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Building Contracts for Builders and Owners!This commentary is only intended for builders and owners building in the Australian Capital Territory. Different rules apply in New South Wales.Building contracts are much the same as any other legal contract. They can be verbal or in writing or partly in writing and partly verbal. Our recommendation is that you spend a little money and have it put in writing. If it is not written, then people will not remember what may have been promised 3-4 months ago. Both, good builders and owners, will wish to deal with each other openly and fairly. By putting it in writing and perhaps having a lawyer look over it may be a good investment. It will be a small amount to pay when compared with the total cost of, say a new home or an addition.
What you should consider before you get too serious -Detail, detail and detail is our motto for building contracts. It is very important that you negotiate on the basis of a full set of plans and a detailed inclusions list. The inclusions list notes the materials and equipment which is to be installed. These document can be provided to you at your request. Owners should not pay any money to builders before an effective contract has been signed. If you pay any money for the drawing of plans then you must insist on the plans belonging to you rather than the builder or the draftsperson. This also should be in writing. You also need to consider copyright breaches. If you breach someone else's copyright by copying it, your building project may well turn out to be worse than a nightmare!
Click below to go to the "Next" page, which will concentrate on the contract itself. |
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