Opinion by Hamish Geddes What happened (if you weren’t aware) For developer Australia Avenue (Ecove) and Icon Constructions (Icon), Christmas was certainly not a welcome end to what was one of the busiest years in the Australian construction industry. On 24 December 2018, what appeared to be a large crack in the internal plasterboard lining
Under the building bond and inspection scheme (the Scheme) developers need to lodge a building bond that is equal to 2% of the contract price for any residential development that is greater than 4 storeys high. The bond will need to be lodged with the Department of Finance, Services and Innovation (the Secretary). For more
With the construction shutdown period around the corner, businesses must ensure they have proper procedures for the holidays. Claims made over the Christmas period require prompt response times and a failure to respond to claims under the security of payment legislation or the Corporations Act 2001 (Cth) may have serious and detrimental effects on a
Is it back to the future or a brave new world with the latest changes to the security of payment regime in NSW? What’s happened? Earlier this year, NSW Fair Trading released a consultation paper on proposed draft changes to the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOP Act) open for
The NSW Government’s latest response to the numerous combustible cladding tragedies both overseas and in Australia came into effect on 22 October 2018. The impact of these regulations is as follows: Aluminium composite panel ban Prior to the 22 October regulations coming into effect, the NSW Government took steps to limit the use of combustible
Under the building bond and inspection scheme (the Scheme) developers will need to lodge a building bond that is 2% of the contract price. The developer will need to lodge the bond to the Department of Finance, Services and Innovation (the Secretary). Unfortunately, this has created an incentive for developers to undervalue the contract price
What are latent conditions? Latent conditions in a construction project refer to those conditions which cannot be identified prior to entering into a contract. Usually this means the conditions that cannot be identified by review of the relevant project documentation, in other testing or investigations, or during a routine inspection prior to undertaking works. Latent
Many businesses in the construction industry, from project home builders through to subcontractors and manufacturers, look to franchising as an option to expand their business and market footprint. But before making the leap towards franchising a business, it’s important to understand what franchising is and what risks may be associated with that business model. What
Change can appear inevitable, but when it comes to variation claims on a construction project, it can also be costly and confusing for all parties, including contractors, owners and financiers. Morrissey Law + Advisory have prepared an insight into what actually constitutes a variation and the way in which variation claims may be substantiated. What
Strata building defects can quickly sour the relationship between owners and builders. This creates an issue where the builder is attempting to access the building to attend to the rectification of strata building defects that are found in an inspection report. Below we outline how the strata building bond and inspection scheme (the Scheme) under