overview aims to objectively detail the history, allegations, and current status of the case, providing insights into its potential implications for industry professionals.

Understanding the ReportHost vs. Spectora Lawsuit

The home inspection software industry has long been dominated by a few well-known players, with ReportHost and Spectora among the most prominent. But starting in 2022, these two companies became entangled in a legal dispute that has since escalated into multiple lawsuits, significant industry debate, and potentially far-reaching consequences for home inspectors who rely on software platforms to generate their reports.

This post aims to objectively and thoroughly examine the details of the lawsuits between ReportHost LLC and Spectora Inc., what they mean for inspectors, and where things stand today.

Part I: The First Lawsuit — Copyright Infringement and Settlement (2022–2023)

In February 2022, ReportHost, based in Washington State, filed a lawsuit against Spectora, a popular software provider headquartered in Colorado. The lawsuit was brought before the U.S. District Court for the District of Colorado (Case No. 1:22-cv-00457) and accused Spectora of copyright infringement, alleging that Spectora had incorporated ReportHost’s proprietary narratives and inspection content into its platform without authorization.

These narratives are not generic observations — they are crafted, field-tested descriptions that inspectors use to document findings. ReportHost contended that significant parts of these narratives appeared within Spectora’s platform, including in templates and sample reports.

The original case moved forward with some procedural actions, including the issuing of protective orders and discovery, but it never reached trial. Instead, in August 2023, the two companies reached a settlement agreement. Though the terms were confidential, it was understood that Spectora agreed to remove certain content, and the case was voluntarily dismissed.

Many industry professionals assumed this would be the end of the legal battle. However, less than a year later, the conflict reignited.

Part II: The 2024 Lawsuit — Alleged Breach of Settlement and New Infringement Claims

On June 28, 2024, ReportHost filed a new complaint in the same court (Case No. 1:24-cv-01813), alleging that Spectora had violated the terms of the 2023 settlement and committed additional copyright infringements. This new lawsuit presents a more aggressive posture by ReportHost and includes expanded legal claims. Key accusations include:

  • Breach of Settlement Agreement: ReportHost claims that Spectora failed to uphold its obligations from the 2023 settlement, continuing to provide access to templates and sample reports containing ReportHost’s copyrighted material.

  • Ongoing Copyright Infringement: The complaint alleges that Spectora not only failed to remove the offending content but also distributed it to other users via the Spectora Library and template-sharing features.

  • Violation of the Colorado Consumer Protection Act: ReportHost argues that Spectora’s actions constitute deceptive business practices, warranting further legal and possibly financial consequences.

  • Disparaging and Misleading Public Statements: According to the complaint, Spectora made public comments that mischaracterized ReportHost’s intentions and may have harmed their reputation within the home inspection industry.

ReportHost is now seeking injunctive relief (a court order to stop the offending conduct), statutory and punitive damages, and attorney’s fees. The complaint emphasizes the ongoing nature of the infringement and claims that Spectora’s actions were intentional.

Spectora’s Response and User Notification

Spectora responded publicly via an email to its users and a help center article, where it acknowledged the dispute and explained that certain content would be permanently deleted from user accounts to comply with legal requirements.

They advised users that:

  • Affected templates would be removed on a set date.

  • Inspectors should save local copies of their reports if needed.

  • Users could recreate templates manually using their own language.

In a forum thread on InterNACHI’s message board, Spectora co-founder Kevin Wagstaff described the legal situation as “sad” and emphasized that Spectora had done its best to cooperate in the past. He also criticized what he described as a broader pattern of ReportHost filing lawsuits as a competitive strategy.

What This Means for Inspectors

For the average home inspector, this legal battle raises important questions about content ownership, template sharing, and the potential liability of using software-generated narratives. Some key takeaways:

  • Know what content you’re using: If you copied or imported templates from another inspector or platform, verify that it’s truly your own work or properly licensed.

  • Don’t rely on software alone: While platforms like Spectora and ReportHost make report writing easier, inspectors should understand the language they’re using and be able to defend it.

  • Be prepared for sudden content changes: If your software provider is involved in litigation, it could result in the removal of narratives, disclaimers, or entire templates — impacting your ability to deliver consistent reports.

There’s also a wider industry concern about template sharing and whether commonly used phrasing could be considered proprietary. Many inspectors have expressed frustration with the idea that something as functional and widespread as a narrative about a leaky faucet could be copyrighted and protected in court.

Industry Reaction and Controversy

The reaction from the home inspection community has been intense and mixed. On forums like InterNACHI, some professionals support ReportHost’s right to defend its intellectual property, while others have criticized the company for what they view as litigious behavior that disrupts the industry and creates unnecessary fear among inspectors.

Some users have even expressed concern that if ReportHost wins the case, it could open the floodgates for other software companies to begin enforcing proprietary control over shared language — potentially leading to lawsuits against individual inspectors who unknowingly reuse content.

The case has already sparked broader discussions about open-source narratives, shared libraries, and whether home inspection narratives should be treated more like common industry standards rather than proprietary software components.

As of the Writing of This Post…

At the time of this writing, the 2024 lawsuit is still active. A court scheduling conference is set for October 8, 2024, and no final rulings have been made. Spectora has been served and is expected to file a formal response, after which the case will likely enter discovery and pre-trial proceedings unless a new settlement is reached.

The legal and professional outcome of this dispute could reshape the home inspection software landscape. Whether this leads to more restrictions or more transparency in how content is shared remains to be seen.

Final Thought: Whether you’re a loyal user of either platform or simply an inspector trying to protect your business, now is the time to review your templates, consider writing more of your own content, and stay informed as this case develops.

You can access public filings and more information at: InterNACHI’s Official Resource Page