As part of the reform process for the Building and Construction Industry Security of Payment legislation, the NSW Government is calling for industry input as they assess the feasability of introducing statutory trusts as a means to better protect subcontractors from contractor insolvency and the many far-reaching consequences. The building and construction industry experiences the highest
Collaborative contracting is increasing in popularity for project delivery in Australia. So what does it actually mean, and when is a collaborative contract appropriate? The idea behind collaborative contracts is to give all parties the incentive to see a project succeed. In order to do this, they are designed to combat the negative commercial incentives
The NSW Construction Leadership Group (the ‘CLG’) is a government body led by Infrastructure NSW. The CLG was established to promote innovation and reform throughout the development, procurement and delivery of government projects. The NSW government recognises the importance of the public-private partnership in achieving the State’s infrastructure goals. Accordingly, the CLG oversees the "Ten
In May 2019, the NSW government published the draft Interactive Tendering Guidelines. They were prepared for the Construction Leadership Group (CLG) to inform both government and industry professionals of the best practices for interactive tendering. The interactive tendering guidelines aim to optimise the procurement process within NSW. The essentials of the proposed Guidelines are outlined
Amendments to the Building and Construction Industry (Security of Payment) Act 1999 (NSW) (Act) were passed by both houses of parliament in November 2018. The NSW Government has finally released its proposed amendments to the Security of Payment regulations for public consultation (Proposed Amendments). In our May SOP update we outlined the 7 key changes
The recent NSW Supreme Court decision in ACN 057 690 034 (Owner) v Mick Wykrota (Builder) saw the Builder in hot water after they failed to produce an occupation certificate. Background In November 2010, the parties entered into a contract for alterations and additions to the Owner’s residence situated on the Hume Highway in Lansvale
Amendments to the Building and Construction Industry Security of Payment Act 2018 (NSW) (‘the Act’) passed! So what will change? What’s happened? On 21 November 2018, the NSW Government passed the Building and Construction Industry Security of Payment Amendment Bill 2018 (‘the Amendment Act’). The SOP Act ensures that contractors, subcontractors or any other persons
Agency is a complex area of law that can affect parties across contracts and industries – from major construction projects with superintendents through to manufacturing and distribution. A broad definition of agency is when one party (the principal) grants another party (the agent) authority to act on behalf of the principal to deal with a
In the recent NSW Supreme Court (the ‘Court’) case Cincotta v Russo [2019] NSWSC 272 the question of agency when executing contracts was back in the spotlight. What happened In January 2014, Mr and Mrs Cincotta (Owners) engaged Mr Russo (Russo) for $610,000 of additions and alterations to their property in Concord West (Property). The
The Manns (‘the Owners’) entered into a domestic building contract with Paterson Constructions Ltd Pty (‘the Builder’) for the construction of two double-storey townhouses for the sum of $916,779.00 (including GST). The Builder completed the construction of the first unit approximately four months after the date of practical completion. The owners sought to terminate the