Contract for minor domestic building work

less than $10,000 (10% deposit) without insurance From 1 August 2017, the threshold amount for a major domestic building contract increased from

$5,000 to $10,000.

The Contract pack:

The price of the contract includes the download and use of the contents of each pack.

The fee is a one off payment for unlimited use of the contract pack as it is customisable to

your business and can be edited and filled out per job.

Once purchased, the contract packs are downloaded by you as a zip file.

The file contains the following documents:

1. Contract

No attachments are included as they are not required due to the works being of a “minor nature”

Features:

PDF contract converted to have fillable fields (means you can use the same template for as

many jobs of that kind as you like)

You can input information without having to worry about the document reformatting or

moving around like a word document, which ensures compliance

You can change the title of the contract to whatever you wish to suit the different types of

work for example. joinery or laundry rather than kitchen.

You can also save to computer file and email to customers

There are guidance notes throughout the document that are viewable to you, however,

when printed do not show up for the customer.

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Further Support Documents provided for you by ACFA:

• Example Progress Payment Schedule for Minor Domestic Building Work (to assist in the breakdown of percentages for your project)

• Frequently Asked Questions for Victorian Domestic Building Contracts

• Victorian Domestic Building Contracts Webinar Video

Note to user: This document does not contain any legal advice. No recipient of this document may rely on the contents of this document and it is only an indicative overview of the relevant general issues to consider. Recipients of this document should obtain appropriate legal advice from qualified professional advisors that takes account of their particular circumstances.

Australian Cabinet and Furniture Association and the other contributors to this document expressly disclaim liability for the contents of this document under any statute or other law in contract, tort or otherwise, and assume no duty of care or contractual obligation whatsoever to the recipient of this document or any other person for the contents of this document or any reliance that may be placed upon it.

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Owner Contractor

CONTRACTOR NAME:

ADDRESS:

DATE:

CONTRACT PRICE:

WARNING: The Price/Contract Price may change. In accordance with the Conditions of Contract, the reasons for possible increases

such as GST.

Please read all attached information and terms.

Note: This Contract is to be used where the total value of the Contract is between $1,000 and $10,000 (including any applicable GST amount). It must not be used where the value of the Work is over $10,000.

Warning + Note to Owner: Please read clause 10 of Part B on asbestos

© AUSTRALIAN CABINET AND FURNITURE ASSOCIATION 2019

Please note: This is a preview, therefore, some content has been blacked out for copyright purposes. On purchase, the preview watermark is removed and the redacted text is restored.

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Owner Contractor

Do not sign this Contract unless you have read and understand the clauses as well as the notes and explanations contained in the Contract and this document.

Both the Contractor and the Owner should retain an identical signed copy of this Contract including the drawings, specifications and other attached documents. Make sure that you initial all attached documents and any amendments or deletions to the Contract.

PART A: CONTRACT DETAILS

1. THE OWNER:

Name(s):

Address:

Suburb: State: Postcode:

Phone: Mobile:

Fax: Email:

2. THE CONTRACTOR:

Name(s):

Qualified Supervisor: (if applicable)

Address:

Suburb: State: Postcode:

Business Address: (if different from address on licence)

Suburb: State: Postcode:

Phone: Mobile:

Fax: Email:

ABN/ACN:

Licence No: Licence Expiry Date:

Licence Category:

3. CONTRACT PRICE (Amount in Words)

Price (excluding GST):

This Price May Change.

The Price will increase to cover GST.

GST on price:

Contract Price (including GST):

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Owner Contractor

WARNING: The Price/Contract Price may change. In accordance

4. SITE DETAILS (Where Work is to be done)

Address:

Suburb: State: Postcode:

5. DESCRIPTION OF WORK/MATERIALS including Product(s) (this must be completed)

NOTE: All documents that

6. PRIME COST OR PROVISIONAL SUM ITEMS

Prime cost or Provisional Sum Items are either:

Items that you are to select after this Contract is signed or items or Work for which we are unable to give a definite price at the time of signing the Contract.

Description of items or Work to be done: Quantity Prime Cost/ Provisional Sum Item allowance including GST

$

$

$

$

$

$

$

Total: (If space is insufficient, attach a sheet referring to this schedule) $

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7. RECORD OF ADJUSTMENTS AND VARIATIONS

This is not part of the Contract Price stated in Contract on pages 1 and 2 (Part A Clause 3)

ADJUSTMENTS (If Any)

(Prime Cost and Provisional Sum Items - Part A Clause 6 page 3 and Part B Clause 11 page 7)

ITEMS CLAUSE 6 SUM ALLOWED ACTUAL SUM ADJUSTMENT (+ OR - AMOUNT)

$ $ $

$ $ $

$ $ $

$ $ $

$ $ $

$ $ $

TOTAL: $

8. VARIATIONS (Part B Clause 8 page 6 and page 7)

DATE AGREED BRIEF DETAILS ADDITIONAL OR DELETED COST (+ OR - AMOUNT)

1 $

2 $

3 $

4 $

5 $

6 $

TOTAL: $

9. PROGRESS TIMELINE SCHEDULE

a.

b.

c.

d.

e.

NOTE: Dates specified in the Progress Schedule may be subject to change in accordance with the Conditions of Contract. The reasons for possible changes include Variations and delays.

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10. PAYMENT SCHEDULE (Amounts in Words)

a. Deposit Due on signing of Contract $

b. 1st Progress Payment % $

c. 2nd Progress Payment Due before delivery stage (Part A Clause 9) % $

d. Final Payment Due on Completion Date (Part A Clause 9) % $

NOTE: The description for each progress payment describes what Work will be completed or what costs will be incurred.

11. ACCEPTANCE OF CONTRACT

This Contract is made between the Owner and the Contractor.

Part A: Contract Details and Part B: Conditions of Contract form part of this Contract.

In accepting the terms and conditions of this Contract, the Owner acknowledges that they have read and understood the Contract.

Owner(s) Signature:

Date:

Owner(s) Signature:

Date:

Contractor Signature:

Date:

Contractor Signature:

Date:

%10

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Owner Contractor

PART B: CONDITIONS OF CONTRACT

1.CONTRACTOR’S MAIN OBLIGATIONS

The Contractor will carry out and complete the Works in accordance with this Contract.

The Owner may, as part of the Works and at the Owner’s cost, request that the Contractor remove from the Site and dispose of all rubbish, excavated material, vegetation, demolished or dismantled structures and surplus material relating to the Work.

2. PAYMENT

The Contract Price includes all matters (including GST) that could be reasonably

3. OWNER’S JOINT AND SEVERAL LIABILITY

If there is more than one Owner, the obligations in this Contract apply to each Owner individually and to all Owners collectively.This clause 3 of Part B survives any termination of this Contract.

4. ACCESS TO THE SITE

The Owner must give the Contractor uninterrupted access to the Site to check measure or for installation or any other purposeto complete the contracted Work. The Owner must provide access for the Contractor and any employee or subcontractor of theContractor to carry out the Work as required during Work hours allowed by relevant statutory authorities. T

The Owner must give the Contractor and the Contractor’s workers and subcontractors adequate access to any available water, electricity, toilet and washing facilities when working or delivering to the Site.

If the Contractor requests access to deliver the Product/s and the Owner does not give access within 7 Days the Contractor can then claim payment for the delivery stage, as defined in Clause 9 of Part A or otherwise the Owner must pay the Contractor for Work performed and cost incurred up to the point of delivery.

5. CHECK MEASURING

The Contractor will attend the Site and perform the check measure on or before the check measure date (as defined in Clause9 of Part A).The Contractor may make minor modifications to the plans and specifications agreed to the checked measurements. TheContractor will notify the Owner of any modifications made.Any additional Work necessary to comply with the modified plans and specifications is a Variation and Clause 8 of Part Bapplies.

6. OUR RIGHT TO FIX

The Contractor must make good any loss or damage to the Work or property of the Owner caused by the Contractor or theContractor’s employees, agents or subcontractors. The Owner must remove any furniture or personal goods from the vicinity ofthe Work to minimise the risk of damage.(a) If at any time the Owner claims the Product is defective, they must notify the Contractor

7. DELAYS

The Contractor will complete the Work by the Completion Date (as defined in Clause 9 of Part A). The Contractor must take allreasonable steps to minimise any delay to the Work. Any request for an extension of time must be notified in writing to theOwner within 10 Days.

The delivery date will be put back and the Completion Dateextended by whatever time is reasonable if the Contractor claims an extension of time by giving the Owner written notice within10 Days.

For every day the subject of an extension of time where the Owner is responsible for the delay the Contractor may charge the Owner the total of the actual increase in cost to the Contractor to carry out the Works (plus GST) plus another 15%.

8. PLANS & VARIATIONS

The Work including materials may be varied by written agreement between the Owner and the Contractor.

to vary this Contract, or to vary the plans and specifications for the Works, must be in writing and signed bythe parties.

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__________ __________ Owner Contractor

If the Owner or the Contractor requests a Variation, the Contractor will give the Owner a written quote detailing the Variation, the cost of the additional or omitted Work and any changes to the Progress Schedule.

If the Owner agrees to the Variation by signing the quote/Variation and returning it to the Contractor, the Contractor will carry out the Variation in the time agreed.

The price of extra Work, which includes GST, will be added to the Contract Price. The cost of any omitted Work will be deducted from the Contract Price. If the varied Contract Price exceeds $10,000, a new Contract must be entered into that complies with the requirements in the Domestic Building Contracts Act 1995 (Vic) and the Domestic Building Contracts Regulations 2017 (Vic) for Contracts over $10,000 or more and if applicable a certificate of insurance must be attached to the Contract.

The Owner cannot unreasonably withhold consent to a Variation that the Contractor requests in accordance with Clause 5 of Part B.

9. UNFORESEEN CIRCUMSTANCESTo the extent permitted under law, the Contractor will not be responsible or liable for Work arising from factors beyond its

any such additional Work required will be charged at the actual cost to the Contractor (plus GST) and plus [ ]%.

This clause does not limit clause 33 (statutory rights).

10. ASBESTOSThe Owner must advise the Contractor, if asbestos is located in or around the Site or if they have any reason to believe asbestos is located in or around the Site, prior to this Contract being signed.

10.1 Should the Contractor identify asbestos material or material it suspects is asbestos (asbestos), in or around the Site after the Commencement Date, the Contractor will: (a)

; and(c)

, if the Contractor stops work pursuant to this clause the Contractor is entitled:

and including the date that the Owner is notified; and(b) to terminate this Contract and submit a new Contract for consideration by the Owner and approval of both parties; or(c) to vary the Contract to amend the Completion Date and the Contract Price.

ite.

Any asbestos will be managed and controlled in accordance with Victorian Government’s policies and codes of practice, refer to https://www.worksafe.vic.gov.au/resources/compliance-code-managing-asbestos-workplaces and http://www.asbestos.vic.gov.au/ and any other applicable legislation that governs and regulates the safe removal of asbestos.

11. PRIME COST AND PROVISIONAL SUM ITEMSExcept as otherwise agreed between the Owner and the Contractor in this Contract, the Contractor is not responsible for thesupply or installation of any appliances or connection to any services.

Unless the Owner and the Contractor agree otherwise, such work shall be listed as prime cost or Provisional Sum Items and shall be listed in Clause 6 of Part A with an estimate of cost.

Where the actual cost of supplying the item and/or providing such work is less than the prime cost or Provisional Sum Item allowance set out in Clause 6 of Part A, the Contract Price will be reduced by an amount equal to the difference.

12. SECURITY INTEREST

The legal title in the Product does not pass to the Owner until all amounts payable under this Contract have been paid in full.

The Owner grants to the Contractor a security interest (and where applicable, a purchase money security interest as that term is defined in the PPSA) in the Products (including all related proceeds) supplied under this Contract as security for all or part of the amount payable by the Owner to the Contractor under this Contract. The Owner authorises the Contractor to register a financing statement with respect to this security interest on the PPSR and agrees to provide any information to the Contractor necessary to register this security interest.

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Owner Contractor

Until this security interest has been satisfied, in addition to any remedies available to the Contractor under Part 4 of the PPSA: (a) the Products must remain clearly identifiable from any other goods of the Owner;(b) If the Owner fails to make a due payment in accordance with this Contract, the Contractor may enter the Site and takereasonable action to remove the Product, without being liable to the Owner for any damage to the Site which may be caused bysuch removal;(c) The Owner irrevocably authorises, permits and allows the Contractor unrestricted access to the Site to retrieve the Productin accordance with this clause; and(d) The Owner may not sell or deal with the Products without the Contractor’s prior written consent.

Notice requirements under sections 95, 118, 121(4), 130, 132 and 135 of the PPSA shall not apply and not place any obligations on the Contractor in favour of the Owner.

This clause 12 of Part B survives any termination of this Contract

13. WARRANTYContractor warrants

s discretion either repair or replace the Product (or pay the cost of doing the same). The Owner irrevocably authorises, permits and allows the Contractor unrestricted access to the Site to inspect or fix defective works in accordance with this clause.

This warranty covers the Products only and does not cover: (a) appliances or materials made or provided by other parties or the Owner;(b) defects due to normal wear and tear, shrinkage, or changes in climate or geographic conditions which cause movement andvariations in building work;(c) defects due to use of the Products which is unusual, negligent (including misuse and abuse), contrary to any otherinstructions supplied with the Products; or(d) defects due to factors beyond the Contractor’s control.

The Contractor’s liability to the Owner under this warranty is limited to repairing or replacing the Products (or the cost of doing the same).

Our goods come with guarantees which cannot be excluded under the Australian Consumer Law. You are entitled to a replacement, repair or refund for a major failure and to compensation for other reasonably foreseeable loss or damage. You are also entitled to have the goods repaired or replaced if the goods fail to be of acceptable quality and the failure does not amount to a major failure.

This clause 13 of Part B survives any termination of this Contract.

14. SUSPENSION

If the Owner is in breach of this Contract in any way whatsoever, the Contractor may by written notice immediately suspend thecarrying out of the Works.

The Contractor must recommence the carrying out of the Works within a reasonable time after the Owner remedies the breach, and gives the Contractor written notice of that fact.

15. TERMINATION

If either party is in serious breach

If the Owner fails to make payment due under the Contract or denies access to the Site to the Contractor to prevent the Work from proceeding, the Contractor may issue a written notice requiring the Owner to remedy the default within 14 Days of receipt of the notice by the Owner. If the default is not remedied, the Contractor may terminate the Contract by written notice to the Owner.

16. EFFECT OF ENDING THIS CONTRACT

If this Contract is ended the Owner must without prejudice to any right or remedy, pay the Contractor all amounts due inpayment of the Contract Price in accordance with the Payment Schedule with respect to all Work carried out to the day thisContract is ended (End Date).

Payment Schedule, plus the amount being the actual cost to the Contractor to perform

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Owner Contractor

the Work with respect to Work done in the period between the last progress payment due date falling prior to the End Date, and the End Date.

This clause 16 of Part B survives any termination of this Contract.

17. INSOLVENCY

If a party to this Contract becomes, at any time insolvent, then the other party may terminate this Contract by giving writtennotice to that effect.

To be insolvent means: (a) any act of bankruptcy under the Bankruptcy Act 1966 by a natural person;(b) the appointment of a liquidator, provisional liquidator, receiver, receiver and manager, administrator or the entering into of adeed of arrangement if a corporation; or(c) any act of insolvency, under the Corporations Act 2001 by a corporation.

18. RISK

All Product and materials shall be at the Owner’s risk once delivered to the Site.

19. CHARGE OVER LAND

The Owner agrees to charge the Site

has made an order that the Owner pays that amount to the Contractor.

This clause 19 of Part B seeks to establish an interest in the property to

Titles Office will be restricted. The interest in the property created by this clause 19 of Part B entitles the Contractor to apply to a court for the sale of the property for the purposes of recovering any debt that may be outstanding in relation to this Contract. The Owner is advised to seek independent legal advice in relation to this clause 19 of Part B.

This clause 19 of Part B survives any termination of this Contract.

20. COPYRIGHT

The Contractor owns the copyright in all plans, specifications and workshop drawings created by or on behalf of the Contractor.

If the Owner provides the Contractor with any sketch, plan or other document which infringes upon another person’s copyright or moral right, the Owner will indemnify the Contractor, and keep the Contractor indemnified, against all claims and costs.

This clause 20 of Part B survives any termination of this Contract.

21. DEFAULT INTEREST

If the Owner fails to make any payment due under this Contract on time, the Contractor will charge the Owner interest on theunpaid amount at the interest rate payable on Victorian Supreme Court judgments as varied from time to time.

This clause 21 of Part B survives any termination of this Contract

22. DEBT COLLECTING COST

The Owner must reimburse the Contractor for any debt collection costs, in attempting to recover any overdue amount payableunder this Contract.

This clause 22 of Part B survives any termination of this Contract.

23. WHOLE AGREEMENT

Subject to law, Part A: Contract Details and Part B: Conditions of Contract and the sketches, quotations, plans and thespecifications, including any Variations to those plans and specifications:

(a) comprise this Contract;(b) comprise the whole agreement between the Owner and the Contractor; and(c) supersede any prior negotiations, discussions or understandings between the Owner and the Contractor.

24. PREVAILING DOCUMENTS

In the event of any inconsistency or ambiguity as to the agreement between the Owner and the Contractor, the Conditions ofContract, the plans and the specifications have precedence in that order.

25. SUBCONTRACTING

The Contractor may sub-contract any obligations under this Contract. The Owner must not give instructions in relation to theWork to any subcontractors or workers on the Site.

26. GST

In this clause 26:(a) “GST Amount”, “GST-exclusive Consideration”, “Recipient”, “Supply Party” and “Tax Invoice” have the meanings given in

this clause 26; and(b) other terms used that are defined in the GST Act have the same meanings in this clause 26.

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For each supply made by a party (“Supply Party”) under or in connection with this Contract on which GST is imposed: (c) the amount payable or to be provided for that supply under this Contract but for the application of this clause 26(c) (“GST-

exclusive Consideration”) will be increased by, and the recipient of the supply (“Recipient”) must also pay to the SupplyParty, an amount (“GST Amount”) equal to the GST-exclusive Consideration multiplied by the prevailing rate of GST; and

(d) the GST Amount must be paid to the Supply Party by the Recipient without set off, deduction or requirement for demand, atthe same time as the GST-exclusive Consideration is payable or to be provided,

Subject to a valid tax invoice (“Tax Invoice”) being provided in respect of the GST-exclusive Consideration.

27. DISPUTES

In the event of a dispute arising between the Owner and the Contractor in relation to a matter covered by this Contract, thedisputing party must notify the other party in writing of the items in dispute. Subject to and without limiting the Domestic BuildingContracts Act 1995 (Vic) and the Domestic Building Contracts Regulations 2017 (Vic), the Owner or the Contractor may seek toresolve the dispute by consulting with a mutually agreed third party mediator.

28. REMOVAL OF ITEMS

The Owner acknowledges that before or during the carrying out of the Works, a

29. GIVING OF NOTICESSubject to the Domestic Building Contracts Act 1995 (Vic) and the Domestic Building Contracts Regulations 2017 (Vic) or otherapplicable legislation, where this Contract requires written notice to be given to a party for any reason, such notice may beserved by:(a) giving it to the party personally;(b) leaving it at the party’s address specified in Part A of this Contract; or(c) sending it by registered mail to the party’s address specified in Part A of this Contract.

30. DEFINITIONS

Unless otherwise stated in this Contract:

Attachment means an attachment, schedule, or annexure to this document; Commencement Date means the date specified as such in Clause 9 of Part A; Completion Date means the date specified as such in Clause 9 of Part A; Conditions of Contract means the terms and conditions in Part B: Conditions of Contract of this document; Contract means Part A: Contract Details and Part B: Conditions of Contract of this document and any Attachments such as sketches, quotations, plans, specifications and Variations relating to this document; Contract Price means the amount stated in Clause 3 of Part A, subject to any changes in accordance with the Conditions of Contract; Contractor means the Contractor named in Clause 2 of Part A; Days means calendar days; GST has the meaning given in the GST Act; GST Act means the A New Tax System (Goods and Services Tax) Act 1999 (Cth); Owner means the Owner named in Clause 1 of Part A; Provisional Sum Item has the meaning given to that term in Clause 11 of Part B and includes a contingency sum and a prime cost item; Payment Schedule means the schedule set out in Clause 10 of Part A; PPSA means the Personal Property Securities Act 2009; PPSR means the Personal Property Securities Register established under the PPSA; Product/s means the cabinets, built-ins and/or other products described in Clause 5 of Part A and set out in the plans and specifications, including any Variations; Progress Schedule means the schedule set out in Clause 9 of Part A; Site means the premises described in Clause 4 of Part A where the Works are to be carried out for supply and install or where the Work is to be delivered if the Contract is supply & deliver; Unforeseen Circumstances means any hidden problems which the Owner did not tell the Contractor about or are only revealed when installing the Product; Work/s means any one/or more than one of the following: supply, manufacture, install, deliver (as specified in the Contract) and/or provision of other work in relation to the cabinets, built-ins and/or other Products described in Clause 5 of Part A and set out in the plans and specifications, including any Variations; and Variation means any change in the Works or the method of carrying out the Works; and like words have the same meaning.

All monetary amounts are in Australian currency.

31. SEVERABILITY

Each provision of this Contract shall be read as separate and severable so that if any provision is held by a court of competentjurisdiction to be void or unenforceable for any reason, that provision will be severed from the Contract and the remainder of theContract will be construed as if the severed provision had never existed.

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32. APPLICABLE LAW

This Contract will be governed by, and construed in accordance with, the laws of Victoria.33. STATUTORY RIGHTS

The Australian Consumer Law, Competition and Consumer Act 2010 and the Domestic Building Contracts Act 1995 (Vic) andthe Domestic Building Contracts Regulations 2017 (Vic) contain statutory guarantees and warranties that cannot be excluded.These Acts also prescribe remedies available to consumers and customers in circumstances where there is a breach of suchwarranties and guarantees or there is a defect. Nothing in this Contract operates to exclude or limit those statutory guaranteesand remedies insofar as they apply to any one or more of the Contractor, the Owner, the Work and the Products under thisContract.

34. LIMITATION OF LIABILITY

To the fullest extent permitted by law, the following are hereby excluded: (a) all express or implied representations and warranties relating to this Contract not contained in it; and(b) any liability arising in relation to the Products and/or the Works that the Contractor supplies to the Owner however arising.

The Contractor’s total liability for breach of this Contract is limited at the Contractor’s option to: (a) the replacement of the Products and/or Works or the supply of equivalent Products and/or Works;(b) the repair or rectification of the Products and/or Works;(c) the payment of the cost of replacing or acquiring equivalent Products and/or Works; or(d) the payment of the cost of the repair or rectification of the Products and/or Works.

Subject to the provisions of the Australian Consumer Law and the Domestic Building Contracts Act 1995 (Vic) and the Domestic Building Contracts Regulations 2017 (Vic) (as applicable) neither party shall be liable to the other for any indirect or consequential loss.

This clause 34 of Part B survives any termination of this Contract.

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ATTACHMENTS TO CONTRACT

LIST ANY ATTACHMENTS HERE (including other documents, plans, specifications and designs)

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