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Construction Contract Red Flags Every NSW Homeowner Must Know
Identify unfair terms, hidden risks, and costly mistakes before you sign your building contract.
You can be confident that you are getting the right legal advice.
Building contracts contain complex legal terms that can expose you to significant financial risks. Understanding red flags in payment schedules, scope of work, completion dates, warranties, and dispute resolution provisions helps you protect your investment. This guide identifies the critical warning signs NSW homeowners must recognise before signing any residential building contract.
Get a Fixed-Fee Quote NowUnderstanding the Basics of Your Construction Contract
Before identifying specific red flags in your construction contract, you need to understand what you're reviewing. A building contract is a legally binding agreement between you and your builder that establishes the complete terms and conditions of your construction project. Every clause, payment term, and obligation in that contract creates enforceable legal rights and responsibilities.
Thoroughly reading and understanding your contract before signing prevents unpleasant surprises during construction. Many NSW homeowners sign contracts without recognising unfair terms, vague obligations, or one-sided provisions that favour the builder. Once you sign, you're legally bound to those terms—even the unfair ones you didn't notice.
This is why identifying red flags before signature is critical. The warning signs discussed in this guide help you recognise problematic contract provisions that could cost you thousands of dollars or result in prolonged disputes. Understanding these red flags empowers you to negotiate better terms or seek specialist legal advice before committing to an unfair agreement.
Payment and Payment Schedule Red Flags
Payment terms represent one of the most critical aspects of your construction contract and one of the most common sources of disputes. Understanding what constitutes fair payment terms versus unfair payment schedules helps NSW homeowners identify contracts that create significant financial exposure before signing. NSW homeowners must carefully scrutinise the payment schedule to ensure it's fair, reasonable, and aligned with actual work progress.
The first major red flag is excessive upfront payments. Under the Home Building Act 1989 (NSW), builders cannot demand more than 10% deposit for contracts over $20,000. If your contract requires larger upfront payments—such as 20%, 30%, or more—this violates NSW building law and indicates potential problems. Builders demanding excessive deposits may have cash flow issues or questionable business practices.
Irregular or front-loaded payment schedules create another significant risk. Fair payment schedules align payments with actual work completed at each stage. Red flags include payment demands that exceed the value of work completed, multiple large payments early in the project, or payment schedules heavily weighted toward the beginning of construction. These arrangements leave you financially exposed if the builder abandons the project or fails to complete work.
Payment terms that favour the builder over the homeowner represent a third category of red flags. Watch for clauses requiring immediate payment without reasonable notice periods, provisions allowing builders to suspend work after minimal payment delays, or terms that don't provide you with rights to withhold payment for defective or incomplete work. Fair contracts balance the builder's right to timely payment with your right to receive quality work before paying.
NSW's Security of Payment Act provides important protections for payment disputes, but your contract should still contain fair payment provisions that minimise the risk of disputes arising in the first place.
Red Flags in the Scope of Work
The scope of work section defines exactly what your builder must deliver and establishes the foundation for identifying whether future variations represent legitimate scope changes or work that should have been included in the original contract price. Vague, incomplete, or ambiguous scope descriptions create significant risks for NSW homeowners and commonly lead to disputes about what work was actually included in the contract price.
Vague or ambiguous descriptions represent the most common scope of work red flag. Terms like 'supply and install kitchen as per discussion,' 'bathroom renovation to acceptable standard,' or 'generally in accordance with plans' lack the specificity required to enforce your rights. These descriptions leave too much room for interpretation and disagreement. Detailed scope descriptions specify materials, brands, quality standards, quantities, and exact specifications for every aspect of the work.
Incomplete or missing tasks within the scope of work create another major issue. Your contract should clearly identify every task the builder must complete. Red flags include major work components not mentioned in the scope, assumptions that certain work is 'included' without written confirmation, or references to verbal discussions not documented in the contract. If significant work items aren't explicitly listed in your scope of work, you may face unexpected variation charges or disputes about whether that work was ever included.
Undefined responsibilities between owner and builder represent a third category of scope-related red flags. Your contract should clearly state who is responsible for obtaining permits, providing site access, arranging inspections, supplying certain materials, coordinating utility connections, and managing waste removal. When these responsibilities aren't clearly defined, disputes arise about who should have done what—and who pays for the consequences when things go wrong.
A comprehensive, detailed scope of work protects both you and your builder by eliminating ambiguity and establishing clear expectations from the start.
Red Flags in Change Order Provisions
Change orders—also called variations—are written amendments to your original contract that document changes in project scope, specifications, or price. Fair variation provisions protect homeowners from excessive variation charges by requiring written approval and price certainty before variation work commences, preventing the cost blowouts that commonly arise from poorly defined variation clauses. How your contract handles variations significantly impacts your control over project costs and your protection against unexpected charges.
The most serious red flag is variation provisions that give builders excessive discretion to implement changes without your written approval. Contracts that allow builders to proceed with variations based on verbal instructions, implied consent, or unilateral builder decisions expose you to significant cost blowouts. Fair variation clauses require your explicit written approval before any variation work commences and before you become liable for variation charges.
Another critical warning sign is variation provisions that don't require corresponding price adjustments to be documented before work begins. Some contracts allow builders to perform varied work and determine pricing afterwards—leaving you with no certainty about costs until you receive the invoice. This arrangement heavily favours builders and removes your ability to decline variations based on cost. Fair variation clauses require builders to provide written quotations for variation work, allow you reasonable time to consider and approve (or reject) those quotations, and prohibit variation work from commencing until you've approved both the scope and price in writing.
Vague language around what constitutes a variation creates additional problems. Some contracts define variations so broadly that virtually any minor adjustment becomes a chargeable extra. Fair contracts clearly distinguish between genuine scope changes (legitimate variations) and work that should have been included in the original contract price. They also specify that correcting builder errors, fixing defective work, or completing work to the standard specified in the original contract cannot be charged as variations.
Under NSW building law, variation provisions must be fair and transparent. Contracts that fail to provide these protections put your budget and project control at serious risk.
Red Flags in Completion Date and Penalties
The completion date establishes when your builder must finish the project. How your contract addresses completion dates and delays significantly impacts your rights when construction takes longer than expected.
The first major red flag is contracts without a specific completion date. Vague terms like 'approximately 6 months,' 'around mid-2024,' or 'as soon as reasonably practicable' provide no enforceable completion deadline. Without a specific completion date, you have extremely limited rights to claim delays or terminate for late completion. Fair contracts specify when practical completion must occur and what quality standards apply at that milestone, preventing disputes about whether the builder has actually finished the work to the required standard. Fair contracts specify an exact completion date or a defined period (e.g., '120 working days from commencement date as defined in this contract').
Unrealistic completion dates that don't account for project complexity represent another warning sign. Builders who promise unrealistically short timeframes often fail to complete on schedule, leading to delays and disputes. While you want your project completed quickly, the completion date should reflect realistic construction timeframes for the scope and complexity of your project. Comparing your builder's proposed timeframe with industry standards helps identify unrealistic promises.
The absence of delay penalties or liquidated damages provisions creates a third red flag. Fair contracts include consequences when builders fail to meet the completion date. Liquidated damages clauses specify a daily or weekly amount the builder must pay for late completion, compensating you for the financial impact of delays. Contracts without any penalty provisions give builders little incentive to complete on time and leave you with limited remedies for delays.
Conversely, excessive penalties that are commercially unreasonable may not be enforceable. Fair liquidated damages reflect genuine anticipated losses from delays—such as additional rent, storage costs, or alternative accommodation expenses—rather than punitive amounts designed solely to punish builders.
Unclear or ambiguous language around extensions of time (EOT) provisions presents another significant issue. Your contract should clearly specify what circumstances entitle the builder to time extensions and what process the builder must follow to claim them. Fair EOT provisions require builders to provide prompt written notice of delays, substantiate the delay cause, and demonstrate entitlement to the extension. They should also distinguish between delays caused by you (which may warrant extensions) and delays caused by the builder's poor planning or performance (which don't warrant extensions).
Examining Contract Provisions and Requirements
Beyond the specific areas discussed above, your construction contract contains numerous other provisions that establish important rights and obligations. NSW homeowners should carefully review all contract terms to identify unfair, unreasonable, or one-sided provisions that could create problems during construction.
Warranty provisions establish what guarantees your builder provides about their work quality and how long those guarantees last. Red flags include warranty periods shorter than statutory minimums, warranties that exclude significant defect categories, or overly restrictive warranty claim procedures that make it difficult to enforce your rights. Under NSW law, builders must provide statutory warranties covering major and minor defects for specified periods. Your contract should clearly explain these warranty obligations and the process for making warranty claims.
Permit and approval provisions specify who is responsible for obtaining necessary building permits, development approvals, and regulatory certifications. Red flags include contracts that place all permit responsibility on you without clearly explaining what approvals are required, contracts that allow builders to commence work before permits are obtained, or provisions that make you liable for delays or costs resulting from permit issues the builder should have managed. Fair contracts clearly assign permit responsibilities and require builders to obtain all necessary approvals before commencing work.
Insurance requirements protect both you and your builder from various construction-related risks. Your contract should clearly specify what insurance coverage your builder must maintain and provide evidence of that coverage before work commences. This includes contract works insurance, public liability insurance, and home warranty insurance where required by NSW law. Contracts that don't specify insurance requirements or don't require proof of coverage before commencement create significant risk exposure.
Dispute resolution provisions establish how you and your builder will handle disagreements that arise during construction. Fair dispute resolution clauses provide accessible, cost-effective mechanisms for resolving disputes without immediately resorting to litigation. This might include negotiation requirements, expert determination procedures, or mediation processes. Red flags include provisions that make dispute resolution unnecessarily expensive, clauses requiring you to accept the builder's determination of disputes, or terms that limit your rights to pursue claims through NSW Civil and Administrative Tribunal (NCAT) or courts.
Red Flags in Insurance and Liability
Insurance and liability provisions protect you from financial losses if accidents, damage, or defects occur during or after construction. Understanding red flags in these provisions helps you identify contracts that leave you inadequately protected.
Insufficient insurance coverage represents the most serious red flag. Your builder should maintain comprehensive insurance including contract works insurance (covering the building works and materials), public liability insurance (covering third-party injury or property damage), and where applicable, home warranty insurance as required under the Home Building Act 1989 (NSW). Verify your builder's insurance coverage before signing by requesting certificates of currency showing current coverage that extends throughout your project duration. Contracts that don't specify required insurance coverage amounts, don't require evidence of current insurance before work commences, or allow builders to commence work while underinsured create unacceptable risk. If an uninsured builder causes damage to your property or a third party is injured on your site, you could face significant financial liability.
Unclear language around liability allocation creates another category of red flags. Your contract should clearly establish when the builder is liable for damage, defects, delays, or other problems and when you might share liability. Red flags include broad liability exclusions that absolve builders from responsibility for their errors, vague 'best efforts' language that doesn't create enforceable obligations, or clauses that shift unreasonable liability onto homeowners for issues that should be the builder's responsibility.
Failure to name you as an additional insured party on relevant insurance policies represents a third warning sign. Being named as an additional insured on the builder's public liability policy provides you with direct coverage and claim rights under that policy. Contracts that don't require this protection leave you relying solely on the builder's cooperation if you need to make a claim.
Limitation of liability clauses that cap the builder's financial responsibility below reasonable levels create additional concerns. While some limitations may be reasonable, clauses that cap liability at artificially low amounts (such as limiting total liability to the contract price or less) may leave you inadequately compensated for significant defects or damage. NSW courts may refuse to enforce liability limitations that are unconscionable or grossly unfair.
Under the Home Building Act 1989 (NSW), specific insurance requirements apply to residential building contracts. Your contract must comply with these statutory requirements, and you should verify insurance coverage before work commences.
Red Flags in Warranties and Guarantees
Warranties and guarantees represent your builder's promises about work quality and their commitment to rectify defects that emerge after completion. NSW building law provides statutory warranties that automatically apply to residential building contracts, but your written contract should clearly explain these warranty obligations.
Vague or ambiguous warranty language creates the most common red flag in this area. Terms like 'work will be performed to a satisfactory standard,' 'generally in accordance with industry practice,' or 'defects will be rectified as appropriate' lack the specificity needed to enforce warranty rights. Fair warranty clauses clearly specify what standards apply (such as compliance with Building Code of Australia, Australian Standards, and manufacturer specifications), what defect categories are covered, and what timeframes apply for different defect types.
Excessively short warranty periods that fall below statutory minimums represent another serious warning sign. Under the Home Building Act 1989 (NSW), builders must provide statutory warranties covering major defects for 6 years and other defects for 2 years from completion. These statutory warranty periods establish minimum defects liability obligations that protect homeowners even when written contract warranties attempt to provide shorter coverage or exclude certain defect categories. Contracts that attempt to reduce these warranty periods or exclude significant defect categories may be unenforceable, but they still indicate a builder's unwillingness to stand behind their work. Fair contracts acknowledge and explain statutory warranty obligations rather than attempting to limit them.
Warranties not backed by meaningful guarantees or rectification processes create a third category of red flags. A warranty promise is only valuable if it includes a clear, accessible process for making warranty claims and obtaining rectification. Red flags include warranties that require unreasonable documentation or notification procedures, clauses that make warranty claims prohibitively expensive or complex, or provisions that allow builders to indefinitely delay rectification work. Fair warranty clauses specify reasonable timeframes for the builder to respond to warranty claims and complete rectification work.
Broad warranty exclusions that eliminate coverage for common defect types present another warning sign. While some exclusions may be reasonable (such as excluding damage you cause or normal wear and tear), overly broad exclusions might eliminate coverage for structural issues, water penetration, or other significant problems. Contracts that exclude 'consequential damage' or 'indirect losses' from warranty coverage may prevent you from claiming the full cost of defect rectification.
Under NSW law, statutory warranties cannot be excluded or limited by contract terms. Any contract provision that attempts to reduce your statutory warranty rights is void and unenforceable.
Red Flags in Dispute Resolution and Termination
Dispute resolution and termination provisions establish how you and your builder handle disagreements and under what circumstances either party can end the contract. These provisions significantly impact your rights when serious problems arise during construction.
Unfair or one-sided dispute resolution processes represent major red flags. Some contracts require homeowners to submit disputes to the builder's preferred expert or arbitrator, mandate expensive dispute resolution procedures that favour builders, or include clauses stating that the builder's determination of any dispute is final. Fair dispute resolution provisions provide balanced, accessible mechanisms such as negotiation, mediation, or expert determination using mutually agreed neutrals. NSW homeowners retain rights to pursue building disputes through NCAT regardless of dispute resolution clauses that attempt to restrict access to tribunal remedies. They preserve your rights to pursue claims through NCAT or courts when informal resolution fails.
Another critical warning sign is provisions that require you to continue paying the builder even when disputes arise about defective work, incomplete work, or other contract breaches. While builders are entitled to payment for completed work, fair contracts recognise your right to withhold payment for defective or incomplete work pending resolution of legitimate disputes. Contracts that eliminate this right leave you with limited leverage to enforce your rights.
Termination provisions that heavily favour builders over homeowners create additional red flags. Your contract should provide balanced termination rights that allow either party to terminate for significant contract breaches while protecting both parties from unfair termination. Red flags include provisions allowing builders to terminate for minimal payment delays while making it extremely difficult for you to terminate for builder breaches, clauses requiring you to pay the full contract price even if you terminate for the builder's default, or provisions that don't clearly specify what circumstances justify termination.
Financial consequences of termination represent another important consideration. Fair termination provisions clearly specify what payments are due if either party terminates the contract and under what circumstances. They should distinguish between termination for default (breach of contract) and termination for convenience (voluntary termination without breach). Red flags include termination provisions that leave financial consequences undefined, clauses requiring you to pay unreasonable termination fees, or provisions that don't entitle you to any refund of payments made if you terminate for the builder's serious breach.
NSW law provides certain termination rights that cannot be excluded by contract. Under the Home Building Act 1989 (NSW), you have statutory cooling-off rights allowing you to terminate within 5 business days of signing the contract. You also have rights to terminate if the builder becomes insolvent, abandons the work, or commits serious breaches. Your contract should acknowledge these statutory rights rather than attempting to restrict them.
Red Flags in Permits and Approvals
Building permits, development approvals, and regulatory certifications are essential prerequisites for lawful construction. How your contract addresses permit and approval responsibilities significantly impacts your legal compliance and financial risk.
Vague or incomplete language around permit responsibilities creates the most common red flag in this area. Your contract should clearly specify exactly who is responsible for obtaining every required permit and approval—including construction certificates, development consents, occupation certificates, plumbing and drainage approvals, electrical safety certificates, and any other regulatory approvals required for your specific project. Contracts that clearly allocate building permit responsibilities prevent disputes about permit delays and ensure compliance with NSW building regulations before construction commences, protecting you from illegal building work liability. Contracts that use vague language like 'permits as required' or 'approvals will be arranged' without clearly assigning responsibility create confusion and potential delays.
Failure to specify who is responsible for obtaining permits represents another serious warning sign. When permit responsibilities aren't clearly assigned, disputes arise when permits aren't obtained—with builders claiming it was your responsibility and you believing it was theirs. NSW law generally requires builders holding contractor licences to obtain necessary permits for their work, but your contract should explicitly confirm these responsibilities rather than leaving them undefined.
Absence of penalties or consequences if permits aren't obtained creates a third category of red flags. Fair contracts specify what happens if the responsible party fails to obtain required permits—including who pays for delays, whether you can terminate the contract, and what compensation you're entitled to receive. Contracts that don't address these consequences leave you without clear remedies if permit failures cause project delays or prevent occupation.
Problematic contracts sometimes allow builders to commence work before obtaining required permits. This practice is illegal in NSW and creates serious liability for homeowners. Fair contracts clearly require all necessary permits and approvals to be obtained before any work commences and require builders to provide evidence of those permits.
Responsibility for permit costs should also be clearly addressed. In most NSW residential building contracts, permit costs are included in the contract price or specified as an allowance or provisional sum. Red flags include contracts where permit cost responsibility is undefined or provisions requiring you to pay unknown permit costs in addition to the contract price without clear cost limits.
Under NSW building legislation, specific permits and approvals are legally required before construction can lawfully commence. Building without appropriate approvals can result in orders to cease work, rectification orders, and difficulties selling your property in the future.
Seeking Legal Advice for Your Contract Review
After learning about these red flags, you might recognise concerning provisions in your building contract—or simply want expert confirmation that your contract adequately protects your interests. This is where specialist construction law advice becomes invaluable.
Construction contracts are complex legal documents with significant financial and legal implications for NSW homeowners. A specialist construction lawyer can review your contract before you sign, identify problematic provisions, explain your legal rights and obligations, and advise you on negotiation strategies to achieve fairer terms. This prevention-first approach helps you avoid expensive disputes, cost blowouts, and prolonged construction problems.
While reviewing your contract yourself might seem cost-effective, you could miss critical red flags that expose you to substantial risk. Construction lawyers understand NSW building legislation including the Home Building Act 1989, relevant case law establishing your rights, and common contract provisions that frequently lead to disputes. This specialist expertise ensures your contract review identifies all significant issues—not just the obvious problems.
When selecting a construction lawyer, choose someone who specialises exclusively in construction law rather than a generalist practitioner who handles construction matters occasionally. Specialist construction lawyers maintain current knowledge of building legislation changes, actively practice in construction dispute tribunals like NCAT, and understand both legal and practical construction industry issues.
Look for a lawyer with substantial experience in NSW residential building contracts specifically. Construction contracts vary significantly between commercial and residential projects and between different states. A lawyer who primarily handles commercial construction or practices in other jurisdictions may not identify NSW residential building contract issues.
Consider lawyers who offer fixed-fee contract reviews rather than hourly billing. Fixed fees provide cost certainty and eliminate billing surprises—allowing you to obtain professional advice without open-ended cost exposure. Many specialist construction lawyers, including Contracts Specialist, provide fixed-fee contract review services specifically designed for NSW homeowners entering residential building contracts.
The investment in professional contract review is minimal compared to the potential costs of signing an unfair contract. Disputes arising from problematic contract terms can cost tens of thousands of dollars in legal fees, rectification costs, and project delays. Spending a reasonable fixed fee for expert contract review before signature prevents far greater expenses later.
Your Contract Reviewed by an Expert Construction Lawyer
When you submit your building contract, it's reviewed personally by John Dela Cruz — Principal Lawyer at Contracts Specialist with over 17 years of exclusive construction law experience.
John is an Australian Legal Practitioner and he services NSW, Queensland, Victoria, and Tasmania. He has dedicated his entire legal career to specialise on construction law. As a former Divisional President of the Master Builders Association NSW, he combines deep legal expertise with comprehensive industry knowledge. He maintains daily experience in building dispute tribunals (NCAT, VCAT, QCAT) and courts across multiple jurisdictions.
Unlike generalist lawyers who handle various legal matters, John specialises exclusively in residential building contracts and homeowner protection. Your contract review focuses on identifying unfair terms, clarifying your legal obligations, and protecting you from costly mistakes before you sign.
How to Get Your Building Contract Reviewed
Getting specialist legal review of your NSW building contract is straightforward with our streamlined process:
1
Submit Your Contract
Upload your building contract and provide basic details through our secure online form. No consultation required—just submit your contract and essential project information.
2
Confirm Your Interest
Receive an immediate confirmation email acknowledging your submission. Reply to confirm you'd like to proceed with the fixed-fee contract review.
3
Receive Your Fixed-Fee Quote
Within 24 hours of confirmation, receive a transparent cost disclosure via email outlining the fixed fee for your contract review. No obligation to proceed.
4
Get Your Expert Review
Accept the cost disclosure and secure payment. Your detailed contract review identifying red flags, unfair terms, and legal risks will be delivered via email within 2 business days of payment.
Protect Your Investment with Specialist Contract Review
You've learned about the critical red flags that indicate unfair, risky, or problematic provisions in NSW building contracts. Now take the next step to protect your investment—get your contract reviewed by a specialist construction lawyer before you sign.
Contracts Specialist provides fixed-fee contract reviews specifically designed for NSW homeowners entering residential building contracts. With over 17 years of exclusive construction law experience and former Master Builders Association NSW leadership, John Dela Cruz identifies the red flags, unfair terms, and legal risks that generalist lawyers miss.
Don't sign your building contract without specialist legal review. The small investment in professional contract review prevents expensive disputes, cost blowouts, and construction problems that could cost tens of thousands of dollars to resolve.
Submit your contract today for a fixed-fee review. You'll receive transparent cost disclosure within 24 hours and your detailed contract review within 2 business days of payment—giving you the legal clarity and protection you need before signing.
Get a Fixed-Fee Quote NowFrequently Asked Questions About Building Contract Red Flags
The most serious red flags include excessive upfront deposits exceeding 10% (violating the Home Building Act 1989), vague scope of work descriptions that create ambiguity about what's included, variation provisions allowing builders to proceed with changes without your written approval, absence of specific completion dates, inadequate insurance requirements, and one-sided termination provisions that favour builders. These red flags expose you to significant financial risk and limited legal protections if problems arise during construction.
Unfair payment terms include deposits exceeding 10% of the contract price, front-loaded payment schedules where early payments exceed the value of work completed, irregular payment intervals that don't align with construction progress, payment terms requiring you to pay before work is completed to an acceptable standard, and absence of your right to withhold payment for defective or incomplete work. Fair payment schedules align payments with actual work completed and protect you from paying for work that hasn't been properly finished.
Fair variation provisions require your written approval before any variation work commences, mandate written quotations specifying variation costs before work begins, clearly distinguish between legitimate scope changes and work that should have been included in the original price, and prohibit charging variations for correcting builder errors or defective work. Red flags include provisions allowing builders to proceed with variations based on verbal instructions, determining variation pricing after work is completed, or defining variations so broadly that virtually any adjustment becomes chargeable.
A specific completion date establishes an enforceable deadline for your builder to finish the project and provides the foundation for claiming delays or terminating for late completion. Without a specific completion date, you have extremely limited rights when construction takes longer than expected. Fair contracts specify an exact completion date or defined period and include liquidated damages provisions compensating you for financial losses resulting from delays. Vague timeframes like 'approximately 6 months' provide no enforceable deadline.
Your builder should maintain contract works insurance (covering the building works and materials), public liability insurance (covering third-party injury or property damage), and where required by the Home Building Act 1989, home warranty insurance for contracts exceeding $20,000. Your contract should specify these insurance requirements, require evidence of current coverage before work commences, and name you as an additional insured on relevant policies. Builders who commence work without appropriate insurance create significant liability risk for homeowners.
Adequate warranty provisions clearly explain your statutory warranty rights under the Home Building Act 1989 (NSW), including 6-year coverage for major defects and 2-year coverage for other defects. They specify what quality standards apply (Building Code of Australia, Australian Standards, manufacturer specifications), what defect categories are covered, and provide accessible processes for making warranty claims with reasonable rectification timeframes. Red flags include warranty periods shorter than statutory minimums, broad exclusions eliminating coverage for common defect types, and overly restrictive claim procedures.
Get specialist legal advice before signing your building contract—ideally as soon as you receive the contract from your builder. Pre-signature contract review allows you to identify unfair terms, negotiate better provisions, and make informed decisions about whether to proceed with that builder or contract. Seeking legal advice after signing provides far fewer options for protecting your interests. The small investment in professional contract review before signature prevents expensive disputes and problems that commonly arise from unfair contract terms.