HOME BUILDING CONTRACTS ACT 1991 - SECT 25C
HOME BUILDING CONTRACTS ACT 1991 - SECT 25C
25C . Builder doing residential building work without insurance or corresponding cover, offence
(1) A builder must not
perform residential building work to which this Division applies unless
—
(a) a
policy of insurance that complies with this Division is in force in relation
to the residential building work; or
(b)
corresponding cover is provided by an approved fund in relation to the
residential building work.
Penalty: $10 000.
(2) A builder must not
perform residential building work to which this Division applies under a
residential building work contract unless the owner has been furnished, prior
to a demand from the builder for any payment in relation to the residential
building work including any deposit payable under the residential building
work contract, with a certificate in a form approved by the Minister, that
evidences the taking out of the policy referred to in subsection (1)(a) or the
provision of the cover referred to in subsection (1)(b).
Penalty: $10 000.
(3) Subsections (1)
and (2) do not apply to a builder who performs residential building work to
which this Division applies if —
(a) the
builder performs the residential building work during a period specified in an
order made under section 25I for the purposes of this subsection; or
(b) the
builder performs the residential building work —
(i)
after the end of a period specified in an order made
under section 25I for the purposes of this subsection; and
(ii)
under a building permit granted before or during that
period.
(4) A builder is not
entitled to cancel a policy of insurance that complies with this Division, or
corresponding cover provided by an approved fund, in relation to residential
building work solely on the basis that subsections (1) and (2) do not apply,
because of subsection (3), to the builder in relation to the residential
building work.
[Section 25C inserted: No. 72 of 1996 s. 5;
amended: No. 37 of 2002 s. 11 and 20; No. 24 of 2011 s. 163(7).]