Australasian Concrete Services v Multiplex Constructions [1999] NSWSC 1140

Australasian Concrete Services v Multiplex Constructions [1999] NSWSC 1140

Where, pursuant to a head contract made before 1 May 1997, insurance under the former Act covers residential building work including the sub-contract works, a sub-contractor entering into a sub-contract after that date is not required to independently effect further insurance under Part 6 of the Home Building Act 1989 for those works. The sub-contract is therefore not rendered unenforceable by s 94 for lack of such insurance.

Jurisdiction
Australia
Judgment Date
25 November 1999
Procedural Posture
Civil / Separate Determination of Preliminary Questions
Outcome
Questions answered: 1.1 answered in the negative; 1.2 does not arise. Plaintiff entitled to costs of separate determination.
Legal Topics
['building Contracts' 'statutory Insurance Requirements' 'transitional Statutory Provisions' 'estoppel' 'waiver']
['construction Law' 'equity'] ['building Contracts' 'statutory Insurance Requirements' 'transitional Statutory Provisions' 'estoppel' 'waiver']

Case Brief

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Procedural Posture

Civil / Separate Determination of Preliminary Questions

Legal Issues

  1. 1 ['Whether the plaintiff (sub-contractor) was required to have in force a contract of insurance under Part 6 of the Home Building Act 1989 upon entering into the sub-contract with the defendant.' 'Whether, in the absence of such insurance, the sub-contract is unenforceable by the plaintiff under s 94 of the Act.' 'Whether the head contractor is estopped from relying on s 94 of the Act.']

Ratio Decidendi

Where, pursuant to a head contract made before 1 May 1997, insurance under the former Act covers residential building work including the sub-contract works, a sub-contractor entering into a sub-contract after that date is not required to independently effect further insurance under Part 6 of the Home Building Act 1989 for those works. The sub-contract is therefore not rendered unenforceable by s 94 for lack of such insurance.

Court Disposition

Questions answered: 1.1 answered in the negative; 1.2 does not arise. Plaintiff entitled to costs of separate determination.

Orders

  • ['The question in paragraph 1.1 of the Pt 31 order is answered in the negative.' 'The question in paragraph 1.2 does not arise.' "The defendant is ordered to pay the plaintiff's costs of the separate determination of those questions."]