
TERMS & CONDITIONS
1. SCOPE OF WORK
(a) As requested by the Client, the inspection carried out by the Building Consultant (“the Consultant”) is to be based solely on one of the following options:
Option 1: Standard Property Inspection Report The purpose of the inspection is to provide advice to the Client regarding the condition of the Building & Site at the time of inspection. A Standard Property Inspection Report only covers and deals with any evidence of: Major Defects in the condition of Primary Elements including Structural Damage and Conditions Conducive to Structural Damage; any Major Defect in the condition of Secondary Elements and Finishing Elements; collective (but not individual) Minor Defects; and any Serious Safety Hazard discernible at the time of inspection. The inspection is limited to the Readily Accessible Areas of the Building & Site (see Note below) and is based on a visual examination of surface work (excluding furniture and stored items), and the carrying out of Tests. The building is to be compared with a building that was constructed in accordance with the generally accepted practice at the time of construction and which has been maintained such that there has been no significant loss of strength and serviceability.
Note With strata and company title properties, the inspection is limited to the interior and the immediate exterior of the particular residence to be inspected. Common property is not inspected as part of the Inspection Report.
Option 2: Special-Purpose Inspection Report A Special-Purpose Inspection Report must include the defined scope and any other relevant information on which the inspection report is to be based. A Special-Purpose Inspection Report may include Option 1 as well as the particular requirements of the Client which are specified and where applicable attached to this document.
(b) Unless noted in “Special Conditions or Instructions”, the Inspection Report assumes that the existing use of the building will continue following this inspection.
(c) In all parts of Australia, it is deemed best practice to de-energise the electrical installation before carrying out any work in a roof space. In addition, in some parts of Australia it is legislation to do so. For example, Queensland law (including the Electrical Safety Act 2002 (Qld) and associated regulations) requires that electrical installations in certain roof spaces of certain buildings be de-energised before entry, unless an exception applies.
(d) The Client acknowledges and consents that, where necessary for the purpose of the inspection, and to create a safe working environment when working in or otherwise entering a domestic roof space, the Consultant may de-energise and subsequently re-energise the electrical installation(s) of the building, including but not limited to the roof space. De-energisation will only occur in circumstances, as determined by the Consultant, where it is required for safety purposes, except where prescribed circumstances under the law apply.
(e) The Client acknowledges and agrees that the Consultant is not a licensed electrician and is not responsible for conducting electrical safety testing before or after the de-energising and re-energising, is not responsible for the condition of the electrical installations at the property, and is not responsible for conducting any repairs.
(f) The Client acknowledges and agrees that the Consultant is not responsible for the electrical safety, compliance, or functionality of any electrical system or component following de-energisation or re-energisation.
(g) The Consultant makes no representations or warranties regarding the ongoing operation of electrical appliances, security systems, or other electronic equipment following de-energisation or re-energisation.
(h) The Client acknowledges and agrees that damage or loss associated with de-energising and re-energising the electrical installations could include, but not be limited to damage to electrical systems and appliances, equipment failure, the spoiling of perishable goods, data loss and corruption in electronic devices, battery backup drain in critical systems, security and alarm system malfunctions, business interruption, and fire hazards and tripping of circuit-breakers from re-energisation.
(i) The Client acknowledges and agrees that Consultant bears no liability or responsibility for damage or loss associated with de-energising and re-energising of electrical installations including but not limited to as described in the sub-paragraph above.
(j) The Client acknowledges and accepts all risks associated with de-energisation and re-energisation, including but not limited to potential impacts on electrical equipment, appliances, data, perishable goods, and issues identified at 1(h) above, and agrees that the Consultant shall not be liable for any damage, loss or inconvenience arising from the de-energisation or re-energisation, unless caused by the Consultant's negligence.
(k) The Client indemnifies the Consultant (or any third-party engaged by the Consultant) from costs and damages arising from any action, suit, claim, or demand related to the de-energisation, including but limited to for any injury, death, or loss suffered by any person, any damage to property, and any consequential or economic loss. The indemnity provided under this clause does not extend to the proportion of any claim, liability, loss, damage, cost, or expense caused or contributed to by the negligence of the Consultant.
(l) The Client acknowledges and agrees that prior to an Inspection, it is responsible for notifying all relevant parties including but not limited to the property or building owner or their agent, and any tenants or residents, and that the Client is responsible for ensuring that precautions are taken to safeguard the property, its occupants, and any of its equipment and goods from potential risks associated with power disconnection, de-energisation, and re-energisation.
(m) The Inspection Report only records the observations and conclusions of the Consultant about the readily observable state of the property at the time of inspection. The Inspection Report therefore cannot deal with:
(i) possible concealment of defects, including but not limited to, defects concealed by lack of accessibility, obstructions such as furniture, wall linings and floor coverings, or by applied finishes such as render and paint; and
(ii) undetectable or latent defects, including but not limited to, defects that may not be apparent at the time of inspection due to seasonal changes, recent or prevailing weather conditions, and whether or not services have been used some time prior to the inspection being carried out.
These matters outlined above in (i) & (ii) are excluded from consideration in the Inspection Report.
(n) Any concerns about the scope of the Inspection Report must be notified in writing by the Client to the Consultant, whether it be before ordering the Inspection Report or after it is received.
(o) Unless stated otherwise in the Inspection Report, the Client as a matter of urgency should implement any recommendation or advice given in the Inspection Report.
2. NO INSPECTION OR NON-PERFORMANCE
The Consultant may reject proceeding with an inspection; in which event any fees, deposit or other money paid by the Client will be refunded. The Consultant is not liable for failure to perform any duty or obligation under this Agreement, where such failure is caused by inclement weather, industrial disturbance, inevitable accident, inability to obtain labour or transportation, or any cause outside the reasonable control of the Consultant.
3. LIMITATIONS
(a) The Inspection Report does not include any matters outside the scope of the ordered inspection and Inspection Report.
(b) The Inspection Report does not include the inspection and assessment of items or matters that do not fall within the Consultant’s direct expertise.
(c) The inspection does not cover areas that were inaccessible, not readily accessible or obstructed at the time of inspection. Obstructions are defined as any condition or physical limitation which inhibit or prevent inspection and may include, but are not limited to, roofing, fixed ceilings, wall linings, floor coverings, fixtures, fittings, furniture, clothes, stored articles/materials, thermal insulation, sarking, pipe/duct work, builder’s debris, vegetation, pavements or earth. Areas or building elements that are not normally accessible or exposed are not inspected, such as concealed framing timbers, a flat roof void or under slab-on-ground construction as it is not considered ‘practical’ to gain access to such restricted areas. Whilst carrying out the inspection of the accessible areas, those parts that are not readily accessible are not inspected, such as areas more than 3.6 metres above ground or floor levels (see also the definition of “Readily Accessible Areas”).
(d) Australian Standard AS4349.0-2007 Inspection of Buildings, Part 0: General Requirements recognises that a property report is not a warranty or an insurance policy against problems developing with the building in the future.
(e) Whether or not the water supply and drainage systems including fixtures such as a shower have been used for some time prior to an inspection being carried out will affect the detection of dampness. Also, the presence of dampness including that caused by a leaking roof is not always consistent as the prevailing and recent weather conditions at the time an inspection is carried out may affect the detection of damp problems. The absence of any dampness at the time of inspection does not necessarily mean the building will not experience some damp problems in other weather conditions or when water supply and drainage systems including fixtures are used for a prolonged period. The Inspection Report does not guarantee that existing damp problems will not be discovered in the future.
(f) The presence and extent of cracking in building elements is not always discernible at the time of inspection. Limiting factors such as the impact of seasonal weather changes on the structure and differential movement of building elements especially in concealed areas of the property such as foundations may affect the detection of a cracking problem. The Inspection Report does not guarantee that existing cracking and movement problems will not be discovered in the future.
(g) Due to the secretive nature of timber pests, the presence and extent of structural timber pest damage to building elements may not be discernible at the time of inspection. Structural timber pest damage may only be revealed by a more invasive type of inspection, for example, removal of wall linings. The Inspection Report does not guarantee that existing structural timber pest damage will not be discovered in the future, especially in the concealed areas of the property.
(h) The Inspection Report is to be produced for the Client’s use alone. No liability is accepted by the Consultant or any related body corporate, firm or entity in the event of any reliance on the Inspection Report by any third party.
4. EXCLUSIONS
The Inspection Report does not cover or deal with:
(a) any individual Minor Defect;
(b) solving or providing costs for any rectification or repair work;
(c) the structural design or adequacy of any element of construction;
(d) detection of wood destroying insects such as termites and wood borers;
(e) the operation of fireplaces and chimneys;
(f) any services including building, mechanical or engineering services such as electrical, water, gas, sewerage, drainage, ventilation, heating, air conditioning, solar power, fire, smoke detection, acoustics and communications;
(g) flood testing of shower recesses;
(h) a review of fire safety risks including those associated with combustible external wall cladding or whether any cladding complies with building regulations. Specialist consulting services are needed to report on this risk;
(i) lighting or energy efficiency;
(j) any failure of the electrical system to comply with relevant Australian standards or regulations;
(k) any swimming pools and associated pool equipment or spa baths and spa equipment or the like;
(l) any appliances such as dishwashers, insinkerators, ovens, stoves and ducted vacuum systems;
(m) a review of occupational, health or safety issues such as silica and asbestos content, the provision of safety glass or the use of lead-based paints;
(n) a review of environmental or health or biological risks such as toxic mould;
(o) environmental matters (such as BASIX, water tanks, NCC Environmental Provisions);
(p) whether the building complies with the provisions of any building Act, code, regulation(s) or by-laws;
(q) whether the ground on which the building rests has been filled, is liable to subside, swell or shrink, is subject to landslip, earthquakes or tidal inundation, or if it is flood prone; and
(r) in the case of strata and company title properties, the inspection of common property areas or strata/company records.
Any of the above matters may be the subject of a special-purpose inspection report, which is adequately specified and undertaken by an appropriately qualified inspector.
5. DEFINITIONS
(a) Client means the person(s) or entity requesting the Inspection Report or their Principal (i.e. the person(s) or entity for whom the Inspection Report is being obtained, where applicable).
(b) Building Consultant means a person, business or company who is suitably qualified and experienced to undertake an inspection in accordance with Australian Standard AS 4349.1-2007 Inspection of Buildings. Part 1: Pre-Purchase Inspections – Residential Buildings. The consultant must also meet any Government licensing requirement, where applicable.
(c) Building & Site means the inspection of the nominated residence together with relevant features including any car accommodation, detached laundry, ablution facilities and garden sheds, retaining walls more than 700 mm high, paths and driveways, steps, fencing, earth, embankments, surface water drainage and stormwater run-off within 30 m of the building, but within the property boundaries. In the case of strata and company title properties, the inspection is limited to the interior and immediate exterior of the nominated residence and does not include inspection of common property.
(d) Readily Accessible Areas means areas which can be easily and safely inspected without injury to person or property, are up to 3.6 metres above ground or floor levels or accessible from a 3.6 metre ladder, in roof spaces where the minimum area of accessibility is not less than 600 mm high by 600 mm wide and subfloor spaces where the minimum area of accessibility is not less than 400 mm high by 600 mm wide, providing the spaces or areas permit entry. Or where these clearances are not available, areas within the consultant’s unobstructed line of sight and within arm’s length.
(e) Structure means the loadbearing part of the building, comprising the Primary Elements.
(f) Primary Elements means those parts of the building providing the basic loadbearing capacity to the Structure, such as foundations, footings, floor framing, loadbearing walls, beams or columns. The term ‘Primary Elements’ also includes other structural building elements including: those that provide a level of personal protection such as handrails; floor-to-floor access such as stairways; and the structural flooring of the building such as floorboards.
(g) Structural Damage means a significant impairment to the integrity of the whole or part of the Structure falling into one or more of the following categories:
(i) Structural Cracking and Movement – major (full depth) cracking forming in Primary Elements resulting from differential movement between or within the elements of construction, such as foundations, footings, floors, walls and roofs.
(ii) Deformation – an abnormal change of shape of Primary Elements resulting from the application of load(s).
(iii) Dampness – the presence of moisture within the building, which is causing consequential damage to Primary Elements.
(iv) Structural Timber Pest Damage – structural failure, i.e. an obvious weak spot, deformation or even collapse of timber Primary Elements resulting from attack by one or more of the following wood-destroying agents: chemical delignification; fungal decay; wood borers; and termites.
(h) Conditions Conducive to Structural Damage means noticeable building deficiencies or environmental factors that may contribute to the occurrence of Structural Damage.
(i) Secondary Elements means those parts of the building not providing loadbearing capacity to the Structure, or those non-essential elements which, in the main, perform a completion role around openings in Primary Elements and the building in general such as non-loadbearing walls, partitions, wall linings, ceilings, chimneys, flashings, windows, glazing or doors.
(j) Finishing Elements means the fixtures, fittings and finishes applied or affixed to Primary Elements and Secondary Elements such as baths, water closets, vanity basins, kitchen cupboards, door furniture, window hardware, render, floor and wall tiles, trim or paint. The term ‘Finishing Elements’ does not include insulation, furniture or soft floor coverings such as carpet and lino.
(k) Major Defect means a defect of significant magnitude where rectification has to be carried out in order to avoid unsafe conditions, loss of utility or further deterioration of the property.
(l) Minor Defect means a defect other than a Major Defect.
(m) Serious Safety Hazard means any item that may constitute an immediate or imminent risk to life, health or property. Occupational, health and safety or any other consequence of these hazards has not been assessed.
(n) Tests means where appropriate the carrying out of tests using the following procedures and instruments:
(i) Dampness Tests - additional attention to the visual examination was given to those accessible areas which the consultant’s experience has shown to be particularly susceptible to damp problems. Instrument testing using electronic moisture detecting meter of those areas and other visible accessible elements of construction showing evidence of dampness was performed.
(ii) Physical Tests means the following physical actions undertaken by the consultant: opening and shutting of doors, windows and draws; operation of taps; water (spray) testing of shower recesses; and the tapping of tiles and wall plaster.
6. GENERAL
(a) (Severability) If a provision or part of this Agreement is held invalid, void, unenforceable or illegal for any reason, it is to be read down if possible, so as to be valid, enforceable and legal. But if it cannot be read down it is to be taken to be severed from this Agreement and this Agreement will otherwise remain in full force.
(b) (Composition) This Agreement constitutes the entire agreement of the parties about its subject matter and supersedes all previous agreements, proposals, offers, undertakings, representations, arrangements, understandings, covenants, terms, conditions, warranties or provisions of all types whether express or implied and whether written or oral.
(c) (Variation) This Agreement or any part of it may be varied, modified, amended, added to or substituted only by a document in writing executed by the parties.
(d) (Electronic execution) This Agreement may be executed and exchanged electronically in counterparts. All counterparts taken together comprise this Agreement.
(e) (Governing law) This Agreement is governed by the law of the State or Territory in which the Building & Site are located.
7. LIMITATION OF LIABILITY
To the fullest extent permitted by law, the Consultant’s liability for any claims arising out of or in connection with the inspection, including but not limited to de-energisation or re-energisation of electrical systems, is strictly limited to the amount of the inspection fee paid by the Client.
Under no circumstances shall the Consultant be liable for indirect, consequential, or special damages, including but not limited to loss of profits, business interruption, or data loss.
