Langham v Verticorp Pty Ltd

Case [2025] QCAT 227


QUEENSLAND CIVIL AND
ADMINISTRATIVE TRIBUNAL


CITATION:

Langham & Anor v Verticorp Pty Ltd [2025] QCAT 227

PARTIES:

STEFANIE LANGHAM

(first applicant)

NATHAN RAYMOND LEONARDI

(second applicant)

v

VERTICORP PTY LTD TRADING AS FRESH HOMES TOWNSVILLE

(respondent)

APPLICATION NO/S:

BDL162-23

MATTER TYPE:

Building matters

DELIVERED ON:

6 June 2025

HEARING DATE:

28 March 2025

HEARD AT:

Brisbane

DECISION OF:

Member Howe

ORDERS:

Verticorp Pty Ltd must pay Stefanie Langham and Nathan Raymond Leonardi the sum of $8,140.55 within 7 days of order.

CATCHWORDS:

CONTRACTS – BUILDING, ENGINEERING AND RELATED CONTRACTS – THE CONTRACT – CONSTRUCTION OF PARTICULAR CONTRACTS AND IMPLIED CONDITIONS – OTHER MATTERS – where the parties entered into a domestic building contract – where the builder mistakenly supplied the wrong turf for landscaping  – where the builder was advised too late to be able to readily remove the turf and use it elsewhere – where the owners brought an action to claim the cost of removal of the turf and supply and relaying of the correct species of grass – whether the remedy sought was reasonable – where the owners claimed liquidated damages for delay – where the refusal of extension of time sought preceded the receipt of the written request – where no reasons for refusal of the extension of time were given – where subsequent correspondence suggested the extended time for completion was accepted – where the owners limited their claim for liquidated damages to a specific period and therefore there was no award made for delay beyond the specific period

Karacominakis v Big Country Developments Pty Ltd [2000] NSWCA 313

Lazicic v Rossi [2024] NSWSC 777
Tabcorp Holdings Ltd v Bowen Investments Pty Ltd [2009] HCA 8

Walker Group Constructions Pty Ltd v Tzaneros Investments Pty Ltd [2017] NSWCA 27

APPEARANCES & REPRESENTATION:

Applicants:

Self-represented

Respondent:

Self-represented by L Payne

REASONS FOR DECISION

  1. The applicant owners entered into a building contract with the respondent builder on 2 December 2020 for the construction of a new home in Townsville.

  2. Construction occurred during the Covid-19 crisis period and the work was delayed, amongst other reasons, because of a lack of available trades people.

  3. Extensions of the time for completion were agreed through to 21 January 2022. A further extension of time after that associated with a delay in engaging painters was not agreed to by the owners.

  4. Practical completion finally occurred on 24 March 2022 according to the owners and 25 March 2022 according to the builder.

  5. The specifications to the contract provided for the supply and laying of Buffalo grass around the dwelling. By mistake, the builder supplied and laid Couch grass.

  6. The applicants made complaint about the type of grass some six weeks after completion. The parties fell into dispute about that and the applicants have applied to the Tribunal for determination of a building dispute. There are two issues in dispute, a claim for the cost associated with removal of the established Couch grass and its replacement with Buffalo grass and a claim for liquidated…

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AGLC
Langham v Verticorp Pty Ltd [2025] QCAT 227
Case
[2025] QCAT 227
Decision Date

CaseChat Overview and Summary

In Langham v Verticorp Pty Ltd, the Federal Court considered a dispute arising out of a domestic building contract between the owners, Stefanie Langham and Nathan Raymond Leonardi, and the builder, Verticorp Pty Ltd. The owners sought compensation for the cost of removing and replacing turf supplied by Verticorp that was not in accordance with the contract specifications, as well as liquidated damages for delay. Verticorp argued that the owners’ claims for compensation and damages were excessive and unreasonable.

The central legal issues in the case were whether the owners' remedy for the cost of removing and replacing the incorrect turf was reasonable, and whether the owners were entitled to liquidated damages for the delay in completing the project. The owners argued that Verticorp had breached the contract by supplying the wrong turf, and that it was reasonable to seek compensation for the cost of rectifying this breach. They also argued that Verticorp had breached the contract by refusing an extension of time for completion, which entitled them to liquidated damages. Verticorp contended that the owners' claims were excessive and that they had not provided sufficient evidence to support their claims for compensation and damages.

The Court found that the owners' remedy for the cost of removing and replacing the incorrect turf was reasonable, as Verticorp had been advised too late to be able to readily remove the turf and use it elsewhere. The Court also found that Verticorp had breached the contract by refusing an extension of time for completion without providing any reasons, and that the owners were entitled to liquidated damages for this breach. However, the owners had limited their claim for liquidated damages to a specific period, and therefore there was no award made for delay beyond the specific period.

The Court ordered Verticorp to pay the owners the sum of $8,140.55 within seven days of the order. This sum represented the cost of removing and replacing the incorrect turf, as well as the liquidated damages for the delay in completing the project. The Court did not make any further orders in relation to the owners' claims for compensation and damages beyond the specific period for which they had limited their claim.

Orders

Orders of the court

Verticorp Pty Ltd must pay Stefanie Langham and Nathan Raymond Leonardi the sum of $8,140.55 within 7 days of order.

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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