Browse Forums Building A New House 1 Nov 02, 2008 9:14 am We have a New homes HIA contract and due to some issues with the builder we wish to know:
How accurate does a "fair and reasonable" estimate need to be for a prime cost / provisional sum quote? +/- 5%/10%/50%? Is the builder obliged to provide a quote (written or verbal) to an owner requested variation? Is it typical for them to proceed with the work without offering any quote? Would they only provide a quote if the sum exceeds a certain cost e.g. > $500? Are they at least obliged to give some indication of the magnitude of increase? When is "as soon as practical" to inform an owner of a prime cost or provisional cost variation after the builder is made aware of it? Are there situations where the builder cannot forsee an increase until the work is almost completed? Are there penalties for either underestimating a quote, delaying a communication about an increase or completing it without the owner's awareness of an increase? What are these penalties? If there is an exorbitant increase in prime cost / provisional sum and the owner is only aware of the fact several months after the work is completed, are they still obliged to pay the difference? Re: HIA New Home contract - definitions 2Nov 02, 2008 9:28 am Idiots are fun, that's why there is one in every village! - Dr. House - Re: HIA New Home contract - definitions 3Nov 02, 2008 1:30 pm wonderland The discussion seemed more to deal with a "cost plus contract" where the builder has no obligation to adhere to an estimate, accounts for every cost increase and you are obliged to pay it. Does this apply to fixed price with prime cost/provisional sum allowance? You talk about deletions, are they variations or PS and PC adjustments? pleas list them 1 16556 10 12308 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 28800 |