Sun Building Services Pty Ltd v Minh

The case of Sun Building Services Pty Ltd v Minh involves a domestic building dispute. The homeowner, Tran Tuan Minh, engaged Sun Building Services to construct a house, and disputes arose concerning the cost and quality of the work. Minh sought relief in the Consumer, Trader and Tenancy Tribunal, asserting claims for costs and damages against Sun Building Services. The builder, in turn, sought to recover payments for variations not documented in writing, arguing that the homeowners would not suffer unreasonable hardship if the claim were allowed. The Tribunal was required to determine several legal issues, including whether the builder's claim for variations could be upheld despite the lack of written documentation, and whether the homeowners were liable to reimburse payments made to the Queensland Building and Construction Commission (QLeave). The Tribunal also needed to consider whether interest was payable under the contract or by statute, and whether Minh and Thi were entitled to damages for the costs of rectification due to their refusal to allow Sun Building Services access to the site.

In reaching its decision, the Tribunal examined the terms of the contract, the conduct of the parties, and the statutory provisions governing domestic building contracts. It concluded that the homeowners were not liable to reimburse QLeave payments because they had not expressly agreed to do so. The Tribunal found that Sun Building Services was entitled to recover an amount for variations not documented in writing, as the homeowners would not suffer unreasonable hardship if the claim were allowed. However, the Tribunal held that the builder was not entitled to interest under the contract or by statute. The Tribunal also determined that Minh and Thi were not entitled to recover damages for costs of rectification, as their refusal to allow Sun Building Services access to the site constituted a breach of contract that entitled the builder to claim for rectification costs. The Tribunal found no evidence of fraud.

The Tribunal ordered that Sun Building Services must pay Minh and Thi the sum of $76,982.34 inclusive of GST by a specified date. It also set out a timeline for the parties to submit and exchange evidence and submissions regarding costs, with any application for costs to be heard and determined on the papers unless an oral hearing was requested. This case highlights the importance of clear contractual terms and the consequences of breaches in domestic building contracts.