Victorian Consolidated Legislation

Domestic Building Contracts Act 1995 - SECT 31

General contents etc. of a contract

31. General contents etc. of a contract



(1) A builder must not enter into a major domestic building contract unless
the contract-

   (a)  is in writing; and

   (b)  sets out in full all the terms of the contract; and

   (c)  has a detailed description of the work to be carried out under the
        contract; and

   (d)  includes the plans and specifications for the work and those plans and
        specifications contain enough information to enable the obtaining of a
        building permit; and

   (e)  states the names and addresses of the parties to the contract; and

   (f)  states the registration number (as it appears on the registration
        certificate under the Building Act 1993) of-

   (i)  the builder, in the case of a natural person; or

   (ii) in the case of a builder which is a partnership, the partners who are
        registered as builders under that Act; or

   (iii) in the case of a builder which is a corporation, the directors who
        are registered as builders under that Act; and

   (iv) in the case of a builder who is exempt under the Building Act 1993
        from the requirement to be registered, the builder who is to carry out
        the work;

   (g)  states the date when the work is to start, or how that date is to be
        determined; and

   (h)  if the starting date is not yet known, states that the builder will do
        everything that it is reasonably possible for the builder to do to
        ensure that the work will start as soon as possible; and

        (i)    states the date when the work will be finished, or, if the
               starting date is not yet known, the number of days that will be
               required to finish the work once it is started11; and

   (j)  states the contract price or, in the case of a cost plus contract, how
        the amount that the builder is to be paid is to be determined; and



   (k)  states the date the contract is made; and

   (l)  sets out details of the required insurance under the Building Act 1993
        that applies to the work to be carried out under the contract
        (including any details required by the Director); and

   (m)  is in English and is readily legible; and

   (n)  has a conspicuous notice in a form approved by the Director advising
        the building owner of the right the building owner may have to
        withdraw from the contract under section 34 (the 5 day cooling-off
        period); and

   (o)  has a separate section that defines the key words and phrases used in
        the contract (for example, prime cost item and provisional sum); and

   (p)  indicates whenever a defined word or phrase is used that that word or
        phrase is defined in the definition section; and

   (q)  sets out the warranties implied into the contract by sections 8 and
        20; and

   (r)  contains a checklist in a form approved, and containing the details
        required, by the Director; and

   (s)  complies with any other requirements set out in the regulations.

Penalty: 50 penalty units.

(2) A major domestic building contract is of no effect unless it is signed by
the builder and the building owner (or their authorised agents).