Perth Central Holdings Pty Ltd and Doric Constructions Pty Ltd

Perth Central Holdings Pty Ltd and Doric Constructions Pty Ltd were involved in a dispute concerning unsatisfactory building work. The case was heard by the Building Disputes Tribunal of Western Australia. The primary issue was whether the compensation sum, determined by the Tribunal, should be limited to the damages as per common law principles or whether it could consider analogous principles. The dispute arose from the builder's failure to test the substrate for moisture, leading to unsatisfactory building work. The Tribunal had previously determined that it had misconceived evidence, prompting further proceedings to establish the appropriate compensation sum.

The legal question before the Tribunal was whether the compensation amount should be constrained by common law damages or if it could consider other analogous principles. The Tribunal held that, as the claim was made under statute, it was not confined to the common law principles. The owner had proposed full rectification of the building work, whereas the builder offered to cover only the replacement costs. The Tribunal concluded that the owner's proposal represented a fair compensation amount, taking into account the principles of full rectification. Furthermore, the Tribunal considered interim repair costs, legal costs, and disbursements in its determination.

The Tribunal ruled that the compensation should reflect the full cost of rectifying the unsatisfactory building work. The Tribunal was not restricted to common law damages but could consider analogous principles to arrive at a fair compensation sum. The Tribunal took into account the owner's proposal for full rectification, the builder's offer to cover replacement costs, and additional factors such as interim repair costs, legal costs, and disbursements. The Tribunal issued orders to reflect these considerations and determine the appropriate compensation sum for the unsatisfactory building work.

The Tribunal ordered that the compensation sum would be based on the full rectification of the building work, considering the owner's proposal and relevant costs. The Tribunal did not limit itself to common law damages but applied analogous principles to arrive at a fair compensation amount. The Tribunal also included consideration of interim repair costs, legal costs, and disbursements in its determination. The orders issued by the Tribunal aimed to provide a just resolution to the dispute between Perth Central Holdings Pty Ltd and Doric Constructions Pty Ltd concerning the unsatisfactory building work.