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ARTICLE · 27 JUNE 2017

Residential Focus - 21 June 2017 - Part 1

Holding Redlich
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This issue was a case study of The Owners Strata Plan No 66375 v Suncorp Metway Insurance Ltd (No 2) [2017] NSWSC 739.

AustraliaReal Estate and Construction
Christine Jones
Christine Jones
Lauren Stables
Lauren Stables
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When is a developer not a developer? The Owners Strata Plan No 66375 v Suncorp Metway Insurance Ltd (No 2) [2017] NSWSC 739

The plaintiff is the Owners Corporation in respect of a mixed residential and commercial strata development in Camperdown (the development). The development involved the conversion of a warehouse complex owned by Mr and Mrs King (the Kings). The Kings had entered into a Development Agreement with Meridian Estates Pty Ltd (Meridian) under which Meridian was appointed the Kings' attorney. The Kings were both directors of Meridian. A third party builder built the development.

The Owners Corporation made claims for defects within the development. An issue arose as to whether the Kings were 'developers' within the meaning of s 3A of the Home Building Act 1989 (NSW) (the HBA) and therefore liable for the defects. That is, were the Kings persons 'on whose behalf' the building work was done for the purpose of s 3A of the HBA? The answer to that

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