Contracts in writing
Getting your contracts in writing is the golden rule to avoiding or minimising disputes down the track. Whether you work in the residential or commercial sector, it’s fundamental to have the correct contract in place before you commence work.
For residential projects, once a contract is in place and work has begun, you must document (in writing) any variations that occur, no matter how minor. Your client may not know that all variations must be in writing; however, as the contractor, you should insist on a written contract and written variations, as it will protect both you and the client in the long run. This equally applies to timely administration when lodging extensions of time and progress claims.
If you find yourself in a dispute situation with a client, the conditions outlined in your contract will also determine the correct procedure for dispute resolution.
Having a written contract is particularly important when completing work for friends or family, as not having one in place can become a very costly mistake and cause disputes that could ruin relationships.
Master Builders can offer advice to members on which contract to use for the kind of work you are completing. Our wide range of commercial contracts, residential contracts and subcontracts have been specifically tailored for the building and construction industry and contain standard clauses in relation to dispute resolution.
We also run a number of training courses to help you understand how to correctly implement contracts within your business.