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Construction Lawyer & Building Solicitors Sydney | Contracts Specialist Law Firm
100 Harris St, Pyrmont
24/7 Customer Support
You can contact us during the above work hours.
Statutory warranties are legal obligations imposed by the Home Building Act that establish the rights and liabilities of parties involved in residential building work in New South Wales. They are designed to protect homeowners by ensuring that builders meet certain standards of quality and workmanship.
Statutory warranties relate to building contracts in that they are incorporated into each contract by law, regardless of whether they are specifically written into the contract or not. The law requires that homeowners, builders, and trade persons involved in residential building work follow the terms and conditions of statutory warranties as set out in the Home Building Act. It is important to note that construction contracts are required for projects with a contract price over $5,000 (including GST) and that the law considers building contracts to be the most important transaction between parties in a construction project.
Builders and contractors must be aware of statutory warranties because these warranties apply to all residential building work in New South Wales. There is no monetary threshold after which the warranties apply- they apply to ALL residential building work. Statutory warranties set out the rights and obligations of the parties involved in a construction project. As a builder or contractor, it is your responsibility to comply with these warranties, as they are set out by the law. Failure to do so may result in legal issues and financial penalties.
Moreover, homeowners are becoming more aware of their rights and are likely to seek legal advice if they feel that their statutory warranty rights have been breached. This can lead to disputes and legal battles, which can be costly for builders and contractors. Therefore, it is crucial to understand statutory warranties and comply with them to avoid potential legal issues and financial losses.
At Contracts Specialist, we have been advising builders and contractors on statutory warranty matters for over 10 years. If you need legal advice on statutory warranties, our experienced team is here to help.
Although the warranties are not present or written into the contract, the law states that these agreements still apply.
The Office of Fair Trading of New South Wales says that a building contract is considered as the most important transaction between parties in a construction project.
Construction contracts are required if the contract price is over $5,000 (including GST).
These are the descriptions of warranties by the contractor (and holder of a contractor licence) included in the Home Building Act – Statutory Warranties under Section 18B.
A. Work will be done with due care and skill, and in accordance with the plans and specifications set out in the contract.
B. All materials supplied by the holder or person will be good and suitable for the purpose for which they are used and that, unless otherwise stated in the contract, those materials will be new
C. Work will be done in accordance with, and will comply with, this or any other law
Work is to be performed following the Home Building Act 1989 and other related laws in New South Wales.
D.Work will be done with due diligence and within the time stipulated in the contract, or if no time is stipulated, within a reasonable time
E. If the work consists of the construction of a dwelling, the making of alterations or additions to a dwelling or the repairing, renovation, decoration or protective treatment of a dwelling, the work will result, to the extent of the work conducted, in a dwelling that is reasonably fit for occupation as a dwelling.
F. Work and any materials used in doing the work will be reasonably fit for the specified purpose or result, if the person for whom the work is done expressly makes known to the holder of the contractor licence or person required to hold a contractor licence, or another person with express or apparent authority to enter into or vary contractual arrangements on behalf of the holder or person, the particular purpose for which the work is required or the result that the owner desires the work to achieve, so as to show that the owner relies on the holder’s or person’s skill and judgment.
This warranty applies to work and materials. Mainly, this is the same to (b) warranty which states that materials used must be new and good, but this warranty has more distinct specifications.
for structural defects
for non-structural defects
Contracts Specialist has the experience and expertise to guide you in resolving your legal issue. You can consult any construction-related matter with us.Here is the process for us to help you move forward.We will review and interpret construction contracts for you.We can explain to you the rights and liabilities of each party based from NSW Home Building Act Statutory Warranties.We will ensure that your legal rights are enforced.
We will review and interpret construction contracts for you.
We can explain to you the rights and liabilities of each party based from NSW Home Building Act Statutory Warranties.
We will ensure that your legal rights are enforced.
Contracts Specialist is a Sydney-based construction law firm that deals with Building Disputes, Construction Contracts, Debt Recovery, and Security of Payment. With Contracts Specialist, you are ensured that you are in good hands.
If you’re a homeowner in New South Wales, it’s crucial to understand Construction Law to protect your investment. This ultimate guide to Construction Law is specifically designed to provide homeowners with essential insights into the legal landscape of home building in NSW.
If you’re a homeowner in New South Wales, it’s crucial to understand Construction Law to protect your investment. This ultimate guide to Construction Law is specifically designed to provide homeowners with essential insights into the legal landscape of home building in NSW.