Major Defect' vs 'Structural Defect' - recent changes to Home Building Act explained

Inger Brettle

The recently changed Home Building Act introduces the term 'Major Defect' which replaces 'Structural Defect' in statutory warranty claims.

To be categorised as a 'Major Defect' a claim must meet a number of criteria each of which emphasize that it must be significant and structural in nature (think defective design, faulty work etc) and must likely cause a safety threat to the people living there.

The previous used term of 'Structural Defect' was a much broader defined term.

Once this new law comes into effect (expected later this year), any claims that are now defined 'non-major' must be made within 2 years, rather than the six years that applied previously.


 


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