All Topics / Legal & Accounting / Can I sue my builder/designer for missleading advice?
Hi
My partner and I engaged a builders/designer to help us with our development.
We initially went to him to help us design 2 dwellings in our 942sqm block.
After meeting with him, him inspecting the property, making preliminary talks to council, based on his experience dealding with this council, talks to real estate agents and personal view suggested we should have no problem getting approval for 3 x 3 bed dwellings.
So we agreed to proceed and paid him to commence desiging 3 x 3 bed dwellings. We paid him and 4 months later he had plans that we were happy with. We approved these plans, and 4 months later he presented the plans to council.
Council has rejected the plans because of 2 main issues – (1) The set-back suggeted by our builder/designer is way shorter than the regulations (4 metres), it should be double (8 metres). Objections two (2) is that all 3 bedroom dwellings need double garages and our dwellings only have a single garage.
These 2 objections make it impossible to have 3 x 3 bed dwellings as suggested by our builder/designer.
He is know suggesting we cut our losses and:
• Omit unit 3, and go ahead with 2 dwellings, (unit 1 and 2) and create double garages. (Which is what we suggested from the beginning, but he charged us more to design 3 units)
• Build up, so make second storage on units 1 or 2. (But as he said earlier in another conversation that that is not feasible as we wouldn’t recuperate the extra cost of building a second storage in Morwell)
• Make major design amendments to units 2 and 3, by deleting one bedroom on both of them and maybe leave unit one as, but he doesn’t think that will go through council. And making major work also means more money and time.
• Or simply cut our losses and take the design to a bigger land. Which is 100 sq bigger, that can give us approx 20 metres wide front and another 5 metre deep.
Do we have any compensation against false recommendations by our builder/designer? We were guided by his advace on the matter, as he had had preliminary discussions with council, has experience dealing with this council and has experience in the field.
We beleive he has waisted our time and money on a planning permit that was never going to be accepted by council.
Can we sue him and recuperate the money invested in desingning these plans?
I would really appreciate your response.
Thanks
how much did you spend?
Did he make any guarantees that your plans would be approved?
Are you willing to spend money on lawyers?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi,
Thanks for your reply.
We've paid him a little over $21,000.
Through the entire process he was telling us that we shouldn't have any issues getting through council approval.
These are some of the emails he sent us.
3 May 2011
"Please find attached the revised invoice.
I have reviewed the site and believe we should aim for a 3 unit site.
This decision has been based on a pre-application discussion with council, real estate advice and development/ financial decision making.
This will be a process of designing 3 units that will make best use of the site and aim to capture a market segment with clever use of design and functionality.
Give me a call when you can."
4 July 2011
"Yes we are ready to catch up.
We have designs to go over and discuss moving forward with.
I have extremely good news at this stage as we have been able to design and fit 3 x 3 bedroom units on the site. Yes 3 x 3!!!
Every millimeter is used and used well. This is the very best possible result!
Feel free to call as we need to make a time to catch up.
I know you have busy schedules so let me know what will work for you and we can take it from there."
We're prepared to pay for legal costs if it meant we could recuperate most of our money.
I don’t know if you would have a strong case based on those emails.
Even if you win you won’t get much back in terms of legal fees. There are caps on what you can claim. If you lose then you pay your own costs and part of his legal expenses.
Best to see a lawyer, but be skeptical of what they tell you.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Thanks much for your insight!
cheers
It’s always good to first visit an attorney and hear what legal right you have over the issue. However, you have to be incredulous on what the attorneys tell you since some of them are cunning and want to earn money through you. for more information you can visit http://www.terryw.com.au/
You must be logged in to reply to this topic. If you don't have an account, you can register here.