The Victorian State Government’s Building Amendment (Cladding Rectification) Bill 2019 passes Parliament.
On 12 November 2019 the Building Amendment (Cladding Rectification) Bill 2019 passed State Parliament and the Building Amendment (Cladding Rectification) Act 2019 (new Act) has now received Royal Assent. The new Act enacts the State Government’s consumer focused ‘rescue package’ in relation to the funding of ‘cladding rectification work’[1] associated with ‘non-compliant or non-conforming external […]
ReadmoreTermination of construction contracts – the issue of good faith
Bundanoon Sandstone Pty Ltd v Cenric Group Pty Ltd [2019] NSWCA 87 (30 April 2019) (Meagher, Gleeson and McCallum JJA). Issue and Outcome The NSW Court of Appeal held that a show cause notice issued by a principal under a construction contract was not issued in good faith (because it was redolent of bad […]
ReadmoreThe dark arts of delay analysis turn ultra violet – or ‘don’t ignore the facts’
White Constructions Pty Ltd v PBS Holdings Pty Ltd [2019] NSWSC 1166 (6 September 2019) (Hammerschlag J) Delay and, separately, disruption claims are common sources of dispute in construction projects. Compounding what are usually factually complicated scenarios are issues of terminology and experts’ competing views about the correct analysis and approach to assessing the […]
ReadmoreSecurity of Payment Amendment Act set to commence
The Building and Construction Industry Security of Payment Amendment Act 2018 (Amendment Act), which was passed by the NSW Parliament in November last year, will commence on 21 October 2019. The Building and Construction Industry Security of Payment Amendment Regulation 2019 (Amendment Regulation) will also commence on this date. The changes made by the Amendment […]
ReadmoreCombustible cladding – A flammable issue
A recent decision of the Victorian Civil and Administrative Tribunal (VCAT) has provided some useful guidance in relation to the responsibility of builders and consultants to owners in respect of the installation of non-compliant aluminium composite panels on buildings in Victoria. On 28 February 2019, his Honour Judge Woodward handed down his decision apportioning liability […]
ReadmoreExternal cladding – how to manage an emerging problem
Over the past 10 to 15 years many buildings have been constructed using Aluminium Composite Panels (ACP). ACPs are frequently used in buildings because of the need to improve thermal or acoustic aspects of the design and also because the panels are a comparatively cheap building material to use. ACPs typically have on each side […]
ReadmoreChanges to the Domestic Building Contracts Regulations
Effective from 1 August 2017 there will be a number of changes to regulations under the Domestic Building Contracts Act 1995 (Vic) (Act). Major Domestic Building Contracts Major domestic building contract is now defined as a domestic building contract where the contract sum is more than $10,000 (previously $5,000).1 If the contract sum for […]
ReadmoreSecurity of Payment Claims Following Termination or Suspension of the Construction Contract
The first High Court decision1 to consider the operation of the security of payment legislation found that a claimant may be unable to submit a payment claim after the termination or suspension of the construction contract. The Facts – Southern Han Breakfast Point Pty Ltd (in liquidation) v Lewence Construction Pty Ltd The facts are […]
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