Holliday v Franklin (Qld) Pty Ltd

In Holliday v Franklin (Qld) Pty Ltd, the dispute arose between Fiona and David Holliday, the homeowners, and Franklin (Qld) Pty Ltd, the builders, concerning the construction of a house and the subsequent claims for additional payments and variations. The Queensland Civil and Administrative Tribunal (QCAT) made several orders, including that Franklin (Qld) Pty Ltd pay the Hollidays $18,448.83 and provide a final certificate within seven days of receiving it from the certifier. The Hollidays' cross-application regarding the pool was dismissed without a hearing on the merits. The Hollidays appealed against the dismissal of their cross-application and the tribunal's construction of a contract clause.

The primary legal issues in this appeal involved whether the tribunal erred in dismissing the Hollidays' cross-application without a hearing, whether there was an error of law in the tribunal's construction of the contract clause, and whether the tribunal correctly approved the variation without compliance with the contract or the Domestic Building Contracts Act. The appeal also questioned whether the tribunal had procedural fairness and whether the tribunal should have made an order for the issue of the final certificate.

The appeal court found that the tribunal had indeed erred in dismissing the Hollidays' cross-application without a hearing, violating their right to procedural fairness. The court also held that the tribunal had erred in its construction of the contract clause regarding the no adjustment in contract price for different dimensions. Additionally, the tribunal's approval of the variation was found to be incorrect as it did not comply with the contract or the Act. The court concluded that an order needed to be made for the issue of the final certificate.

The appeal was allowed, and the tribunal's orders were varied. Paragraph 1 of the tribunal's order dated 16 June 2015 was confirmed, and the Hollidays were to receive the full amount awarded by the tribunal. Paragraph 2 of the decision, dismissing the Hollidays' cross-application about the pool, was set aside and returned to the tribunal for reconsideration with specific directions for further evidence and a further hearing. The tribunal was also directed to issue the final certificate to the Hollidays within seven days of receiving it from the certifier.