Building Defects

NCAT Decision - Beware of Attempts to Extend Statutory Warranties by Agreement

Bannermans Lawyers have for some time been warning Owners to be wary of agreements offered by builders and developers to extent Home Building Act (“HBA”) warranties, to stave off legal proceedings for defective work (sometimes referred to as “standstill agreements”).

Cladding Update - Lacrosse Tower Fire Decision: The Importance of Statutory Warranties

The Victorian Civil and Administrative Tribunal (“Tribunal”) handed down an award on 28 February 2019, which ultimately holds the Builder liable for breach of statutory warranties with the Building Certifier, Architect and Fire Design Engineer liable to indemnify the Builder for 97% of the $5.7 million losses assessed to date, which included $100,000 for strata managers fees and $700,000 for increases in insurance premiums.

Building Bonds: A New Regime of Pro-Active Building Defect Management

Divisions 3 (sections 207-211) of the Strata Schemes Management Act 2015 (NSW) (SSM Act 2015) introduces a building bond scheme for new multi-storey buildings (defined as three or more storeys) from 1 January 2018. The defect bond scheme applies to:

Building Defects Overview

Bannermans Lawyers’ construction team can provide tailored, commercial, effective legal advice to you in the management of building defect matters.

Protecting Your Asset

Often your home or investment property is one of your most important assets. Accordingly, you should consider consulting a legal practitioner who specialises in building and construction law for advice when determining the best course of action to take when:

Dob Yourself In About Cladding

The NSW Government move to address the risks arising from non-compliant cladding has progressed with the passing of new regulations, which take effect from 22 October 2018.

4 Hot Defect Trends

The strata industry has a long history of dealing with defective building works and there are some usual suspects, such as water penetration and concrete cancer. However, in recent years, some new types of building defect have risen to prominence. In our experience, the following have become particularly problematic:

Building Products Safety Laws


The Building Products (Safety) Act 2017(“Act”) has been passed by the New South Wales government and is to commence on a date to be proclaimed. When it commences, it will give NSW Fair Trading substantial powers to identify and stop the use of potentially unsafe building products. The current focus is on cladding products, but the Act has much broader application.

No Duty Owed by Certifying Council

The New South Wales Court of Appeal recently handed down a long awaited reserved decision in the case of Ku-ring-gai Council v Chan.

Defect Bonds and Insolvency Issues

The new strata building bond and inspection scheme will now commence on 1 January 2018 (the “Scheme”).

Request to the Minister to Extend Aluminium Cladding beyond the Two Year Warranty


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