Building using other peoples plans (Nat)

Builders are often asked to provide a construction price for plans and specifications prepared by another person. It is important to remember that these plans may not be totally accurate in relation to construction details and/or material selection – no one is perfect. Or sometimes the material nominated may not be the best in that location and as a result may fail in due course, or alternatively the detail to a particular part of the construction may not be appropriate and if built that way may lead to problems.

Ideally these types of issues should be identified well prior to construction and preferably during the tender (or quotation) stage. At this point, builders can query the owner or designer and ask for them to change the documents to suit if needed.  Alternatively you can ‘qualify’ your tender by stating that you have not allowed for that particular detail or material and have substituted another means to achieve the same result.

The owner will either accept or reject your proposals. If they accept, then the alterations must be noted in the contract documents. Should they reject your proposal, then you should consider withdrawing your offer on the basis that the proposed design or detail will put you at risk from a future warranty claim.

Sometimes our eyes and mind are not as sharp as we would like and these potential problems may not be identified at the tender stage but rather during the construction stage. This presents a bigger problem as you are obligated to build the project in accordance with the plans and specifications and the warranty you provide protects the owner against you not doing that!

One option is to notify the owner of the problem and to offer an alternative method. This must be treated as a variation to the contract that will require their signature. Obviously if there is not a cost increase or time delays then the process is that much easier. But whatever you do, do not alter any details or change materials without their approval as you may be required to redo the work so it does comply with the original plans or specification.

The real difficultly arises when the owner or designer refuse to alter the details, even after you have expressed your concerns that problems may occur that you will have to fix. In this situation you have no option but to continue as per the contract documents. It is recommended that you send a letter to the owner and the designer informing them of your concerns and ask that they respond in writing acknowledging your advice.

If a problem does then arise (it may not even be from the original owner but a new owner) the production of such written correspondence may assist you in defending your position to the warranty insurer or a tribunal. It is no guarantee but at least you have a ‘paper trail’ which is better than saying – ‘I told you so’.

For further information HIA members can contact HIA’s Building Services staff on 1300 650 620 or hia_technical@hia.com.au . 

If you would like to become an HIA member, contact 1300 650 620 or  click here to join online

Ref No. NAT LEG 08-14

The above is intended to provide general information in summary form. The contents do not constitute specific advice and should not be relied upon as such. Formal specific advice should be sought by members with respect to particular matters before taking action.  ABN 99 004 631 752