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Builder Variation of fixed contract what should I expect?

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Hello
I also am seeking others' thoughts about CPVs. I have a fixed price contract it is HIA contract. I was sent two price variations that had never been mentioned to me. One is for structural steel and the other for demolition work. The demo work was completed 8 months ago. The concrete removal incurred an extra cost but was identified in the demo plan ( done by my architect and in the signed contract) states that concrete is part of the demo to prepare the site.

As far as the structural steel goes an engineer drew up plans and these were submitted for the DA. The builder, architect and engineer had an onsite meeting, without me. Then the builder had some additional structural steel added to the build. Not once have I been informed what clause the variation is under nor have I been informed in writing before the works began. I was only informed about the cost once the jobs were completed and in the email the builder states he is waiting for the amended plans to be completed by the engineer. This is 4 weeks after the steel has been added. Is this normal?

I have written a letter saying I don't accept the CPVs (within the 5 days) and asked what clause has the variation been claimed under. The contract sets out the procedures of how the due process should be done, do builders generally follow the procedures?

If the structural steel was needed for a safety reasons what is the point of the original engineer reports?

Does this sound like a dishonest builder? I have been really berated many times by him for asking a question. He gets angry a me for not sending information only to have me state I have already sent the info. He seems to have very poor record keeping, as I have to often resend information and even after that he gets it wrong. How worried should I be?


PMReply

When the builder signed your building contract he agreed to follow contractual procedure in relation to the building contract variations but now he is not. Your builder is in breach of contract and you should get a very good building consultant to assist you as it is likely to get out of hand.
As for builders poor record keeping I am not buying it, it is certain he does not have any unbanked cheques laying about.
From what you have written it is certain that your builder is disrespecting you.
Thanks for the comment. I was not awre that could have a building consultant what do they do, are they builders? Are they expensive?

One more thing what about the engineer? Should their plans be structurally sound, therefore no need for the extra structural steel?

Is this like a project manager? We did have the option of having our architect to project manage but he did such detailed plans he said he didn't think it necessary.
Building consultants should be highly educated and have extensive experience in building and building contract administration. Yes they are expensive but you get what you pay for.
Your consultant will get to the bottom of the variation claim and it may be that it is invalid or of it is valid there will be explanation for your peace of mind.
You should have independent stage inspections at critical point of your build.
building-expert
Building consultants should be highly educated and have extensive experience in building and building contract administration. Yes they are expensive but you get what you pay for.


Are you saying that these consultants are involved at key-points of the building,
and perform site inspects at the stages,
or only after building is completed to point out defects ?

Do you know of 'building consultants' in the Sydney area (NSW) ?
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