Construction disputes
Construction and building dispute lawyer, Auckland
We bring and defend claims under the Construction Contracts Act and resolve building contract disputes for owners, builders, subcontractors and construction professionals. Our focus is the most cost-effective outcome that meets your needs.
- Payment claims and adjudication
- Defective and incomplete work
- Owners and contractors
Disputes we handle
Getting paid, or paying fairly
- Payment claims and payment schedules
- Unpaid invoices and progress payments
- Adjudication under the Construction Contracts Act
- Enforcing adjudication determinations
- Retention money
The work itself
- Defective or incomplete building work
- Variations and cost overruns
- Delays and extensions of time
- Termination of a building contract
- Claims against architects, engineers and quantity surveyors
“We engaged Michael to advise us about a commercial property that had problems caused by inadequate specification and poor construction. Michael’s advice and process resulted in a successful claim against the construction company who paid a significant part of the cost of repair without us having to resort to litigation. Result!”
Who we act for
Owners
- Homeowners building or renovating
- Commercial property owners
- Developers
- Bodies corporate
The construction side
- Head contractors and builders
- Subcontractors and trades
- Architects, engineers and quantity surveyors
The Construction Contracts Act in brief
The Construction Contracts Act 2002 sets rules for getting paid on construction work and a fast way to resolve disputes. Its approach is often summed up as "pay now, argue later".
- Payment claim. The contractor claims a progress payment, in writing and with the information the Act requires.
- Payment schedule. The payer must respond within the time in the contract, or 20 working days, stating what it will pay and why.
- Consequences. Without a valid schedule, the payer can be liable for the full claimed amount, recoverable as a debt.
- Adjudication. Either party can refer a dispute to an adjudicator for a quick, enforceable decision.
How construction disputes are resolved
| Route | Best for |
|---|---|
| Negotiation | Most disputes, early, at the lowest cost |
| Adjudication | Payment disputes and other contract disputes that need a fast, binding decision |
| Mediation | Complex or multi-party disputes where a negotiated outcome is realistic |
| Arbitration | Where the contract requires it, or the parties want a private hearing |
| Disputes Tribunal | Claims up to $60,000 |
| District Court | Claims up to $350,000 |
| High Court | Larger or more complex claims |
Construction disputes: common questions
I have received a payment claim I disagree with. What should I do?
Act quickly. If you do not respond with a valid payment schedule within the time in your contract, or 20 working days if the contract is silent, you can become liable to pay the full amount claimed. The schedule must state what you will pay and, if that is less than the claim, how you calculated it and why. See our Construction Contracts Act guide.
I have not been paid for work I did. Can you help?
Yes. If you served a valid payment claim and the other party did not respond with a payment schedule, or did not pay the amount it scheduled, you may be able to recover the amount as a debt in court, and you may have the right to suspend work. Adjudication is another fast route.
What is adjudication, and is it faster than court?
Adjudication under the Construction Contracts Act is a quick, statutory process for resolving disputes under a construction contract, typically decided in weeks rather than the months or years court can take. A determination about payment is binding and can be enforced through the District Court.
My builder has done defective work. What are my rights as a homeowner?
For residential building work, the Building Act implies warranties into your contract that the work will be done competently, with suitable materials and in line with the Building Code. These apply whether or not you have a written contract, for up to 10 years. The builder also has to fix defects you notify in writing within 12 months of completion.
Does the Construction Contracts Act cover architects, engineers and quantity surveyors?
Yes. Since 1 September 2016, work by architects, engineers and quantity surveyors on construction work has been covered by the Act, so their fees can be claimed and disputed under its payment and adjudication rules.
Which court will hear my construction dispute?
It depends on the amount and the type of dispute. The Disputes Tribunal hears claims up to $60,000, the District Court up to $350,000, and the High Court above that. Adjudication or mediation is often faster and cheaper than court, and arbitration applies if your contract requires it.
These answers are general information, not legal advice for your situation.
Received a payment claim, or not been paid?
Time limits under the Construction Contracts Act are short. Call us as soon as a payment claim or dispute arrives, and bring the contract and the claim to your free first consultation.
We aim to reply within 24 hours. Every enquiry is held in strict confidence.
Other areas we can help with
Defective & Leaky Buildings
Claims for homeowners and bodies corporate since 2005, and defence of builders, developers, designers and their directors.
More about defective & leaky buildings →Body Corporate & Unit Titles
Levies, repairs, rules and governance disputes under the Unit Titles Act 2010, for bodies corporate, committees and owners.
More about body corporate & unit titles →Insurance Claims
Declined claims and policy coverage disputes, especially public liability and professional indemnity policies.
More about insurance claims →Commercial Litigation
Contract disputes, misleading conduct claims under the Fair Trading Act, and landlord and tenant litigation.
More about commercial litigation →