Building & Construction Law
Amendments to the Building and Construction Industry Security of Payment Act 1999 (the Act) passed on 21 November 2018 will be commencing on 21 October 2019. The amendments will apply to all Construction Contracts entered into from 21 October 2019 with the existing regime to continue to apply to all previous contracts. The amendments bring […]
# This Article was updated on 1 August 2019 following the announcement by the NSW Government that the commencement date of legislation amending the security of payment laws will be 21 October 2019, and the release of amendments to the regulations. On 21 November 2018 the NSW Government passed the Building and Construction Industry Security […]
In Probuild Constructions (Aust) Pty Ltd v Shade Systems Pty Ltd  HCA 4 the High Court affirmed the decision of the NSW Court of Appeal that the availability of judicial review to quash an Adjudication Determination under the Building and Construction Industry Security of Payment Act 1999 (NSW) (“the Act”) was limited to cases of jurisdictional […]
How Courts Consider Descriptions of Work in Payment Claims & Reasons for Withholding Payment in Payment Schedules
Ensuring that you can rely on a Payment Claim or a Payment Schedule to invoke or resist the considerable force of the Building and Construction Industry Security of Payment Act 1999 (NSW) to recover payment or resist the obligation to pay is critical for any business in the building and construction industry. In this article […]
A question that commonly arises when we are assisting clients with preparation of an Adjudication Application or Response, is: “How is the Adjudicator going to value the construction works (or related goods and services)?” Knowing how an Adjudicator will value the works is particularly important given the very short timeframes provided for parties to an […]
Long before I was a Construction Lawyer, I was a Construction Manager for one of Australia’s top tier building contractors. In this article I have set out some simple and practical tips for effective contract management based on my experience in both construction and law. This article will be particularly relevant for growing contracting businesses […]
This article explains what land is now suitable for medium density developments in Newcastle and Lake Macquarie under the new Low Rise Medium Density Housing Code and the benefits of the Code for developers and existing landowners. On 6 July 2018 the new Low Rise Medium Density Housing Code came into effect. Significantly, under the […]
Will your business be able to rely on the Security of Payment Laws when it counts? The single most important thing to do.
Disputes and withheld payments are common occurrence in the construction industry. Contractors and suppliers operate with increased risk of these occurrences if they are not prepared to use the Building & Construction Industry Security of Payment Act 1999 (“the Act”) immediately when a problem arises. I regularly get people downloading our Security of Payment Guide looking […]
The article below was published in the Hunter Business Review October 2015 Issue. The Building & Construction Industry Security of Payment Act 1999 (NSW) (“the Act”) is unlike any other law in the country (apart from its interstate equivalents). The purpose of the Act is to improve cash flow for contractors, suppliers and professionals in the […]
Do all residential building disputes have to be determined by the NSW Civil & Administrative Tribunal (“NCAT”)?
Generally, a builder or home owner may commence proceedings in relation to a residential building dispute in a Court of competent jurisdiction (subject to relevant limitation periods), or in the NSW Civil & Administrative Tribunal (“NCAT”) provided that: The amount claimed does not exceed $500,000.00 (Section 48K(1)), and Proceedings are commenced within three (3) years […]
It is not uncommon for a builder to make representations to a home owner in the course of negotiations for a Residential Building Contract where the subject matter of the representation is something that isn’t expressly covered in the final contract. However, where the home owner relies on a representation made, such that they otherwise […]
Almost always, a builder must be a given a reasonable opportunity to complete their own work or to rectify any defects within their works, before any further steps can be taken by an owner to have the work done by others. Most standard form building contracts used within the building industry contain specific steps which […]
Insurance under the Home Building Compensation Fund is required to be obtained by a builder entering into a residential building contract of greater than $20,000 (including GST) with a home owner prior to commencing any work under that contract. Insurance policies under the Home Building Compensation Fund provide a set period of cover for loss […]
For a home owner, engaging a builder to carry our residential building work, whether it is for a new home, renovations and extensions or a smaller project, can be a very stressful time. One of the common issues that can arise and cause conflict with you builder occurs when the building works have not been […]
By virtue of Section 18E of the Home Building Act, proceedings for a breach of a statutory warranty must be commenced before the end of: 6 years for a breach that results in a major defect in residential building work, or 2 years in any other case. “major defect” is defined to mean: (a)a defect in a major […]
By virtue of Section 18B of the Home Building Act, the following warranties are implied in every contract to do residential building work: A warranty that the work will be done with due care and skill and in accordance with the plans and specifications set out in the contract, A warranty that all materials supplied […]
When does the Building & Construction Industry Security of Payment Act apply to the Residential Building work?
Section 7(2)(b) of the Building & Construction Industry Security of Payment Act (‘SOP Act‘) states that the Act will not apply to a construction contract for the carrying out of residential building work “on such part of any premises as the party for whom the work is carried out resides in or proposes to reside in”. Generally therefore, the […]
If you are a builder carrying out residential building work, there may be situations when you would like to suspend the building works. Commonly this occurs when a home owner fails or refuses to pay a Progress Claim. This can cause problems for a builder who, naturally, may be reluctant to continue carrying our the […]