The Critical Path – C&I Newsletter September 2024 

16 September 2024

Welcome to The Critical Path, HWL Ebsworth Lawyers’ Construction and Infrastructure newsletter featuring the latest developments in construction law, to help you stay on the critical path!

Western Australia’s building and construction laws

This article was written by Natasha Breach, Partner and Caitlin Grehan, Associate.

Building and construction in Western Australia is regulated by 11 key pieces of legislation (and their associated regulations), which together form a framework for the industry. This article is intended as a quick reference guide to help those in the industry navigate WA’s building laws, including when they apply, what their purposes are, and where you can find them.

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Checks and cheques: Practical tips to prevent cybercrime in the construction industry

The article was written by Kate Morrow, Partner, Bill Singleton, Partner and Darcy Thompson, Senior Associate.

With a construction industry focus, this article explores the current state of the law in respect of Business Email Compromise (BEC) scams and provides some helpful steps that you can implement to prevent cybercrime in your supply chain.

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VCAT delays and under-resourcing no longer grounds to bypass VCAT’s chief jurisdiction over domestic building disputes

This article was written by Theo Kalyvas, Partner and Chris Kipouridis, Associate.

This article examines the decision in Mooney & Anor v Fanissa Pty Ltd [2024] VCC 1032, how delays and under-resourcing at VCAT are no longer valid reasons for circumventing its chief jurisdiction over building disputes.

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Do special conditions in a major domestic building contract trump the requirements for variations under sections 37 or 38 of the Domestic Building Contracts Act 1995 (Vic)?

This article was written by Alan Chiang, Partner and Con Koutsantony, Senior Associate.

In Stewart v Sherridon Pty Ltd [2024] VCC 1023, Victorian County Court held that special conditions in a major domestic building contract entitling the builder to unilaterally vary the contract or building plans could not trump the requirements for variations under sections 37 or 38 of the Domestic Building Contracts Act 1995 (Vic).

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Rectification costs or excluded amounts?

This article was written by written by Paul Graham, Partner, Tara Nelson, Senior Associate and Nick Jarrett, Solicitor.

The decision in Hanson Construction Materials Pty Ltd v Decmil Australia Pty Ltd [2024] VSC 361, provides guidance on what can be included in a payment schedule and what are ‘excluded amounts’ under the Building and Construction Industry Security of Payment Act 2002 (Vic).

This article discusses the decision and provides some practical tips.

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Unearthing the divide: A look at the Court’s differing approaches to interpreting the mining exclusion in the BIF Act and QBCC Act

This article was written by Colin Harris, Partner and Natalie Botha, Special Counsel.

This article examines the differing approaches Queensland court have adopted in interpreting the mining exclusions under the Queensland Building and Construction Commission (QBCC) Act and the Building Industry Fairness (BIF) Act.

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High Court rules that proportionate liability is applicable in arbitration

This article was written by Kevin Lock, Partner, Tara Nelson, Senior Associate and Brooke Rasmussen, Solicitor.

In the landmark decision of Tesseract International Pty Ltd v Pascale Construction Pty Ltd [2024] HCA 24, the High Court of Australia addressed the application of proportionate liability legislation within the context of arbitration. This article discusses the decision and provides some key take aways.

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Interaction of security mechanisms in major projects: Using the Security of Payment Act, to reclaim wrongfully called upon bank guarantees

This article was written by David Jury, Partner, Simon Walsh, Partner, Alice Greenwood, Special Counsel and Tom Dickinson, Solicitor.

In the recent decision of EnerMech Pty Ltd v Acciona Infrastructure Projects Australia Pty Ltd [2024], the NSW Court of Appeal confirmed parties entitlement to make claims beyond that for construction work, including the right to claim for contract security, under the NSW Building and Construction Industry Security of Payment Act. This article discusses the decision and provides some key take aways.

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Is your contract binding? Pitfalls when contracting for future works

This article was written by David Jury, Partner, Sannan Tarig, Senior Associate and Chelsey Bowd, Solicitor.

The Federal Court decision in Cirrus Real Time Processing Systems Pty Limited v Hawker Pacific is a stark reminder that care must be taken when separate companies bid together for work as they will have no contractual obligations to one another unless there is a binding contract in place at the time of the bid.

This article discusses the decision and provides some key takeaways.

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Implementation of the National Hydrogen Strategy in Australia

This article was written by John Vozzo, Partner, Jonathan Davies, Special Counsel and Natasha Davey, Solicitor.

Following the launch of the National Hydrogen Strategy was by the Council of Australian Governments Energy Council, states and territories across Australia have introduced policies and plans.

This article examines the current state-of-play and looks at some key projects being undertaken.

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Contek Pty Ltd v Mossop Group Pty Ltd [2024] SADC 1

This article was written by John Vozzo, Partner, Jonathan Davies, Special Counsel and Lara Centofanti, Law Clerk.

This article examines the District Court of South Australia’s decision in Contek Pty Ltd v Mossop Group Pty Ltd. The decision is an example of how, in some circumstances, courts may be prepared to rectify or ‘correct’ a common or unilateral mistake in a construction contract to reflect the ‘true agreement’ of the parties.

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