Browse Forums General Discussion Re: Security Deposit Clause 7.1 HIA Contract (NSW) 13May 16, 2019 2:12 pm Simeon McGovern Affordable Custom Homes, We design and build to your budget Ashington Homes www.ashingtonhomes.com.au Re: Security Deposit Clause 7.1 HIA Contract (NSW) 14May 17, 2019 11:37 am 3in1 Supadiverta. Rainwater Harvesting Best Practice using syphonic drainage. Cleaner Neater Smarter Cheaper Supa Gutter Pumper. A low cost syphonic eaves gutter overflow solution. Re: Security Deposit Clause 7.1 HIA Contract (NSW) 15May 19, 2019 11:48 pm SejaeD Marcs If you have cash on an account with that lender, it shouldn't take them long to set the loan (as they can simply put your cash in a term deposit as security for that loan), alternatively, if you have an existing loan you can deposit your cash into that account and use the redraw. That said, getting the loan will be of limited benefit if you're operating with an amended HIA Contract which has removed reference to the lending body in clause 7.1. In such a case its likely you will need to deposit the cash into the joint account - the limited comfort is that the Builder wont be able to draw on the account without your consent either. If the reference to "Lending Body" is just missing from the schedule, it wont be an issue as lending body is defined as "any corporation or institution that lends to the owner part of or the whole of the contract price" (see clause 1). Good luck with the lawyers - try get fixed rates for the work if possible (i.e. contract review $x, letter to builder $y) so you can budget and control costs where possible. Marcs How have you been? Just reading this thread, the key question is what would the builder's remedy be if they dont comply? Termination of teh contract? Well thank you, I'm looking forward to your next update on your build. Conservatively, yes the builder could terminate as clause 27.2 states that the failure to establish a security account would be a substantial breach. The Builder would have to provide the appropriate notices etc. As noted by SaveH2O it would be interesting to see if this would be considered an unfair term (assuming it is a "standard form consumer contract", which can be a hurdle in itself) - recent case law has been quite favourable for the consumer, but this might fall a bit short. Unless there is something in special conditions the builder does not have to give you timeline. If your demolition contractor has not removed Asbestos and it was found… 12 28883 You talk about deletions, are they variations or PS and PC adjustments? pleas list them 1 16693 In NSW the maximum deposit for building work is 5% until the builder provides HBCF insurance 1 4899 |