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ARTICLE · 11 FEBRUARY 2015

Resolving building contract disputes - with less stress and less cost

Many building contract disputes could be resolved at an earlier stage – with legal advice before the contract is signed.

AustraliaReal Estate and Construction

We have noticed in our practice that many Building Contract disputes we provide advice on could have been resolved at an earlier stage – with less stress and less cost.

To use a common example: let's say a client (we can call him Bob) sells bricks and decides to enter into a contract with a builder. Bob decides against getting legal advice – the contract seems straightforward enough, what's the risk?

Things run smoothly for a couple of months until the builder stops paying Bob. Communication goes back and forth for a week or so until Bob calls the builder and terminates the contract. He's had enough!

Bob may think that he had a right to do this – he wasn't being paid for the products he was supplying. However Bob is later sued for breach of contract. The contract included a clause that required 14 days notification is provided before terminating.

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