We have noticed an increase in builders seeking to either terminate or increase the contract sum for fixed lump sum building contracts. It is no secret that the past few years have been challenging for builders,…
Unenforceability of Price-Escalation Clauses – Increase to fixed term building contract held to be void
In the recent case of Perera v Bold Properties (QLD) Pty Ltd [2023] QDC 99, the Queensland District Court has ruled against the enforceability of special conditions in new home building contracts which allow builders to unilaterally increase a…
Builders Subcontractors’ Charge– An Option for Subcontractors
A subcontractor’s charge is a way for subcontractors to secure payment of amounts owed to them under an eligible contract by someone who is higher in the contractual chain (e.g. the principal). Essentially, it allows the…
Porter Davis Homes goes into liquidation – what should sub-contractors and customers do now?
Liquidators were appointed to National building company Porter Davis Homes this morning, which had more than 1700 homes under construction. If a residential construction company goes into liquidation, you suddenly find yourself left either out of…
PBS Building collapse – options available for sub-contractors
In light of yesterday’s news that Canberra-based construction company PBS Building has put its NSW, ACT and Queensland construction businesses into voluntary administration, many sub-contractors and stakeholders now find themselves in daunting territory with respect to…