The NSW Court of Appeal has handed down the most important decision concerning building defects in many years.

This decision means that builders and developers can be held liable for design defects.

This is a positive decision for owners corporations as it extends the scope of the statutory warranties concerning the quality of residential building work that is given by builders and developers to owners corporations under the home building legislation.

The case concerned defective residential building work that was undertaken to convert a warehouse complex originally built in 1928 into a mixed use strata development in Camperdown, Sydney.

So, what was the case about? Building Defects Case Important Decision

For NSW levy collection or strata legal advice please contact us here or call 02 9562 1266, we’re happy to assist.

The Supreme Court has ordered an owners corporation suing its former lawyers to give security for the costs the lawyers will incur defending the case and has halted the case until the owners corporation does so.

In Court cases, the loser is normally ordered to pay most of the winner’s costs.  But what happens if the eventual winner is fearful that the loser will not be able to pay its costs?

Is there anything the winner can do to halt the case before it incurs substantial costs fighting the case?

This decision is a game changer.  Read on to find out why… Owners Corporation Security Costs for Building Defects

For strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

JS Mueller & Co Senior Lawyer and strata law expert, Adrian Mueller, discusses home warranty insurance in REINSW Strata Management Chapter News.

Adrian strongly expressed that knowledge is essential, especially when it comes to home warranty insurance and understanding what rights you have.

Click here now to view this case study which outlines the importance of  Home Warranty Insurance

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

About JS Mueller & Co

JS Mueller & Co has been servicing the strata industry across NSW for almost 40 years. We are a specialist firm of strata lawyers with in depth and unmatched experience in, and comprehensive knowledge of strata law and levy collection. We are there to assist you every step of the way.

JS Mueller & Co Headquarters
Level 1, 240 Princes Highway
Arncliffe Sydney Australia 2205
www.muellers.com.au

Media inquiries: Contact Julie Schoneveld on 02 9562 1266 or 0435 939 491

Did you know that a new register for homeowner warranty insurance policies now exists in NSW?

On 15 January 2015, the new amendments to the Home Building Act 1989 introduced a new register for homeowner warranty insurance (‘HOWI’). The register records homeowner warranty insurance contracts entered into after 1 July 2010.

For further information on ‘HOWI’ see – Home Warranty Insurance Register

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

Some good news…

Home warranty insurance generally protects an owners corporation from being out of pocket for the cost to repair building defects where the builder has been made bankrupt.

But what happens when an owners corporation makes a home warranty insurance claim after the builder’s bankruptcy ends. Is it then too late for the owners corporation to make the insurance claim?

The answer is “no” according to a very recent decision of the NSW Supreme Court.

For further information Strata Home Warranty Insurance Rights

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

The Government has released draft regulations to the Home Building Amendment Act 2014 which provide for operation of that Act to commence on 1 December 2014.

A number of organisations made submissions to the Government in relation to those regulations and a final start date has not yet been confirmed. Anyone with a defect claim:

• which is not yet the subject of litigation or an insurance  claim
• where more than 2 years has elapsed since the date of completion of the building work; and
• relying on the defects being structural within the terms of the existing regulations

should immediately seek legal advice to confirm whether those defects will be covered as a major building defect under the new legislation.

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.