Renbar Constructions Pty Ltd v Sader; Sader v Renbar Constructions Pty Ltd [2022] NSWSC 172
FACTS
The case of Renbar Constructions Pty Ltd v Sader; Sader v Renbar Constructions Pty Ltd [2022] NSWSC 172 involved a dispute over payments under a Costs Plus Contract, for the development of a residential dwelling. The defendant, Dr Mark Sader, contracted with the plaintiff, Renbar Constructions Pty Ltd for the demolition and subsequent construction of a dwelling on a property owned by Dr Sader in July 2014.
The contract carried a number of terms laying out procedures for the payment of progress claims including the following term:
| 13.2 | “In order to be entitled to a progress payment, the builder must give the owner a written progress payment claim at the times specified in Schedule 4.” |
The plaintiff failed to provide progress payment claims complying with the contract, however a number of payments were made, and no dispute was raised until after practical completion.
When a dispute as to the amount of the claim was raised after completion, both parties continued to refer to payments to be made in respect of noncompliant payment claims as well as further payment
claims.
When the matter came to court, the defendant’s representation submitted that the builder should not be entitled to any payment where they had failed to make a claim pursuant to the contract.
ISSUE
Whether the contractor was entitled to be paid notwithstanding a failure to provide progress claims
which were compliant with the contract?
