Alarm system part of brochure, but excluded in contract

jaewon · Dec 12, 2019 8:44 am

Hi,

I am not sure who to turn to so I thought I try my luck here.

Basically long story short, my partner is building her first home with Simonds Homes as a express package. The alarm system was advertised on the brochure and we assumed it would have been included in the contract (I guess our fault for not checking the contract properly), but an oversight to them or not.

Our friend who is also building in the same townhouse on the same lot with Simonds Homes has it in her contract but not ours. There are 8 buildings on the lot and only 2 of the 8 have it. I am sure the other 6 people including ourselves have the same problem where they have no alarm system installed.

We have contacted Simonds Home and their reply was that because it was not in the contract we don't need to install it and that the brochure is not a legal binding document.

Just reaching out in the community for some advice.

Thank you,

Jason

StructuralBIMGuy · Dec 12, 2019 10:12 am

Not to alarm you, Excuse the pun
The cost of the alarm system wouldn't be worth the cost of a lawyers threatening letter say $500
OT, The builder knows the Standard building contract (HIA, & MBA) inside out....
not to mention these contracts favour the builder in disputes

gillybean · Dec 12, 2019 12:08 pm

If you don’t specify everything in the contract, and then fail to read the contract and what’s included, then no doubt dissatisfaction will follow. Glossy brochure or not, the builder has zero obligation to provide the security system unless it was specified in the contract.

gillybean · Dec 12, 2019 12:10 pm

StructuralBIMGuy

Not to alarm you, Excuse the pun
The cost of the alarm system wouldn't be worth the cost of a lawyers threatening letter say $500
OT, The builder knows the Standard building contract (HIA, & MBA) inside out....
not to mention these contracts favour the builder in disputes

A lawyers threatening letter, lol, threatening what exactly? 😂😂😂

SejaeD · Dec 19, 2019 6:18 pm

jaewon

Hi,

I am not sure who to turn to so I thought I try my luck here.

Basically long story short, my partner is building her first home with Simonds Homes as a express package. The alarm system was advertised on the brochure and we assumed it would have been included in the contract (I guess our fault for not checking the contract properly), but an oversight to them or not.

Our friend who is also building in the same townhouse on the same lot with Simonds Homes has it in her contract but not ours. There are 8 buildings on the lot and only 2 of the 8 have it. I am sure the other 6 people including ourselves have the same problem where they have no alarm system installed.

We have contacted Simonds Home and their reply was that because it was not in the contract we don't need to install it and that the brochure is not a legal binding document.

Just reaching out in the community for some advice.

Thank you,

Jason

There is actually legislation around this. If its in the brochure they need to include it. Metricon got a fined a few times see links below:
https://www.afr.com/property/asic-fines-housing-giant-metricon-over-first-home-buyer-misleading-advertising-20181002-h164kh

https://www.accc.gov.au/media-release/metricon-homes-qld-to-pay-800000-penalty-for-misleading-representations

They were fined $800k for showing swimming pools and bali huts in their brochures.

SejaeD · Dec 19, 2019 6:20 pm

gillybean

If you don’t specify everything in the contract, and then fail to read the contract and what’s included, then no doubt dissatisfaction will follow. Glossy brochure or not, the builder has zero obligation to provide the security system unless it was specified in the contract.

again you are caught posting things you have no idea about. Jellybean stay in your lane!

Stick to your restaurant reviews.

Hey just curious, where did you get the name Jellybean from, is that what your wife calls you?

Bao Nguyen · Dec 21, 2019 10:45 am

SejaeD i wasnt aware there are legislations around such specific things, but i do recall the hia contract specifically saying that whats in the contract forms part of the contract and anything not in it is not part of it, regardless of whether it was otherwise agreed to verbally or in writing.
Having said that, i was able to get allcastle to install a 3000l water tank instead of a 2000l that they keep putting on the tender.
And in a reverse scenario, i made them honour an extra gas bayonet in the contract they signed that was not mentioned in advertisments or inclusions list. Not big items, but it seems the contract is enforceable and both sides must honour it

brightstarshine · Jan 14, 2020 9:33 am

I've have the same issue with them not just for one item but many of them.

Which brochure is this, they have a separate brochure for each and every location? For instance the QLD brochure is diff from the NSW one.

For us they got us to sign up for an outdated offier "$17KUP2U" offer stating this the best offer anyone in the market can get and made you feel very special, but the truth is they have beefed up all the prices for each and everything being installed by 3-5 times. For example, they charge $3.5K for a 5kw A/C for the living area and they give you an outdated Haier aircon unit which costs about $1k if you want to get it purchased and installed yourself.

Bao Nguyen · Jan 14, 2020 10:17 am

Dont think it was part of any offer, just part of the pricelist details
But yes i agree, prices are higher than market plus their commission which is why i barely upgraded anything. Do it all after
For example they wanted nearly 7k to change the colour of the kitchen benchtop from the standard inclusion to a higher end one. For that price i could probably get the whole thing redone

brightstarshine · Jan 14, 2020 9:15 pm

Bao Nguyen

Dont think it was part of any offer, just part of the pricelist details
But yes i agree, prices are higher than market plus their commission which is why i barely upgraded anything. Do it all after
For example they wanted nearly 7k to change the colour of the kitchen benchtop from the standard inclusion to a higher end one. For that price i could probably get the whole thing redone

Yes, being a first time home builder many feel ripped off because they clearly did not know the truth and trusted the builder was giving a real offer. The defalt answer you get when you ask them now is "you have signed the contract" you should have thought about this before. How is it fair to get someone sign a contract with unfair prices and practices? We are just ordinary people whom the builder or even ACCC would not care.

Bao Nguyen · Jan 14, 2020 9:50 pm

Unfortunately ur not wrong which is why i made it my mission to know about the whole process as much as possible so i came prepared. Knew what had to be done now and what can wait, cost etc

Bao Nguyen · Jan 14, 2020 9:51 pm

But from what i gather, its across the board not just ACH

SaveH2O · Jan 14, 2020 9:56 pm

brightstarshine

How is it fair to get someone sign a contract with unfair prices and practices? We are just ordinary people whom the builder or even ACCC would not care.

Many forum members have consistently advised new home buyers to have a pre contract signing consultation with a well qualified building professional. Apart from all else, finding double charges and just plain bad arithmetic most often in the builder's favour is not uncommon.

If you have time, you can read more in my post below.

viewtopic.php?p=1832175#p1832175
https://forum.homeone.com.au/viewtopic.php?p=1832175#p1832175