Victorian Consolidated Legislation

House Contracts Guarantee Act 1987 - SECT 11

Builder to have liability for movement of the foundations

11. Builder to have liability for movement of the foundations



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(2) For the purposes of this Act, if there is movement of the foundations of a
dwelling-house, other than movement caused by earthquake, then-

   (a)  there is a defect in the dwelling-house; and

   (b)  the defect is to be taken to have been caused by bad workmanship; and

   (c)  the builder or supervisor is liable for loss or damage suffered by a
        person on account of that defect if a guarantee given under this Act
        is in force in respect of the dwelling-house.

(3) Nothing in subsection (2)(c) makes a builder or supervisor liable for loss
or damage that the builder or supervisor proves was caused by an act or
omission of a person other than-

   (a)  the builder or supervisor; or





   (b)  a person employed by or under contract to the builder; or

   (c)  a person performing work under the management or supervision of the
        supervisor.