Earlier in the week I got a call from a client who wanted to know whether they should file a building defect claim now or wait for the new legislative changes
After all the new changes are being hyped up as the new Great thing!
Anyway - Good question!
Them: Well, first - what’s the real difference?
Us: First, we don’t know all the details of how the system will work but the BPC will have power to order rectification by the builder.
Them: Ow no, I don’t want that builder anywhere near my property again. They are not capable. That’s why I have this problem.
Us: well, the new regime doesn’t immediately require a rectification order but it could be ordered.
Them: I can’t have that. That builder carrying out work under some unknown building permit and that building surveyor checking the work…
Us: Well, actually there is no requirement for a building permit under a rectification order and we don’t know how the scope will be set or how it will be monitored…i.e. traditional regulatory oversight…
Them: WOW! really!!!! This is open slather…what’s the other option.
Us: File now as normal and then pursue at VCAT or County Court (if you have a federal/Cth claim). The current way. In fact, with time limits and insurance both DBI and professional indemnity of professionals there are risks delaying any claim…
Them: let’s get our claim moving…
Now here we are. A new regime. But how will it work. The builder coming back under a rectification order is a very significant change for our system and there is no requirement for a building permit and the regulatory requirements that follow…We can only wait to see how this all plays out in practice.
This article is a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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