The MBA Home Building Contract does not set percentages or stages of works under a building contract.
Members are encouraged to ensure that they provide a brief description of what each stage of works should include and the appropriate percentage of the contract sum for that stage. The Home Building Contract also provides that the stage of works must be completed before it can be claimed.
Similarly, when requesting a deposit, it is important to treat this as the initial deposit for the works to be undertaken. The ACT Building Act does not provide guidelines on what is the maximum deposit for residential building works. It does, however, provide the maximum amount payable ($10,000) under the residential building insurance to a client where the works done does not meet the amount paid as the deposit at the time of a trigger event.
If you have any questions about the ACT Home Building Contract, please contact our IR & Legal Advisers on (02) 6175 5900.