Floorer fined for unwritten contract, excessive deposit

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Wanneroo flooring installer Stewart John Granger, trading as Floors by Stewart, has been fined $2,000 by the Perth Magistrates Court and ordered to pay costs of $871.70 to the Building Commissioner for contractual offences.

On 2 October 2015, Mr Granger pleaded guilty and was convicted of two charges under the Home Building Contracts Act 1991. The first charge against Mr Granger was for failing to ensure the home building work contract was fully in writing, containing the date and all the terms of the agreement. The contract also provided for Mr Granger to receive a deposit in excess of 6.5 per cent of the total value of work, resulting in the second charge.

The charges were in relation to home building work Mr Granger carried out at a Ballajura property in May 2014. Valued at $14,478, the work involved the removal of an existing tile floor and the supply and installation of new timber flooring in the living areas and corridors of the residence.

The deposit received by Mr Granger totalled $8,700, which is approximately 60 per cent of the contract value. Mr Granger only partly completed the home building work before ceasing contact with the owners.

“Anyone performing home building or associated work is responsible for being aware of their obligations under the building laws,” Building Commissioner Peter Gow said.

“Failure to comply with the provisions of the Home Building Contracts Act may result in penalties of up to $10,000 per charge in the case of an individual and $50,000 in the case of a company.

“Consumers should protect themselves by knowing their rights and responsibilities before they engage a person to carry out home building work. Information and resources are provided in the ‘Building or renovating your home’ section of the Building Commission website.

"The Building Commission will continue to hold to account and name those who put consumer interests and the reputation of the building industry at risk.”

For more information on the building laws, visit the Building Commission website at www.commerce.wa.gov.au/building-commission or phone 1300 489 099.

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Building Commission
Media release
19 Oct 2015

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