Resolution process for defective work | Queensland Building and Construction Commission

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After you lodge your defective work complaint to the QBCC we will register the dispute and assign it to a Resolution Services officer. The dispute resolution process is outlined below.

  1. If your contract is still active, we offer an early dispute resolution service that aims to resolve disagreements between parties through facilitation. This is to keep projects moving and prevent potentially lengthy and costly disagreements and delays.

    If the contract has already ended, we will still encourage both parties to try to resolve the complaint without further QBCC involvement, in the first instance.

    A QBCC Resolution Services officer will assess the complaint and contact both parties to discuss the complaint and obtain further information or documents if required. As the process is about facilitation, we ask you to be open and willing to reach an agreement.

  2. If the items cannot be resolved over the telephone and there is alleged defective work, the property owner will be asked to give the contractor/s access to inspect and assess the items. The property owner and contractor will be asked to meet on-site to review each item and decide a plan for the repair of any agreed items.

    Reasonable access

    The QBCC considers reasonable access to be:

    • a time agreed to by you and the contractor
    • during normal working hours
    • for full consecutive days if required
    • providing a minimum of 48 hours' notice has been given by the contractor.
  3. If there are any defective work items that cannot be resolved, a QBCC Building Inspector will be assigned to the case and will contact both parties to attempt to facilitate an outcome. If this is unsuccessful, the Building Inspector may undertake a site inspection.

    When conducting an inspection, the QBCC Building Inspector will carry out a visual inspection only. This will involve visually observing each complaint item.

    Invasive investigations are not undertaken by the QBCC to determine the cause of an alleged defect. Examples of invasive investigations include cutting a hole in a wall to look at damage behind the wall.

    The inspection is also not intended to be a complete inspection of the whole building or dwelling.

    At the site inspection the building inspector will:

    • inspect the items of complaint
    • assess responsibility for any defective work identified
    • decide what subsequent action is required.

    In some cases, a decision may not be finalised at the inspection. In this instance, the building inspector will contact both parties as soon as possible after the inspection.

  4. Following a site inspection, we may issue the contractor and any relevant subcontractors, a direction to rectify the defective building work.

    In most cases, the period for which rectification work must be undertaken will be 35 days.

    Property owners must provide reasonable access for contractors to undertake rectification work.

    We have no power to issue a direction for items that are not defective building work. Find out how to resolve disputes about contracts or payments.

  5. There are consequences if a contractor fails to comply with a direction to rectify:

    • it will appear on their public record
    • fines and demerit points also apply
    • the QBCC may also commence disciplinary action in the QCAT or Magistrates Court.

    If your complaint involves residential construction work and is not able to be satisfactorily resolved through the dispute resolution process, your application will be assessed as to whether you may be eligible for assistance under the Queensland Home Warranty Scheme. You are not required to lodge a separate form for this to occur. If a claim is approved, we may recover the cost from the contractor.

    At the end of our process, we will provide both parties with a letter allowing them to apply to QCAT if they would like their help.

  1. If your dispute is eligible for our service, one of our Building Inspectors will contact both you and your subcontractor. An attempt will be made in this first phone call to facilitate an outcome.

    Have all of your information handy when our Building Inspector contacts you. Our aim is to quickly facilitate an acceptable agreement between both parties.

  2. If an agreement cannot be reached,  and only if there is alleged defective work, one of our Building Inspectors may inspect the work.

    During the inspection the Building Inspector will:

    • investigate each complaint item
    • determine if the work is defective or not
    • decide what subsequent action is required.

    When conducting an inspection, the QBCC Building Inspector will carry out a visual inspection only. This will involve visually observing each complaint item. Invasive investigations are not undertaken by the QBCC to determine the cause of an alleged defect.

  3. If the subcontractor is found to be responsible for defective building work, a QBCC Building Inspector may issue both the principal contractor and the subcontractor a formal notice to fix the work. This is called a direction to rectify.

    A direction to rectify notice:

    • allows 35 days to fix the work
    • will appear on the QBCC online licence record.
  4. There are consequences if a contractor fails to comply with a direction to rectify:

    • it will appear on their public record
    • fines and demerit points also apply
    • the QBCC may also commence disciplinary action in the QCAT or Magistrates Court
    • you may owe the cost of the rectification work for residential construction work (covered by a Certificate of Insurance) and any additional costs is an insurance claim is paid. 

Example defective work scenarios

  1. Madison hired a contractor to build an extension on her house but has now, 18 months later, noticed a water leak in the ceiling. The contractor keeps promising to send someone out to fix the leak, but nothing ever happens. 

    Madison is eligible to use our dispute service because she meets the following criteria: 

    • she is the property owner 
    • the work was building work 
    • the contract has been completed. 

    What outcome can Madison expect? 

    Madison had notified the contractor in writing of the roof leak and included all the required documents with her online submission, putting her in the best position to avoid delays by having to provide further information later.  

    One of our Resolution Services officers will review Madison’s submission and contact both Madison and her contractor. The contractor will be asked to contact Madison to arrange to view and fix the leak.  

    If the contractor repairs the leak, no inspection of the item is required, both parties can move on and the case will be finalised. 

    If the contractor fails to repair the leak, one of our building inspectors will arrange to inspect the item with Madison and the contractor.  

    If the item is defective building work, the contractor is likely to be issued a Direction to Rectify giving them 35 days to fix the leak.  

    The Direction to Rectify will appear on the contractor’s public licence history. If the contractor delays or obstructs compliance with a Direction to Rectify, they can receive a fine or be prosecuted.  

    As the work is residential construction work, Madison’s case will then be assessed for a possible claim under the Queensland Home Warranty Scheme. If a claim is approved, we will recover the cost from the contractor.  

  2. Sherri and Ian are looking forward to moving into their new home. The contract is at handover stage and the final payment is due. Sherri and Ian have noticed the cooktop is scratched and the plasterboard wall in the living room is dented. They don’t want to pay the final payment until these are fixed. 

    Sherri and Ian are eligible to apply to use our dispute resolution service because they meet the following criteria: 

    • they are the property owners 
    • the contract has been completed (reached practical completion). 

    What outcome can Sherri and Ian expect? 

    Sherri and Ian have no issue with the quality of building work performed but have an issue with an installed product (cooktop) and damage to the dwelling (living room wall dent). 

    One of our resolution services officers will review Sherri and Ian’s submission and call both them and their contractor to try to facilitate an acceptable agreement. If this happens, the case will be finalised. The QBCC is not a party to the agreement, and we do not formally document it. 

    If the parties cannot agree, and as there is no issue with the quality of the work, we would not conduct an inspection.  

    The case will be closed and both parties will receive a letter from the QBCC allowing them to apply to QCAT if they would like to commence a building dispute. 

  3. Franco represents a body corporate of 52 home units. The body corporate hired a painter to repaint the exterior of the units.  

    The paint is peeling and bubbling in large patches on various areas of some of the units. The painter won’t return Franco’s calls.  

    Franco hired a building consultant to prepare a report on the paint work. The building consultant has provided a report listing 23 items. 

    Franco is eligible to apply to use our dispute resolution service because he meets the following criteria: 

    • he represents a body corporate 
    • the complaint is about a common property area 
    • the work is building work 
    • the contract has been completed. 

    What outcome can Franco expect? 

    Franco had notified the painter in writing of each of the 23 items and listed these individually in his online submission, putting him in the best position to avoid delays by having to provide further information later.  

    One of our resolution services officers will review Franco’s submission and contact both Franco and the painter. The painter will be asked to contact Franco to arrange to view and fix the items. If the painter repairs the items, no inspection is required, both parties can move on and the case will be finalised. 

    If the painter fails to repair the items, one of our building inspectors will arrange to inspect the items with Franco and the painter.  

    If any items are defective building work, the painter is likely to be issued a Direction to Rectify giving 35 days to fix the defective items. The Direction to Rectify will appear on the painter’s public licence history. If the painter delays or obstructs compliance with a Direction to Rectify they can receive a fine or be prosecuted.  

    Franco’s case may then be assessed for a possible claim under the Queensland Home Warranty Scheme. If a claim is approved, we will recover the cost from the contractor. 

  4. Sam was hired to install a new bathroom in a home unit. The contract is not yet finished but Sam’s clients are unhappy with the floor tiling and think it is uneven. They are refusing to pay his progress payment until it is fixed.  

    Sam has checked the Australian Standard for ceramic tiles and the QBCC Standards and Tolerances Guide and does not believe the tiling is defective building work.  

    Sam is eligible to apply to use our dispute resolution service because he meets the following criteria: 

    • he is the principal contractor 
    • the work is domestic building work  
    • the contract has not been completed.  

    What outcome can Sam expect?  

    One of our building inspector will review Sam’s submission and contact both Sam and his clients.  

    Sam will be asked to contact his clients to arrange to view and fix the tiles. Because Sam is confident the work is not defective, Sam is comfortable not repairing the tiling and for the issue to proceed to a QBCC inspection.  

    Our building inspector will arrange to inspect the tiles with both Sam and his clients present. If the tiles are not defective building work, both parties will receive a written response from the QBCC and the case will be finalised.  

    If Sam’s clients still refuse to pay his progress payment, Sam can apply to the Queensland Civil and Administrative Tribunal (QCAT) for a decision about the overdue payment.  

    If Sam has misinterpreted the Australian Standards and/or the QBCC Standards and Tolerances Guide and our building inspector determines the tiling is defective, we will work with both parties to try to reach an outcome that will result in the work being fixed.  

  5. Janet bought a new home unit and is getting the bathroom renovated. The job is nearly finished but she is unhappy with the grouting of the tiles in the shower. The contractor believes the work is acceptable. Janet doesn't want to pay the final payment unless the work is fixed. 

    Janet is eligible to use our dispute resolution service because she meets the following criteria: 

    • she is the property owner 
    • the work is domestic building work  
    • the contract has not been completed. 

    What outcome can Janet expect? 

    One of our building inspector will review Janet’s submission and contact both Janet and the contractor to try to facilitate an agreement.  

    If the contractor agrees to repair the item, no inspection is required, both parties can move on. If this happens, the case will be finalised. The QBCC is not a party to the agreement, and we do not formally document it. 

    If both parties cannot agree, we will arrange to inspect the item with Janet and the contractor. If the item is defective building work, we will work with both parties to try to reach an outcome that will result in the work being fixed. 

    At the end of the process, both parties will receive a letter from the QBCC allowing them to apply to the Queensland Civil and Administrative Tribunal (QCAT) if they want to commence a building dispute.   

  6. Nico hired a shopfitter to fit out the shop he is leasing. During construction, he notices some of the shelving units are not level and are not in the position he wanted. The shopfitter has refused to fix the work.  

    Nico is ineligible to apply to use our dispute resolution service because: 

    • he is not the property owner 
    • the work is commercial and not domestic building work. 

    What help can Nico get? 

    If Nico wants to apply to the Queensland Civil and Administrative Tribunal (QCAT) to resolve his dispute, QCAT will require him to apply to the QBCC before they will accept an application.  

    Nico must submit a building complaint with us and we will assess it. Then both Nico and the shopfitter will receive a letter from the QBCC allowing them to apply to QCAT if they want to commence a building dispute. 

  1. Peter is a licensed builder with a new home construction underway. Peter’s waterproofing subcontractor Eric hasn’t installed a compliant water stop angle and won’t repair it. Peter believes the work is defective. 

    Peter is eligible to use our dispute resolution service because he meets the following criteria: 

    • he is the principal contractor 
    • the work is domestic building work  
    • the contract has not been completed. 

    What outcome can Peter expect? 

    One of our building inspector will review Peter’s submission and contact both Peter and Eric to try to facilitate an agreement. If they reach an acceptable agreement they can move on and the case will be finalised. The QBCC is not a party to the agreement, and we do not formally document it. 

    If Peter and Eric cannot agree, a QBCC Building Inspector will arrange to inspect the work. 

    If the subcontractor is found to be responsible for defective building work, our building inspector may issue both Peter and Eric a formal notice to fix the work (called a Direction to Rectify). The Direction to Rectify will appear on the QBCC online licence search for both Peter and Eric. Peter and Eric will both have 35 days to fix the work. 

    At the end of the process, both parties will receive a letter from QBCC allowing them to apply to the Queensland Civil and Administrative Tribunal (QCAT) if they want to commence a building dispute. 

  2. Eric subcontracted to a large commercial builder to install a new roof on an office building. After the contract was completed, the builder notified Eric of a water leak in the reception area. Eric has inspected the work and does not believe he is responsible for the roof leak.   

    Eric is ineligible to apply to use our service because: 

    • he is not the principal contractor 
    • the work was commercial and not domestic building work 
    • the contract has been completed. 

     

  3. Lisa has subcontracted to a builder to install 6mm fibre cement sheet wall cladding in an office building. Halfway through the job, the builder complains to Lisa that the stud spacing is too wide.  

    Lisa is ineligible to apply to use our dispute resolution service because: 

    • she is not the principal contractor  
    • the work is not domestic building work.  

Last reviewed: 24 Jan 2024 Last published: 24 Jan 2024
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