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Termination of building contracts

Termination of building contracts

Occasionally the relationship between parties to a building contract turns sour. In some cases the parties will be able to get things back on track so that the project can be brought to completion. However, in other cases there is an irreparable breakdown in trust and one or both parties want to part ways. The owner may not want the builder around anymore and/or the builder may not want to continue racking up cost on credit with little prospect of being paid. So how does a party terminate the building contract and what risks does a party face if they get it wrong?

By Meika McHardy - 13 Sep 2018

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Does the Consumer Guarantees Act apply to building projects?

Does the Consumer Guarantees Act apply to building projects?

What the Consumer Guarantees Act (the CGA) does is insert some basic guarantees into every contract for the supply of consumer goods or services, and those guarantees override anything that the written contract might say to the contrary. However, the CGA only applies if you are supplying goods or services to "consumers". And consumers are individuals, companies, Councils, clubs or other legal entities who acquire goods or services "of a kind that are ordinarily acquired for personal, domestic, or household use or consumption".

By Geoff Hardy - 7 Sep 2018

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High Court clarifies when builders have to provide their record of work

High Court clarifies when builders have to provide their record of work

The High Court has clarified when builders are to provide their record of work. In overturning the District Court's decision1 , the High Court held that a builder's record of work was not dependent on section 87 of the Building Act.

By Alden Ho - 2 Sep 2018

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How can the law help protect me against domestic violence?

How can the law help protect me against domestic violence?

There are several specific ways in which the law can help you protect yourself and your family from domestic violence. Domestic violence includes physical, sexual, psychological and/or financial abuse by anyone you are in a "domestic relationship" with. Domestic relationships include spouses or partners, family members, may include flatmates/someone you're sharing a household with or anyone you're in a close personal relationship with.

By Surendra Bennett - 22 Aug 2018

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Domestic Violence - Victims Protection Act 2018: variation of working arrangements

Domestic Violence - Victims Protection Act 2018: variation of working arrangements

There is a lot of talk around the new domestic violence leave introduced by the Domestic Violence - Victims Protection Act 2018 which was passed in July. However, the Act introduces another, less known, but equally striking change. In addition to being granted 10 days' domestic violence leave, an employee who is a victim of domestic violence can request a variation of their working arrangements for up to two months.

By Kiren Narayanan - 14 Aug 2018

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Court judgments now include compounding interest

Court judgments now include compounding interest

The Interest On Money Claims Act 2016 (which came into force this year) has changed the basis on which all Courts award interest on money claims.  This is good news for plaintiffs. Previously, the courts generally only awarded interest from the date of filing of a claim, the rate was fixed and compound interest was not allowed (unless specified in a prior agreement).

By Tony Johnson - 8 Aug 2018

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Ebert Construction and retention monies held 'in trust'

Ebert Construction and retention monies held 'in trust'

On 1 August 2018, Ebert Construction Limited went into receivership. Ebert's receivership will be interesting to monitor, primarily due to it being the first major construction company to enter receivership with the requirement to hold retentions "in trust" under new amendments to the Construction Contracts Act 2002.

By Pierce Bedogni - 3 Aug 2018

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Paid leave for victims of domestic violence

Paid leave for victims of domestic violence

Under a new bill introduced into Parliament, victims of domestic violence will be entitled to up to 10 days' paid leave. We foresee some issues regarding proof for employers when this bill comes into effect next year.

By Kiren Narayanan - 26 Jul 2018

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Debts owed to you by a family trust - are they protected if you separate?

Debts owed to you by a family trust - are they protected if you separate?

New Zealand has one of the highest rates of Family Trusts per capita in the world. But a lot of these Trusts are not being managed correctly which then impacts on the protection a Trust can provide, particularly in the event of a relationship break down/separation.

By Fiona McGeorge - 12 Jul 2018

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How to prevent building disputes

How to prevent building disputes

Building disputes can be very costly to resolve and cause both parties a lot of stress. If a dispute arises before construction is complete, building work is often suspended until the dispute is resolved. This can cause delays and can put unfinished work or materials on site at risk of damage. On residential projects in particular, a homeowner will be very invested and emotions can run high. Fortunately, there are things all parties can put in place to help prevent disputes.

By Meika McHardy - 4 Jul 2018

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