Budge v JMK Building Pty Ltd

Case [2018] QCAT 174


CITATION:

Budge v JMK Building Pty Ltd [2018] QCAT 174

PARTIES:

David Budge and Christine Budge
(Applicants)

v

JMK Building Pty Ltd

(Respondent)

APPLICATION NUMBER:

BDL201-16

MATTER TYPE:

Building matters

HEARING DATE:

19 and 20 September 2017

HEARD AT:

Cairns

DECISION OF:

Member Howe

DELIVERED ON:

26 February 2018

DELIVERED AT:

Brisbane

ORDERS MADE:

1.    The respondent pay to the applicants the sum of $7,900.00 within 7 days of the date hereof.

2.    The parties file and serve submissions as to costs within 14 days of the date of this order and each file and serve any submissions in reply within 14 days thereafter.

CATCHWORDS:

CONTRACTS – BUILDING ENGINEERING AND RELATED CONTRACTS – PERFORMANCE OF WORK – where owners alleged defective building work – where cladding sheets not joined as required by architectural plans – where alternate method of fixing confirmed by manufacturer – where alternate method proved inadequate – where further method of fixing recommended by manufacturer – where owners refused to permit – where owners required fixing in accordance with contract plans – whether costs of fixing by replacing all sheets and refixing in accordance with original plans unreasonable in the circumstance

CONTRACTS – BUILDING ENGINEERING AND RELATED CONTRACTS – PERFORMANCE OF WORK – where  floorboards showing cupping effect – where moisture content apparently not an issue – whether secret nailing contributed to cupping – where secret nailing probable cause

CONTRACTS – BUILDING ENGINEERING AND RELATED CONTRACTS – PERFORMANCE OF WORK – REMEDIES FOR BREACH OF CONTRACT – DAMAGES – solatium – where cladding primarily to achieve trouble free maintenance – where aesthetic considerations secondary – where significantly cheaper method of fixing reasonable – where replacement of cladding and re-fixing pursuant to strict terms of contract unreasonable remedy in the circumstances –where an estimate of costs of rectification necessary in absence of evidence

Domestic Building Contracts Act 2000 (Qld),
s 45(2)

Archibald v Powlett [2017] VSCA 259
Baltic Shipping Company v Dillon [1993] HCA 4
Bellgrove v Eldridge (1954) 90 CLR 613
Bitannia Pty Ltd v Parkline Constructions Pty Ltd [2009] NSWSC 1302
Codelfa Construction Pty Ltd v State Rail Authority of New South Wales (1982)149 CLR 337
Coshott and Anor v Fewings Joinery Pty Ltd [1996] NSWCA 122
Radford v De Froberville [1978] 1 All ER 33
Ruxledge Electronics and Construction Ltd v Forsyth [1995] 3 All ER 268
Silastone Trading Pty Ltd v Body Corporate for Q1 [2017] QCAT 349
Tabcorp Holdings Ltd v Bowen Investments Pty Ltd (2009) 236 CLR 272
Tamawood Ltd v Paans & Anor [2004] QDC 427
Tamburini v SFN Constructions Pty Ltd [2011] NSWCTTT 26
Turner Corporation Pty Ltd v Austotel Pty Ltd (1994) 13 BCL 378

APPEARANCES:

APPLICANT:

Mr and Mrs Budge represented themselves

RESPONDENT:

Mr D McKinstry, Solicitor of Williams, Graham Carman, represented the respondent

REASONS FOR DECISION

  1. Mr and Mrs Budge contracted with the respondent builder to build them a home at Oak Beach near Port Douglas in North Queensland.  The price was $376,869 and work…

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Details
AGLC
Budge v JMK Building Pty Ltd [2018] QCAT 174
Case
[2018] QCAT 174
Decision Date

CaseChat Overview and Summary

The applicants, Budge, brought an action against the respondent, JMK Building Pty Ltd, in the Supreme Court of Victoria, alleging defects in the building work performed by the respondent. The applicants claimed that the cladding sheets were not joined as required by the architectural plans, and that the manufacturer had confirmed an alternate method of fixing which proved inadequate. The manufacturer then recommended a further method of fixing, but the applicants refused to permit this and insisted on the work being done in accordance with the contract plans. The applicants sought to recover the costs of rectifying the defects by replacing all the cladding sheets and refixing them in accordance with the original plans. The respondent argued that the costs of this remedy were unreasonable in the circumstances.

The legal issues before the court were whether the costs of replacing all the cladding sheets and refixing them in accordance with the original plans were unreasonable in the circumstances, whether the secret nailing contributed to the cupping of the floorboards, and what damages were recoverable by the applicants. The court found that the costs of rectifying the defects by replacing all the cladding sheets and refixing them in accordance with the original plans were unreasonable in the circumstances. The court held that the cladding was primarily to achieve trouble free maintenance and that aesthetic considerations were secondary. The court also found that the secret nailing was the probable cause of the cupping of the floorboards. The court awarded the applicants damages in the sum of $7,900.00.

The court ordered that the respondent pay the applicants the sum of $7,900.00 within 7 days of the date of the order. The court also ordered that the parties file and serve submissions as to costs within 14 days of the date of the order and each file and serve any submissions in reply within 14 days thereafter.

Orders

Orders of the court

1. The respondent pay to the applicants the sum of $7,900.00 within 7 days of the date hereof.

2. The parties file and serve submissions as to costs within 14 days of the date of this order and each file and serve any submissions in reply within 14 days thereafter.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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