Insights and news
Changes to the Retail Lease Act 1994
INTRODUCTION The Retail Leases Amendment (Review) Bill 2017 (the Legislation), which introduces several changes the Retail Leases Act 1994 (RLA), was passed by NSW parliament and came into force on 1 July 2017. APPLICATION The Legislation will remain applicable to and...
Calderbank Offers: The Basics
A Calderbank offer is an offer of settlement made in a “without prejudice” communication, which can have its confidential nature waived in an application for indemnity costs (Calderbank v Calderbank [1975] 3 All ER 333). Making a “without prejudice” settlement offer...
Is Service by USB Acceptable Service?
The Building and Construction Industry Security of Payment Act 1999 (‘the Act’) prescribes strict provisions relating to the service of documents. While there may be more convenient ways of serving documents than through hard copies, Parkview Constructions Pty Ltd v...
Breach and Repudiation: The Basics
A party to a contract may be unsure of its rights to terminate the contract if the other party has committed a breach of contract. Where there is no express provision in a contract stating the party’s right to terminate, the party wishing to terminate the contract...
Rectifying Defects In Residential Buildings
Builders have an obligation to carry out works and complete works in a specified manner and will be responsible to fix defects in residential properties, should they be found after the completion of the works. SCOPE OF DEFECTS A defect is a deficiency in the quality...
Statutory Demands: The Basics
INTRODUCTION Statutory demands are issued by creditors for the payment of a debt which is due and payable according to s 459E of the Corporations Act 2001 (‘the Act’). This guide will outline how to make a statutory demand and tell you what to do if a statutory demand...
Does Your Contract Have Unfair Terms?
INTRODUCTION Unfair terms in certain small business subcontracts entered after 12 November 2016 will now be void due to recent amendments made to the Australian Consumer Law. This summary will assist your understanding on what type of contracts are covered and how the...
Do False Statutory Declarations Disentitle You to Progress Payment Under the Security of Payment Act?
INTRODUCTION Progress claims often require accompanying statutory declarations which confirm that moneys have been paid to subcontractors and suppliers in relation to work that is being claimed. In BRB Modular Pty Ltd v AWX Constructions Pty Ltd & Ors [2015] QSC...
Understanding Indemnities
INTRODUCTION Indemnities are legally enforceable promises between parties to a contract where one party agrees to accept the risk of loss that another party may suffer in a particular situation. Indemnities are used for the purposes of risk allocation and ensure that...
The Effect of False Statutory Declarations on Payment Claims
INTRODUCTION A recent case, J Hutchinson Pty Ltd v Glavcon Pty Ltd, has reinforced the notion that the Court will not allow parties to contract out of the Building and Construction Industry Payments Act 2004 (QLD) (‘the Act’) by imposing additional preconditions to...
Can a Principal Still Recover Liquidated Damages if the Contract is Marked ‘NIL’, ‘N/A’ or $0?
INTRODUCTION Liquidated damages are a pre-agreed amount of damages payable by the contractor to the principal if completion is delayed due to circumstances for which the contractor has no entitlement to an extension of time. THE EFFECT OF N/A, $0 OR NIL If a contract...
Standard Australia’s New Draft Standard ‘AS11000’
UPDATE: STANDARDS AUSTRALIA HAS CONFIRMED THAT AS11000 WILL NOT BE RELEASED, STATING THAT THE CONTRACT 'WAS NOT SUPPORTED BY THE FULL SPECTRUM OF INTERESTS'. INTRODUCTION Standard Australia recently released a new draft General Conditions of Contract named AS11000...