
Building Contract Dispute Lawyers
If you are a builder in NSW who carries out residential building works, you will most probably be aware that you need to have a proper written contract for any building works in excess of $20,000.
———— 01. OVERVIEW
We Can Help
If you are a builder in NSW who carries out residential building works, you will most probably be aware that you need to have a proper written contract for any building works in excess of $20,000.
A written contract for works over $20,000 must comply with the requirements of Home Building Act. If you are not sure whether works that you are carrying out requires a written contract under the Act, we strongly recommend that you speak to us before doing any work.
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———— 02. INFORMATION FOR BUILDERS
Information for Builders
Aside from the requirement to have a written building contract, there are other requirements that you as a builder must comply with, such as insurance under the Home Building Compensation Fund (HBCF), formerly known as home warranty insurance. In this article however, we will only discuss written home building contracts.
Whilst many builders use standard form contracts which have been designed by various associations (such as Housing Industry Association or HIA), there is no legal requirement to use these contracts as long as your written contract complies with the requirements of the Act.
At One Law, we are often approached by builders who want advice on contracts before they enter into them with a homeowner. Sometimes, these builders have drafted their own contracts and want to know if it protects them.

———— 03. HELP
How We Can Help
Building contracts are a particular specie of contracts which require a lawyer to specialised knowledge of the area before they can properly advise you on them.
At One Law, we advise a range of builders on building contracts, whether they are standard form industry contacts or drafted particularly to suit their business.
If you are looking at entering into a building contract with a homeowner, there are a few things you must consider, including:
- Whether the contract is compliant with the requirements of the Act
- If the contract contains standard form provisions, are they appropriate to your individual circumstance or do they need alteration by adding in special conditions;
- Whether the contract needs to include limitation or exclusionary clauses to limit your liability against losses of an unusual nature. This is particularly important if other contractors will also be carrying out work which may overlap with your work.
- Whether the contract compensates you against late payment. This is an important aspect of all building contracts (not just residential) where the builder is responsible to pay other contractors and sub-contractors down the chain.
———— 04. RECENT WINS
Success Stories
$2.2m
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$900k
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———— 05. FAQ
Frequently Asked Questions
What’s the difference between a major and minor defect?
A major defect is a building defect to a major element that causes (or is likely to cause) either:
(d) The inability to occupy or use the building (or part of it) for its intended purpose
(e) The destruction of the building, or part of it, or
(f) A threat of collapse of the building, or part of it
A minor defect are smaller defects that can affect how a building looks or functions. But minor defects don’t compromise the integrity of the building structure.
How long after practical completion can a homeowner make a defect claim?
Under the Home Building Act 1989 (NSW), owners have:
- Two years to make a claim for compensation against a builder for minor defects
- Six years to make a claim against a builder for major defects
What is Practical Completion?
Practical Completion is when the builder completes the work outlined in the contract. This is except for any omissions or defects that don’t prevent a homeowner from using the home or renovations.
I’m a builder and a homeowner has made a claim against me. Can I defend it?
This is where one of our building and construction lawyers comes in to help builders.
We’ve found that there are many occasions where builders can defend defect claims. The defence tends to fall under one of the following categories:
1. The builder is not responsible for the defect as it wasn’t part of the Scope of Work
2. The builder doesn’t believe the work is defective, or
3. The homer brought the claim out of time.
If you’re a builder who needs help defending a claim by a homeowner, contact us for an obligation-free chat.
Do we need to go to Court?
Not at all. In fact, we work hard to get you an early settlement so that Court proceedings aren’t necessary. This means less stress for you. And it keeps your legal costs and the impact on your profitability to a minimum.
———— 06. WHAT OUR CLIENTS SAY
Our reputation for support, and our dedication to your success is the reason we continue to grow
———— 07. OUR TEAM
Your Business & Commercial Law Specialists
At One Law, we understand that every case is different, and we take the time to get to know your situation. We are your local lawyers with access to resources in all states, so you know your case is in good hands no matter where you are in Australia. Meet our Business and Commercial Law Specialists
Do you need a Business or Commercial Lawyer?
Call us on our free advice line or leave your details and we’ll call you.