Aug 21, 2018 7:58 pm
We are building a house and granny flat with Metricon in south western Sydney. We signed contract in November last year and still don't have a DA approved...When we signed the contract they told us that most likely the house would be finished in October this year. Now we have not held any process up along the way and now they are hitting us with a Tender expired contract variation for $5500. Metricon are claiming that they have not done anything to slow the process and we just have to wear it. Anyone who has dealt with this sort of issue or anyone with some advice could you please shed some light on my situation....
Re: Tender Expiry Contract Variation2
Aug 21, 2018 9:34 pm
Why the DA approval delayed? When was your land registered? Did they lodged the DA application?
Current State: Slab/Frame/Bricklayer/Lockup/Lining/Stairs/Kitchen/Wet flooring/Painted/PCI/Got the Keys
My Thread: Building Windsor 40 with Eden Brae (Caddens)
Re: Tender Expiry Contract Variation3
Aug 22, 2018 10:24 am
In most cases tenders have time limits and if expired are no longer valid and a new tender is required. Builder is free to increase tender price. On the face of it neither you or the builder have done anything to delay the progress. It is your project and your risk and as the builder is not at fault I am afraid you will have to wear it or walk away.
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Re: Tender Expiry Contract Variation4
Aug 23, 2018 8:47 pm
I find it strange though that from November last year till now they can't draw up the plans and submit it to council before the expiry date (240 days). Now they are trying to sting us another much larger sum for something else that I believe they have missed and should have easily picked up by their team when drawing up the plans. Seriously for a company this big it just screams incompetency...Surely they can't be this bad at their jobs and expect the owner to just keep forking out more and more when they see fit....
Re: Tender Expiry Contract Variation5
Aug 24, 2018 1:28 am
Hi SimonW, we were issued a tender extension variation with our builder (for 3 months). We managed to get two months complimentary by showing explicitly where we caused delays and where our builder caused delays. All it took was summarising entire email correspondence into one page and asking for it to be reviewed.
Re: Tender Expiry Contract Variation6
Aug 24, 2018 6:01 am
You signed an agreement to prepare the plans and tender, you didn't sign a contract to build.
This happens in a boom bust build cycle and happened in Perth during the last boom
1. Clients rushed to sign Preparation of plan agreements and hand over deposits
2.Builders took on too much work and pushed client builds back
3.Labour, material shortages forced rates higher, also causing delays
4.Builders come back to clients with "unforeseeable" price increases See 3.
5.Clients either paid up or walked.
6.Those that walked waited for things to cool ' 3 years'
7.Those that paid up still had their builds delayed by 12 months and watched their house prices drop 15%
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