​Frequently projects go wrong and the contractor and the owner engage each other in lengthy and costly legal battles. 

Disputes may arise because:

• There’s a poor contract in place which doesn’t adequately describe the scope of the work and the contractor’s and owner’s (your) obligations. Or, the contract is flawed with loop-holes and contradictory clauses. Read Home build and renovation contracts part 3 - What contracts should include
• You don’t understand the contract fully, including your rights and obligations in terms of the contract.
• The contractor doesn’t understand the contract.
• One, or both parties doesn’t act in good faith, or in terms of the contract.
• There’s a lack of communication between the parties.
• One of the parties is obstinate, or doesn’t want to admit they’re wrong.

​It’s essential that:

• You understand that changes, delays and instructions caused by you, or those acting on your behalf, can have a profound impact on the project giving rise to delays and variations. Even the simplest change could have a knock-on impact on other activities which you haven’t considered or aren’t aware of.
• Your expectations should be clear, consistent and achievable from the start of the project. Read What’s included in your builder's price (or excluded)
• You know that failure to understand the contract, or assumptions made incorrectly, is no excuse for non-compliance of the obligations and terms of the contract.
• You understand that the contract is the law on the project, and all actions are judged using this document. It’s not about who will be nice, who will forgive, rather it’s about complying with the terms of the contract. The fact that the contractor has a legitimate variation claim should be no reason to argue that they’re being unfair, or to assume that they’re crooks only out to steal money from you. Read Home build and renovation contracts part 1 - what you should know
• All parties continually communicate with each other, immediately notifying the other party of concerns, changes and possible impacts on the project. Read Good communication with your building contractors is vital
• You understand that even if the contractor hasn’t said that there will be an extra cost, that this doesn’t mean there won’t be a claim from them later.
• When in doubt you ask for expert advice. 

Construction disputes are usually costly and they sometimes can drag on for years. Inevitably both you and the contractor will be out of pocket, frustrated and upset. There are frequently no winners from construction disputes.

It's important that you engage reputable contractors for your home build or home renovation project. That the contract used protects your rights and clearly sets out the scope of work, and both your and the building contractor's obligations. It's important to read and understand the contract and ensure that both you and the contractor meets their obligations.
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If in doubt engage an expert to help you through the contract process.

In future articles we will look at some reasons your contractor can claim additional time and costs, and reasons they cannot claim for.

​​This is an extract from the author's book 'An Introduction to Building and Renovating Houses: Volume 1 Hiring Contractors, Managing Construction and Finishing Your Home'.
​© 2020 This article is not to be reproduced for commercial purposes without written permission from the author.

Last week we discussed Will your home build project finish on time  we discussed the construction schedule (programme) and what to check on the schedule.
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Regrettably many home building projects are finished late. There are many reasons for this. One reason is that building materials arrive late. These materials could be simple like timber and reinforcing steel. But they also include roof coverings, floor and wall ceramic tiles, plumbing fittings and fixtures, windows, kitchen cabinetry, air-conditioning and heating systems, and more.

Usually builders and home owners are quick to blame the supplier for materials arriving late. And yes, sometimes the supplier is to blame. They promised the materials would arrive by a certain date and the building materials did not arrive. But, often materials are ordered late, and the contractor or home owner did not take cognisance of the lead time - the time from when the order was placed to when it is delivered to the building project.

​Some building materials take time to manufacture and deliver. Sometimes the manufacturer has to take measurements, design and detail the item, prepare drawings, then manufacture and finally deliver the item.

Some items might not be in stock and come from interstate or another country. There are often shipping times, then time to clear customs. As soon as long distances are involved there's the risk of further delay. Roads could be blocked, ships could be delayed. There are more opportunities for things to go wrong.

​The lead time for an item is the total duration it takes to order, manufacture and deliver the item to the project.

Using standard and stock items could mean the items are immediately available. But building materials which must be imported or manufactured need to be ordered well ahead of time so that they arrive on the project when they’re required. Having items with long lead times may cause delays to the construction schedule if they can’t be ordered in time.

The shortest reasonable lead time for any item is at least a week from when the contractor receives the drawing or information, to when they can physically start the activity. This allows them time to plan their work, order the items and get started.

Some specialist items could take nine weeks to fifteen weeks, so always ensure that the contractor has the information well ahead of time, or keep things simple and standard.

​Of course sometimes items can be fast-tracked, but this will cost more money – do you really want to pay extra money to airfreight items from overseas, or for manufacturers to work nights and weekends?

To avoid delays to your building or renovation project it's important to understand where the product is coming from and what's involved to get it to your building project. Are site measurements required before it can be manufactured? Does the item need to be designed? How long will manufacture take? What are the potential hold-ups that could occur along the way?

It's important to place orders early. Understand how long it will take for the product to be delivered. Check if there's an alternative product that could shorten the delivery time. Know what the impacts of the lead time are on your construction schedule or programme. Ensure that there is some allowance for delays along the way - invariably there will be delays and frequently specialist building products take a few weeks longer than promised. 

Then equally important is to track progress of the item. Check that there are no delays - maybe the supplier is waiting for payment, to take site measurements, or for final drawing approval before manufacture starts.

​This is an extract from the author's book 'An Introduction to Building and Renovating Houses: Volume 1 Hiring Contractors, Managing Construction and Finishing Your Home'.
​© 2021 This article is not to be reproduced for commercial purposes without written permission from the author.

​​Paul Netscher has written 2 easy to read books 'An Introduction to Building and Renovating Houses - Volumes 1 and 2'. An Introduction to Building and Renovating Houses Volume 1 deals with Hiring Contractors, Managing Construction and Finishing Your Home.  and Designing your ideal home Volume 2 deals with Finding Your Ideal Property and Designing Your Dream Home. 
​("Great for those that DIY. Very helpful in home renovations!" said a Reader on Amazon.com 5*****)
These books are available from Amazon and other online bookstores in paper and ebook.

​Frequently home renovation projects and new home build projects are finished late. This results in disappointment and often additional costs when the house is not ready for occupation. Family life is often disrupted when renovations aren't completed or homes aren't ready to move into, which results in friction.

Is it possible to avoid delays, or certainly get early warning that your construction project is running late?

It’s good practice for the contractor to submit a construction schedule or construction programme. The schedule/programme lists all the construction activities, their duration and the sequence in which they’ll be completed.

The schedule is usually shown as a series of bars representing the duration for each activity measured against the calendar days of the project. Most construction tasks are sequential with one having to be finished before the next can start. So for instance, the foundations usually have to be completed before the walls can start, and the roof can only begin when the external and supporting walls are completed. The internal ceilings, fixtures and finishes can probably only start when the roof is complete. Sometimes an activity may be able to start before the preceding activity is complete, and sometimes two or more activities can happen at the same time.

The duration of each activity will depend on the complexity of the activity as well as on how many resources are available and can be fitted into the area. 

In theory construction schedules can be compressed by working around the clock seven days a week. But this is usually more expense than the result warrants, anyway the neighbours may object to late-night noise and there could be regulations which limit working hours. More resources could be put on the project, but inevitably there will be inefficiencies and the costs will be more than the end result is worth.

All construction schedules should allow for the normal weather that can be expected at that location at that time of year as well as other known restrictions which the contractor should have been aware of.  

​It’s important to check the construction schedule to ensure that:

• The completion date agrees with the date in the contract. If the date is earlier you should check to confirm that your budget and cash flow can accommodate the faster expenditure.
• The contractor doesn’t expect to receive information earlier than your designers have committed to issue it.
• The start date matches what’s in the contract and you’ll have all permits and permissions in place to match the contractor’s start date.
• The time allocated for your subcontractors’ work is sufficient.
• You’ll be able to supply materials and equipment that are your responsibility in time, so as not to delay the contractor.
• The schedule is an accurate portrayal of the contractor’s methods of construction.
• There’s sufficient detail to monitor the contractor’s progress.
• It’s clear when you or your agent must be available to conduct tests and inspections.

The construction schedule is a valuable tool to monitor the progress of your construction project. It's also essential so that you can ensure that you do not delay your contractor because you failed to provide, access, material, or information on time. Of course checking the construction schedule will help you understand when payments are due to your contractors, so that you can ensure you will have sufficient funds to pay suppliers and contractors.

In future articles we will look at the construction schedule or programme in more detail, and also consider how to avoid delays to your home build and renovation project.

​This is an extract from the author's book 'An Introduction to Building and Renovating Houses: Volume 1 Hiring Contractors, Managing Construction and Finishing Your Home'.
​© 2020 This article is not to be reproduced for commercial purposes without written permission from the author.

​Paul Netscher has written 2 easy to read books 'An Introduction to Building and Renovating Houses - Volumes 1 and 2'. An Introduction to Building and Renovating Houses Volume 1 deals with Hiring Contractors, Managing Construction and Finishing Your Home.  and Designing your ideal home Volume 2 deals with Finding Your Ideal Property and Designing Your Dream Home. 
​("Great for those that DIY. Very helpful in home renovations!" said a Reader on Amazon.com 5*****)
These books are available from Amazon and other online bookstores in paper and ebook.