Page 56 - ARCHITECTURE SITE PRACTICE

PROTECTION FOR YOUR HOME:

CRITICAL TIME PERIODS

FOR BUILDING DEFECTS

Completion of Building Works
Establishing the date that building works are completed is an
essential first step when ascertaining the end date to commence
proceedings in respect of a building defect.

For new buildings in strata schemes completion of building
works occurs on the date that an occupation certificate is
issued. If an interim occupation certificate is issued completion
will occur on that date, and not the date of a later final
occupation certificate.

For non strata buildings, the completion date can be difficult to
ascertain with precision. Due to the way completion is defined in
the Home Building Act 1989 prudent homeowners should adopt a
position that the assumed date for practical completion could be
up to 12 months prior to the issuance of an occupation
certificate.

CONTRACTUAL DEFECT LIABILITY

PERIOD

Building contracts typically contain a defect liability period in
respect of building works that is usually between 12 to 24
months from practical completion of the building works.

In NSW, a contractual defects liability period cannot remove
or limit rights to a statutory warranty.

Typically, only a party to a building contract will be able to
bring a claim pursuant to a defect liability period and
successors in title will not be able to bring a claim.

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