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BUILDING CONTRACTS

Building Contract Reviews in Brisbane and Queensland

A.L.F Lawyers provides building contract review services in Brisbane for owners across Queensland, helping identify legal and commercial risks before you commit. For anyone engaging a new home contract lawyer in Queensland, reviewing the contract before signing can help identify obligations and risks that may not be obvious on a first read. It is drafted by the builder or the industry body. It is not drafted with the owner in mind.
Our building contract review in Brisbane service covers the contract, the Consumer Building Guide, the Special Conditions inserted by the builder, and the QBCC licence and compliance history of the builder.

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THE BASICS

What a building contract review is

A building contract review is a legal review of the documents an owner is being asked to sign to have a home built. It is a targeted review of the contract and the QBCC compliance framework. It is not a technical or engineering review of the plans or specifications.
The distinction matters. Whether the slab design is appropriate for the soil, whether the frame specification meets energy expectations, or whether the electrical loading is adequate for the intended use, are all questions for a qualified building consultant, engineer or independent inspector. We flag technical matters that catch our eye but we cannot give advice on them.
THE LEGAL FRAMEWORK

The Queensland building contract framework

Residential building contracts in Queensland are regulated under the Queensland Building and Construction Commission Act 1991 and Schedule 1B of that Act. The framework governs contract content, cooling off rights, progress payments, licensing, insurance, and the resolution of defects and disputes.

The most commonly used contracts include the HIA Queensland New Homes Construction Contract (QC1), Master Builders contracts, QBCC contract forms, and bespoke contracts prepared by larger builders. An HIA contract review can help identify provisions that may affect the owner’s costs, obligations and rights.
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Each of these contract forms has its own drafting conventions and its own areas where owners are typically exposed. The QBCC itself publishes some contract forms, though these are less commonly used in practice than the industry body contracts. A new home contract lawyer in Queensland can review these terms and explain how the particular contract affects the owner’s rights and obligations.
  • Cooling off period
Owners are entitled to a cooling off period of 5 business days after the day the signed contract and the Consumer Building Guide are received. Written notice to the builder is required to withdraw. Where withdrawal occurs, the builder is entitled to retain $100 and reasonable out of pocket expenses incurred to the time of withdrawal.
  • Queensland Home Warranty Scheme
Residential construction work is covered by the Queensland Home Warranty Scheme, which provides statutory protection against non-completion, defective work, and subsidence for up to six years from completion, where the work is carried out by a licensed contractor. The builder must pay the premium within 10 business days of the contract date or before work commences. The owner should receive a Notice of Cover from the QBCC shortly after signing.
  • Statutory warranties
The statutory warranty period is 6 years for structural defects and 12 months for non-structural defects, running from Practical Completion.
KNOW THE RISKS

Categories of risk in a building contract

The categories below are a general overview of areas where owners commonly have questions about residential building contracts. How they apply to any specific contract, and what should be done about them, requires review of the actual documents.
The contract must accurately identify the land. Where the land is not yet registered, or the owner is not yet the registered owner, the contract may need to be made subject to registration and settlement. Without that amendment, an owner can be contractually bound to build regardless of whether title is obtained.

The builder must hold a current QBCC licence in the correct category and hold the required insurances. The builder’s compliance record with the QBCC (including Directions to Rectify, infringement notices, demerit points, and statutory insurance claims) can inform how the contract should be administered during construction.

 

None of these markers is necessarily disqualifying. A high volume residential builder will typically have some Directions to Rectify recorded, and claims can arise for reasons unrelated to the quality of the builder’s work.

The contract price is typically expressed as a fixed price, with contractual carve outs allowing adjustment. Common adjustment triggers include hidden site conditions, documentation discrepancies, owner delays, changes in statutory requirements, and Prime Cost or Provisional Sum adjustments.

 

All variations must be in writing and must be agreed before variation work commences. Prime Cost items (items provisionally allowed for in the contract price, such as appliances, tiles or tapware) are adjusted based on actual cost, with the difference (plus the builder’s margin where the cost exceeds the allowance) either payable by the owner or credited.

Contracts typically allow the builder to claim a variation to price and time where hidden site conditions are found, meaning conditions that could not have been reasonably anticipated at the time of contract. The mechanism should be understood before signing.
Contracts specify an anticipated start date and a building period. Extensions of time can be claimed by the builder for grounds set out in the contract, typically including variations, inclement weather, unavailability of materials or labour, industrial action, and other causes beyond the builder’s control.
Where the contract provides for delay damages payable by the builder if Practical Completion is not reached by the agreed date, the daily rate must be specified in Schedule 1. Where Schedule 1 is left blank, no delay damages may be payable.

Practical Completion occurs when the works are completed in accordance with the contract, except for minor defects that do not prevent occupation. Owners are typically required to inspect and respond within a defined period after receiving a Notice of Practical Completion.

 

Taking possession before Practical Completion, without written agreement, can have significant consequences under many contracts.

The contract typically provides a defects liability period after Practical Completion during which the builder must rectify defects identified and notified by the owner. Statutory warranties beyond the defects liability period are unaffected and continue to run.
The builder is required to hold contract works insurance and public liability insurance, maintained until Practical Completion. Owner and builder are typically noted as jointly insured. The owner takes over responsibility for the works from Practical Completion.
Builders commonly insert Special Conditions that vary the standard contract terms in the builder’s favour. Common examples include caps on the builder’s liability, discretion to substitute materials, extended payment terms, and expanded grounds for extensions of time. The impact of Special Conditions is often significant and often not obvious on a first read.

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Don’t sign anything until you’ve spoken to us.
Property contracts are complex, and the wrong advice at the wrong time can cost you dearly. Our conveyancing lawyers will review your contract in full, explain exactly what you’re agreeing to, and identify any conditions or clauses that put you at risk before you’re legally bound.

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OUR CHECKLIST

The scope of our review

Our review is limited to the legal and commercial terms of the contract documents provided. A building contract review lawyer in Brisbane can identify provisions that may expose an owner to unexpected costs, delays or obligations before the contract is signed. We do not review the plans, drawings, specifications, engineering details, structural design, or inclusions for technical accuracy, suitability, compliance with the National Construction Code, or performance standards.

We also do not review the Tender, the specifications and the inclusions themselves. These are matters specific to the owner’s own likes, dislikes and requirements. The owner must review these documents and any associated plans and satisfy themselves as to their contents before signing.
Owners should obtain independent advice from a qualified building consultant or engineer on the technical aspects before proceeding. A building contract solicitor in Brisbane can separately advise on the legal and commercial terms of the contract.
Whether the contract is an HIA form, a Master Builders form or a builder’s bespoke agreement, our review focuses on the legal and commercial terms that affect the owner’s position. This includes Master Builders contract review where that form has been provided by the builder.
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COSTS & TIMEFRAMES

Cost and turnaround

Building contract review in Brisbane is charged at a fixed fee, agreed in writing before we commence. The fee reflects the volume of documentation, which typically includes the contract itself, the schedules, and any Special Conditions.
Most reviews are completed within 3 to 5 business days of receiving the full documentation.
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COMMON QUESTIONS

Frequently asked questions

Do I need a lawyer to review my building contract?
There is no statutory requirement to engage a lawyer. Given the size of the commitment, the complexity of the QBCC framework, and the areas where owner interests differ from builder interests, legal review before signing is generally recommended. A building contract review in Brisbane gives the owner an opportunity to understand the legal and commercial terms before signing.
The QC1 is the Queensland New Homes Construction Contract, a standard form contract published by the Housing Industry Association (HIA) for new home construction in Queensland. A QC1 contract review can identify provisions, Special Conditions and other terms that may affect the owner’s obligations before signing. It must comply with Schedule 1B of the Queensland Building and Construction Commission Act 1991. The QBCC is the regulator, not the publisher of the QC1. An HIA contract review can help an owner understand the terms of the QC1 before signing.
5 business days after the day the signed contract and the Consumer Building Guide are received. Written notice to the builder is required to withdraw.
A statutory insurance scheme covering owners of residential construction work carried out by licensed contractors. It provides protection against non-completion, defective work and subsidence for up to 6 years from completion.
Directions issued by the QBCC to a licensed contractor requiring rectification of defective building work. The presence of Directions to Rectify on a builder’s compliance record is not necessarily disqualifying and is common for high volume builders.
All variations to a residential building contract must be in writing and agreed before work commences.
Items provisionally allowed for in the contract price (such as appliances, tiles, tapware) not yet selected at the time of contract, with the actual cost adjusted against the allowance when confirmed.
No. These documents relate to the owner’s own likes, dislikes and requirements. The owner must review them and satisfy themselves as to their contents before signing. Our review covers the contract, the Special Conditions, the QBCC compliance framework, and related legal and commercial terms.
No. Technical review of plans, specifications, engineering details and structural design should be obtained from a qualified building consultant or engineer.
Yes. We can act for any owner whose building work is located in Queensland.