Residential building warranties and disputes

Comment period closed Friday 16 March 2012.

Comments and suggestions will help the Tasmanian Government to develop and finalise a consumer building framework to support and improve the likelihood of quick low cost resolution of residential building disputes in Tasmania.

 Residential Building Work Quality (Warranties and Disputes) Bill 2012
136 pages (AR022)

Minor Assessment Statement

The Minor Assessment Statement outlines why it is necessary to establish mandatory warranties, to protect consumers from unfair contracts and to provide the residential building industry with a dispute resolution service. The interventions proposed in the legislation are similar to those already in place in other Australian states and territories.

 Minor Assessment Statement 24 pages (AR022.1)

Building practitioners, electricians, plumbers etc

The most significant impact is on building practitioners (architects, builders, electricians, plumbers etc) who undertake building or renovation work for residential home owners valued at greater than $5000. For these building practitioners there will be the following requirements:

• a written contract containing mandatory information
• a stringent contract variation process
• a dispute resolution process
• compliance with a government official's order to rectify building work
• restricted use of Cost Plus Contracts and Prime Cost and Provisional Sum clauses.

Registered owner builders

The legislation will have a significant impact on Registered Owner Builders who are treated as a building practitioner and will be subject to the same requirements as a builder. For instance, they will be required to have in place, a written contract every time they enter into an agreement for building work valued at greater than $5000.

Your comments and suggestions will help the Tasmanian Government to develop and finalise a consumer building framework to support and improve the likelihood of quick low cost resolution of residential building disputes in Tasmania.