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The Family, The Contract and The Failed Builder

This young family could have been out of pocket and with a poorly built home. They called us and rectified the situation.

The Family, The Contract and The Failed Builder

We recently assisted a client who saw us urgently in relation to a demand they received from the Builder who had constructed their home.

As a young family settling into their home, they were extremely anxious that their home was not constructed properly. To make matters worse, the Builder was chasing them for money owed.

They relayed to us a history of unsatisfactory work performance, constant Builder’s delays and facing a demand from the builder for the outstanding money.

As part of our review – on careful analysis of the building contract and the demands made by the Builder – it was discovered that the builder was in breach of certain provisions in the building contract.

As a result, demands were made on the builder to satisfy those breaches before any further payments would be made.

Shortly after the demands were made, the builder went into liquidation.

The liquidator of the failed building company purported to make the same demands. And again, on behalf of our clients, we repeated the breaches of the builder and for those breaches to be rectified.

Had the client just paid the money to the Builder and then later sought to make a complaint regarding the builder’s conduct, the money would have been lost to the failed building company. The client would then have been faced to contemplate paying from their savings again for the repairs to be undertaken.

We were able to have the client save the funds that they were otherwise putting aside to pay the builder and redirect them to independent contractors who rectified the defects. Now they can enjoy their new Brisbane home as a happy young family!

For those planning on building property in the future, beware of failed builders and wrongful demands for money.

If you have any questions about litigation or your contract rights and obligations, call 1300 428 947 or email litigation@hatzis.com.au.

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