Residential building consumer protection laws have now been in
force for more than 5 months, however many building contractors are
unaware of the changes or are not yet compliant with them. The new
laws apply when carrying out any residential building work for a
client which is valued over $30,000. If a contractor fails to meet
the new requirements then they can be fined a minimum of $500 per
offence but up $20,000 in some circumstances. 'Building
work' covers many different trades and covers any work for, or
in connection with, a residential building or other residential
structures not occupied by people (such as retaining walls and
A residential building contractor is now required to provide
specific information to a client pre and post contract. They are
also responsible for ensuring that the parties enter into a written
contract which must include a number of mandatory terms. This means
that a contractor needs to provide the following documents for
Disclosure contractor information and checklist;
Form of written contract (covering the mandatory terms);
Post contract disclosure.
We understand that many contractors are too busy to spend time
and effort coming up to speed with the new regulations. If this
applies to you then contact the team at Cavell Leitch and we can
make it a straightforward process. We can provide you a tailored
contract which can be used for all your clients at a one-off cost.
The agreement will ensure you are meeting your responsibilities
under the new laws while providing you the appropriate protection
as the contractor. We will also provide you with a suite of
supporting documents to help ensure proper disclosure and provision
of information to every client as required under the new laws.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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