QLD Builder unable to get approval for their plan(5%deposit paid)

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Aaronnnn

Member
7 April 2020
3
0
1
QLD
Hi all,

I went in the contract 21-01/20 for building a house.

My builder is unable to get building approval due to the side boundary setback (200mm on the drawing in the contract)(lodged early FEB)
Council advise them either amend the plan or obtain the consent from neighbour without any objections for the proposal.


They said that they applied MCU to cover the 200mm setback. But they were wrong. We have to have the consent form from neighbours. Both neighbours refused to give.

I have asked for full refund of 5% deposit but they said they can only refund the amount they haven’t spent on my file. Is it legally allowed to them to charge?
I spent 6 months with this plan built. (Since SEP last year)
I guess, my builder thought MCU would cover the side boundary setback like front setback relaxation.

They didn’t inform me about this consent issue prior to contract. (maybe they didn’t have any idea what they were doing with MCU)

Do I have right to request full refund ?

They cannot build my house as per contract without the neighbours consent which both side of neighbours already refused to give.

Another question: how to calculate the ANTICIPATED START DATE in the contract?
The contract is saying 60 days from date of this contract. It’s already past though if it’s counting from the date of the contract.

Any help will be appreciated.

Thanks in advance
 

Rob Legat - SBPL

Lawyer
LawTap Verified
16 February 2017
2,358
498
2,394
Gold Coast, Queensland
lawtap.com
Your contract should be on the QBCC standard form New Home Building Contract. Under the contract, if it is terminated for lack of building approval the builder must refund the 5% deposit less the costs incurred for:
- Fees paid to another person for data about the building site required for preparation for footings/slab (e.g. soil testing)
- Fees paid for plans and drawings etc to someone else
- Fees paid to someone else for development/building approval application
- Fees agreed for the provision of plans by the builder
 

Aaronnnn

Member
7 April 2020
3
0
1
QLD
Your contract should be on the QBCC standard form New Home Building Contract. Under the contract, if it is terminated for lack of building approval the builder must refund the 5% deposit less the costs incurred for:
- Fees paid to another person for data about the building site required for preparation for footings/slab (e.g. soil testing)
- Fees paid for plans and drawings etc to someone else
- Fees paid to someone else for development/building approval application
- Fees agreed for the provision of plans by the builder
Thanks for the reply.
Do I still need to pay the fee even the drawing is not complied with regulations? They spend my money on impossible floor plan to get approval.
Do I have right to ask any compensation due to the delays?(Lease, interest etc..)

Thanks again.
Aaron
 

Rob Legat - SBPL

Lawyer
LawTap Verified
16 February 2017
2,358
498
2,394
Gold Coast, Queensland
lawtap.com
You can ask them, but I doubt they’ll concede. A ‘non-compliant’ drawing is a very hard thing to define as it can rely on many things. It’s probably not worth the fight unless they made a very clear, unambiguous error.

And I doubt you’ll have a successful claim for compensation. The contracts always work delay factors in due to circumstances like weather, and you’d have to pay those expenses anyway.
 

Aaronnnn

Member
7 April 2020
3
0
1
QLD
You can ask them, but I doubt they’ll concede. A ‘non-compliant’ drawing is a very hard thing to define as it can rely on many things. It’s probably not worth the fight unless they made a very clear, unambiguous error.

And I doubt you’ll have a successful claim for compensation. The contracts always work delay factors in due to circumstances like weather, and you’d have to pay those expenses anyway.
They did not inform me in regards to the consent form when I chose my house design on my land. If it was my decision to go ahead with knowing that I would need to get the consent from the neighbour then I am not even having a conversation with you now.
However, I am just waiting for them to come back with all the amount refundable .
Thank you for your comments:)