fence drama

[tonyd]

Howdy,

I have an interesting problem to deal with.

We're in the process of constructing an IP with a well-known home-building company.

When the earthworks were about to proceed, the contractor upped their price claiming excess debris. We complained to our building company and ultimately it was agreed that we would just contract the earthworkers directly (cut out the 20% builder's margin). Seemed like a good compromise.

After the earthworks were completed, we noticed that the limestone block foundation of a boundary wall had moved considerably and the ColorBond fence on top of it was on a lean.

Since we have contracted the earthworkers, it is our problem to deal with it.

The earthworkers have supplied a consultant engineer's report saying the limestone foundations were not to correct standards and say that their insurance doesn't cover the damage as they didn't hit it, so refuse to pay to fix the fence.

We say, we didn't do it, so we're not paying.

So who has to pay to repair the fence?

We haven't paid their invoice yet.

Any help would be much appreciated!

cheers, Tony

 

[simonjulie]

IMHO, It might be a good thing in the long term to pay the invoice and then dispute it afterwards. It is not in your long term interest to have a bad debt against your credit file CRAA if you plan to borrow to buy more IP's in the future.
Just a thought to consider.
Simon

 

[Simon]

Can a contractor like this put a default against your CRA?

 

[simonjulie]

If a telephone company can, I suppose a clever contractor could too???
The truth is, I don't know but at the same time I would not risk finding out the hard way. It is not worth the pain. And after all, it is only a crooked fence.
Simon

 

[Simon]

A telephone company is actually a credit provider and has a contract with the client agreeing to this.

Sounds like it is a bit more than just a fence to me, a retaining wall can be very expensive to sort out.

Your local dept of fair trading should be the place to start.

Cheers,

 

[tonyd]

Thanks for your thoughts guys.

I have a friend who works at Fair Trading, so I'll give her a call soon

cheers, Tony

 

[NedKelly]

I would get a quote to fix the fence and deduct it from the contractors bill.

 

[tonyd]

Just a followup on this situation.

An engineer's report showed that the 1.5m high retaining wall supporting the fence wasn't up to council specifications. In fact it wasn't even approved by council when it should have been.

No chance of getting anything out of the earthworkers.

Legal advice suggests we can't even pursue the original vendor to get some money out of them.

So we are left with a $5000-6000 repair job.

However, talking to the neighbour, the retaining wall was a cash job. And we have a contact number for the guy that did it.
What's the ATO's number?

cheers, Tony

 

[asy]

Also, maybe contact the building services authority in your state.

Is the contractor who did the wall registered?

Is there a limit to work that can be done by an unregistered person?

How long ago was the wall put up, and what was it's cost, there may be some comeback against the retaining wall builder.

asy

 

[ggumpshots]

Just a followup on this situation.

An engineer's report showed that the 1.5m high retaining wall supporting the fence wasn't up to council specifications. In fact it wasn't even approved by council when it should have been.

No chance of getting anything out of the earthworkers.

Legal advice suggests we can't even pursue the original vendor to get some money out of them.

So we are left with a $5000-6000 repair job.

However, talking to the neighbour, the retaining wall was a cash job. And we have a contact number for the guy that did it.
What's the ATO's number?

cheers, Tony

You should ask the contractor is it ok to contact the tax office . This was probably the first time he didnt give his ABN number, so he wouldnt have cause to worry. You might ask him if he has ever been through an audit though . There not so dififcult if you get a top class CPA at $700/ hour. I am sure his books are in order...............Now if he also has a forgien name then you coud contact Asio and play the terrorist card.........I think I have
found my talent !

 

[thebuildingsurv]

Thats why the builders didnt touch the earthworks, I think being the owner of the property you could be held liable, and then you would have to sue the contractor and/or insurance co. Why dont you try to reach a settlement with your neighbor say 2k and get a legal agreement that no further action be taken. Take 1 k from the earthworks guy pay then your may be still ahead from getting the builders to do it in the first place.

 

[willair]

We say, we didn't do it, so we're not paying.

So who has to pay to repair the fence?

We haven't paid their invoice yet.

Tony,
What does it say on the contract with earthworks company, they must have some cover in place limestone blocks don't move by themselves.
omo,but i would not pay one cent towards the repair the contractor
has to accept responsibility for carrying out the work that has led to this problem.Iknow nothing about australian law but i have had this problem
before, sometimes a simple 30 photo's prior to the work starting is worth
its weight in gold..

good luck
willair..