By JustMyMemphis Investigative Team

Joe Pereira saves lives for a living as a Memphis Firefighter and Paramedic. His wife, Julie, is a U.S. Navy veteran. They have spent their lives serving their country and their community, expecting nothing in return but the standard American promise: that if you work hard and follow the rules, the system will protect you.

But inside their $680,000 "forever home" in Lakeland, Tennessee, the system has completely collapsed.

Instead of a sanctuary, the Pereiras are living in a construction zone. They have no flooring on the main level—just bare, damp concrete. They have endured a 26-foot trench jackhammered through the center of their living room. And perhaps most shocking of all, when they begged their builder, Regency Homebuilders, to make it right, they weren't met with a repair crew.

They were hit with a lawsuit.

Built on a House of Cards?

"Regency built me a lemon with a failing foundation and then sued me," reads the sign now sitting in the Pereira’s front yard. It is a desperate cry for help in a neighborhood of manicured lawns.

The problems began almost immediately after their rushed closing in June 2021—a closing the family says they were bullied into under threat of lawsuit. First, a dishwasher that had been leaking for months prior to move-in led to the discovery of toxic black mold in the kitchen island. Then came the roof leaks. Then, the backyard flooded.

But the true horror lay beneath the surface.

When toilets throughout the house began overflowing simultaneously, independent inspections revealed a massive "belly" in the plumbing line buried beneath the slab. To fix it, crews had to tear open the heart of the home.

"There’s so many f***ing things wrong with this house," Joe Pereira says, his voice thick with the exhaustion of a man who works to save others but cannot save his own home. "The foundation itself is just a mess. We have irrefutable proof that there are code violations."

That proof comes from independent soil and structural engineers hired by the family. Their findings are damning:

• The Soil: The house sits on "Henry Silt Loam"—farm dirt. Engineers found it was not properly compacted, meaning the soil is too soft to support the weight of the house.

• The Footings: International Building Code requires footings to be 13 inches deep into native soil. The Pereiras’ independent reports show footings as shallow as 7 inches in critical load-bearing areas.

• The Slab: The concrete is perpetually wet because the vapor barrier and soil compaction failed, making it impossible to install flooring without it rotting.

The Silence of the Watchdogs

Perhaps more disturbing than the alleged construction defects is the behavior of the entities designed to protect homeowners: The City of Lakeland and Shelby County Code Enforcement.

According to Julie, county officials have visited the property and verbally admitted that what they saw did not meet code. Yet, they have refused to issue written violations or force the builder to rectify the structural failures.

"I’ve spent my life going to bat for other people," Julie says. "And now we’re just looking for somebody to go to bat for us."

The investigation took a darker turn when Julie began digging into the paperwork. She discovered that the engineering firm that certified their foundation—and potentially dozens of others in the neighborhood—allegedly hadn't been properly licensed since 2004, following the death of the original engineer.

"Shelby County allows builders to select their own engineer to certify foundations," Julie explains, highlighting a massive conflict of interest. "The county doesn't have a foundation inspector."

The lawsuit: Bullying by Litigation?

When the Pereiras took to social media to document their nightmare, Regency Homebuilders didn't offer a buy-back. They sued the family.

Because the builder’s contract forces disputes into arbitration, the Pereiras have been stripped of protections under the Tennessee Public Participation Act (TPPA)—a law designed to stop powerful companies from silencing critics with frivolous lawsuits (SLAPP suits). An arbiter ruled the TPPA doesn't apply in arbitration, leaving the family to fend for themselves.

The financial toll is catastrophic. The family has spent $190,000 in legal fees just trying to fight for a livable home. Julie now works up to 86 hours a week across four jobs to pay the attorneys.

"They want to keep my wife silent," Joe says. "But we have irrefutable proof."

The Financial Trap

Even if Regency were to buy the house back today for the purchase price, the Pereiras would be destitute. They bought their home when interest rates were at a historic low of 2.25%. Today, rates hover near 7%.

"We will never see that again in our lifetime," Julie says. To replace this home now would cost them hundreds of thousands of dollars more over the life of a loan. They are trapped in a defective house, bleeding money, held hostage by an arbitration clause and a builder with deep pockets.

Who Will Stand Up?

This isn't just about one house in Lakeland. It raises terrifying questions for every homeowner in Shelby County:

• Why is Shelby County Code Enforcement refusing to issue violations for documented failures?

• How many other homes were signed off by an allegedly unlicensed engineering firm?

• Why are builders allowed to police themselves on critical foundation work?

"I don't care if the commissioner doesn't like me," Julie says, her resolve hardening. "I am trying to save my house, my family, and my marriage... Either join me and support me or get out of my way."

JustMyMemphis is following this story. We are calling on the Shelby County Commission and the City of Lakeland to answer: Why is this family fighting this battle alone?