BUILDING ACT 2004 - SECT 88 Statutory warranties

BUILDING ACT 2004 - SECT 88

    (1)     By force of this section, every contract for the sale of a residential building, and every contract to carry out residential building work to which the builder is a party, is taken to contain a warranty under this section.

    (2)     The builder warrants the following in relation to residential building work:

        (a)     that the work has been or will be carried out in accordance with this Act;

        (b)     that the work has been or will be carried out in a proper and skilful way and—

              (i)     in accordance with the approved plans; or

              (ii)     if the work involves or involved handling asbestos or disturbing friable asbestos—in accordance with approved plans that comply with this Act in relation to the asbestos;

        (c)     that good and proper materials for the work have been or will be used in carrying out the work;

        (d)     if the work has not been completed, and the contract does not state a date by which, or a period within which, the work is to be completed—that the work will be carried out with reasonable promptness;

        (e)     if the owner of the land where the work is being or is to be carried out is not the builder, and the owner expressly makes known to the builder, or an employee or agent of the builder, the particular purpose for which the work is required, or the result that the owner desires to be achieved by the work, so as to show that the owner is relying on the builder's skill and judgment—that the work and any material used in carrying out the work is or will be reasonably fit for the purpose or of such a nature and quality that they might reasonably be expected to achieve the result.

    (3)     Each of the owner's successors in title succeeds to the rights of the owner in relation to the statutory warranties.

    (4)     The warranties end at the end of the period prescribed under the regulations after the completion day for the work.

    (5)     In subsection (2):

"owner" means—

        (a)     for a contract mentioned in subsection (1) for the sale of a residential building—the person to whom title in the land where the building was built is transferred under the contract; or

        (b)     for a contract mentioned in subsection (1) to carry out residential building work—the owner of the land where the work is to be carried out under the contract.