The NSW Home Building Act And Proportionate Liability

Introduction

On Tuesday, 27 July 2010 his Honour Einstein J in the NSW Supreme Court delivered his judgment confirming that the principle of proportionate liability as set out in Part IV of the Civil Liability Act 2002 (NSW) (the Civil Liability Act) applies to the statutory warranties implied by s18B of the Home Building Act 1989 (NSW) (the Home Building Act).

Facts

The proceedings were commenced by the Owners Corporation against the first defendant builder for defective building work relying on the extension of statutory warranties by s18D of the Home Building Act.

The builder's List Response relied on the proportionate liability provisions of the Civil Liability Act. The plaintiff brought a Notice of Motion to have those parts of the builder's List Response struck out on the basis that proportionate liability is not available to a party defending claims of breach of the implied warranties under the Home Building Act.