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How to assess compensation for insulation missed in construction?

Discussion in 'Legal Issues' started by kennyboi, 2nd Oct, 2015.

  1. kennyboi

    kennyboi Well-Known Member

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    Hi,

    I wonder what is the acceptable way to assess for compensation for internal insulation that was missed in my granny flat build?

    My loss would be:
    1 - Extra energy usage from extra heat/cooling to adjacent room
    2 - Loss of acoustic privacy.

    With item 1, is it acceptable that I quantify by an estimate of extra hour usage on electricity a day during winter/summer months for the life of the building?

    With item 2, how can I quantify loss of acoustic privacy?

    Or should I quantify this in another perspective and get quotes to take down the wall neccessary to install insulation and make good?

    Thanks
     
    Last edited: 2nd Oct, 2015
  2. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Did the builder "accidentally" forget to install, but you checked and then he suddenly remembered that he overlooked it?
    Really, the job should be made good as per agreed quote/contract, provided there is no massive delay.
     
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  3. Propertunity

    Propertunity Exclusive Real Estate Buyers Agent Business Member

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    ^^ this.
     
  4. kennyboi

    kennyboi Well-Known Member

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    He said normally internal timber stud walls are uninsulated and I think he didn't check contract properly and missed it. I specifically request internal wall to be insulated and it is written in the construction contract. It doesn't seem like he want to make good so I like to know how to work out what amount is fair compensation to withheld from final payment.
     
  5. thatbum

    thatbum Well-Known Member

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    Haha, he doesn't want to make good on his obligation under the contract? That's fine, he can owe the cost for someone else to do the work he was supposed to.
     
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  6. bob shovel

    bob shovel Well-Known Member

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    That's a nasty job and not a simple fix.
    I think your approaching it the wrong way. You have minimal chance of the compensation approach and no way of calculating it for less than the actual cost of the job.

    Have you paid for the final payment? Has money been withheld as it hasn't been completed?
    You should look at holding back the cost of insulation. Then look at another option Eg shade over windows or shutters as compensation. That will likely be more energy efficient than insulation in internal walls
     
  7. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Don't pay him until he sorts it out.
     
  8. kennyboi

    kennyboi Well-Known Member

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    I had not paid any final payment, which is around 11k.

    I had naively offered to settle this for $2250, but they think it is excessive and did not accept it. Thanks to all of you, I emailed back to tell them I am withdrawing this offer to settle and seek advice.

    Internal wall 2700H comprise of:
    2250mm common wall to robe/wall/robe
    1290mm common wall to robe/wall/laundry
    1860mm common wall to bed/wall/laundry
    2820mm common wall to bed/wall/bathroom
    2000mm common wall to bed/wall/bed
    2000mm common wall to bed/wall/living
    2290mm common wall to bathroom/wall/kitchen

    Does anyone had any idea how much to get external builder to rectify?

    They did do insulation to external wall, just not internal walls so shutters or shades won't work.It was meant to give acoustic privacy and reduce heat/cooling loss between rooms.

    I probably will be seeking legal advice on this, but would like all your helpful advice first to see if there is a strong case.

    Thanks
     
  9. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Maybe you could hire a third party building inspector to do a final inspection, could even find some other bits the builder overlooked.....
    Then, get the building inspector to communicate with the builder so they know you're not going to simply fold on this.
     
  10. bob shovel

    bob shovel Well-Known Member

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    Yeah might as well hit them with a list of possible defects.
    That price seems reasonable. Legals will probably cost more! A granny flat will be noisy regardless and not going to be a noisy place with likely 2 or 3 occupants.
    Get them to do work elsewhere to resolve the issue
     
  11. Scott No Mates

    Scott No Mates Well-Known Member

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    I think it's excessive too. How about calling it square.
     
  12. kennyboi

    kennyboi Well-Known Member

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    I probably will get an independent quote from another builder to see what it cost to rectify and make good in original condition. Is this considered fair?

    He has done nothing about rectifying it when notified a few weeks ago and only talked about what credit I want so far.
     
  13. bob shovel

    bob shovel Well-Known Member

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    What stage is up to?
    Its labour to strip off gyprock, one side of each wall should do
    Then install batts
    Then re-gyprock and plaster.

    Not a cheap excercise, but being in the contract you do have them over a barrel. They probably should have taken your offer.

    Tread carefully as they may play hard ball too.

    They won't want to fix it they'd want to pay the original sum back.
     
  14. kennyboi

    kennyboi Well-Known Member

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    It is up to handover stage now.

    It is stripping off gyprock to put batts in and make good to brand new original condition. The common wall between kitchen/bathroom is going to be very expensive for this exercise.

    I already notified them a few weeks ago to see if they will fix, but they don't seem to act. Is it sufficient to say I had gave them a chance already? I don't want my project further delayed. It is already way over the quoted time for completion.
     
  15. wylie

    wylie Moderator Staff Member

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    Can you get another builder to quote to fix it and use that as leverage?
     
  16. bob shovel

    bob shovel Well-Known Member

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    Is the finish date in that contract? There could be significant amount of loss of income. But does depend on that circumstances too.

    I world think think your better to get a tenamt asap and chase them with prices from other builders plus loss of rent. I wouldn't wait for it to be fixed. Seek Legal advice

    What took so long with building? What were the delays?
     
  17. kennyboi

    kennyboi Well-Known Member

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    I intend to do that. Is there a building inspector that is also qualified to do quoting for incomplete work? Anyone to recommend in Sydney?
     
  18. kennyboi

    kennyboi Well-Known Member

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    I first signed the contract just before Christmas last year.
    The approval was given around April/May and the construction contract was around 14 weeks from there.
    They try to handover last month, but there were a fair bit of rectifying work to do.

    What took too long is a very long story. Please PM me if you like to know in detail.
     
  19. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Doesn't a granny flat only take about 1 week to get approved?

    Given how long it's taken, and if it's going to be a rental, nobody will know there is no insulation in the internal walls.
    I'd guess the thermal and acoustic loss will be very minimal.
    Tenants surely would not know the difference, but if its for your own use, it would bug you knowing there is a difference.
     
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  20. kennyboi

    kennyboi Well-Known Member

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    Really appreciate all your responses. They agreed to settle for more than my original requested amount.