VIC Building Delay - Seek Compensation from Builder?

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10 March 2016
When my husband and I first engaged xxx builder we were informed that the house design was able to fit on the block with some minor alterations to the front brick pier. We were guaranteed a site start commencing in March 2015. We went through the selection of colours/product at their gallery and paid the 5% deposit.

Thereafter, we were told that the house didn't fit the block as the design encroached the building envelope. They admitted this was being overlooked by them at the time when the sitting was done and needed to apply to the council for permits. The process, we were told then, would take a few weeks and we have to engage a land surveyor to redraw the boundaries after approval by council.

This took about 6/7 months before we received approval from council and an another 3/4 months wait for the Land Surveyor to lodge the plan and application for certification to the council.

Not from any fault of ours, we ended up incurring Land Surveyor's fees, bank fees, Solicitor fees for lodging the plans with the land office. In addition to these costs, the year-long delay has caused us to extend our lease with the landlord, which translate to more money that we will incur in rent.

The building of our house still has yet to commence as the builder is waiting for approval from the developer.

My question is: can we seek compensation from the builder for the costs that were incurred? Where can we seek recourse?

Michael T

Well-Known Member
9 April 2014
Hi Suzanna,
Read the terms of your contract carefully. See whether or not it provides for you to be compensated in certain circumstances.