The Tender states the DA plan will NOT commence until a Building Contract is entered.
My concern is, after signing the contract, and if the council rejects or amend the DA plan, I will be devastated. It took the builder and I a lot of time and effort for the modifications to the plan and the house size is stretched to the maximum to utilise the small block of land.
The contract states that if I wrongfully ends this contract, I have to pay the builder damages in the sum equivalent to 15% of the contract price.
I have no option but to proceed to sign the contract, hopefully for minor amendments to the DA Plan. It's a big risk for signing the contract before your DA plans gets approved.
I appreciate your response and advice for those who have or are building with this problem. Thank you
Absolutely Do NOT sign a building contract before you have full Development Authorisation from your Council. Without it you cannot build......Yet you would be beholden to clauses in the Builder's Contract. Also, do not believe that all Councils do the right thing either....or in fact any of them in the Development Industry!
I am speaking from experience. I had a significant extension organised by an Architect , who was the Applicant. I got full proper Development Authorisation from the Council and then, without my knowledge, Council staff substituted falsified Engineering documents for the Footings and sub structure of my home build just before (probably literally days before) the start of the construction via some form of back door deal......without going through the Applicant or notifying me, the owner - there is more to this horrendous and disgusting situation, - I won't bore you on your post here. Please be very careful. Happy to answer any questions.
After careful consideration, I advised the builder my decision not to proceed with signing the contract .
So did you check the DA after approval from the council?. From my understanding, once the DA is approved, the council cannot make amendments. This is a horror situation which I never heard of. Can you please PM me the council if you wish to do so.