Does this affect me?
If you are a contractor involved in residential construction (or demolition), this will apply to you. The changes came into force on 1 January 2015 and apply to any residential building work.
Key Change - Compulsory Written Contract
The main change is that it is now compulsory for builders to have a written and dated contract with a homeowner for any work over
Key Change - Pre-Commencement Information
Builders are now required to provide certain information to the homeowner before they enter into a contract. This information has a prescribed form which must be followed and includes:
Key Change - Warranties and Defects
There are a range of warranties which will now be implied into residential building contracts. These warranties can be enforced by the owner of the building, whether they were party to the contract or a subsequent purchaser.
Key Change - Post-completion Information
Once a job is complete, there is a further packet of information which you are required to provide to the homeowner. This packet needs to contain copies of your insurance policies, applicable guarantees and information about maintenance requirements for any materials used.
What should I do?
While the new requirements may seem like a lot of work, with a little bit of preparation it does not have to take much time at all. We can provide you with a free checklist and help you prepare your pre and post-commencement disclosure packages. We suggest that you compile copies of your insurance policies and any maintenance manuals/instructions for materials you use regularly.
What should I do?
Please contact us if you would like a copy of our free pre-contract checklist, or to discuss any of the changes. We can also help you prepare your information disclosure bundles, review/draft a contract and provide more detailed advice about how these changes may affect your business.
The information contained in this publication is of a general nature and is not intended as legal advice. It is important that you seek legal advice that is specific to your circumstances.
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Mark Sullivan, PARTNER
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