A builder contracted to renovate a house for a total price of $850,000. Can the builder claim payment

where:

a) the builder did some of the work, worth $370,000, but then abandoned the contract?

Consensual contract is a contract that comes from the agreement of both parties. This does not

need the parties to perform any formal or symbolic acts to fix the obligation. Under the contractual

agreement, the builder agreed to renovate the house completely for the cost of $850,000. This

would mean that the builder will not be able to claim the $370,000 nor $850,000 until the job is

completed. A term is utilised to clarify what a party needs to be completed. The terms of this

contract indicate that the house needs to be renovated in order for the contract to be terminated,

under completion. As the builder did not complete said renovations as stated in the agreement he is

not eligible to claim a payment. The labour he accomplished does not matter as the terms require

him to finish the renovation to the house.

b) the builder finished the job but some of the work, particularly in the main bedroom was not done to

an acceptable standard - the change room doors and drawers were not straight?

In this situation as both parties have entered a mutual contract, it can be considered that if one party is

unable to perform the task to a suitable condition/standard the innocent party can claim assistance

through repudiation. Repudiation allows the innocent party to void the contract immediately as the

innocent party holds the right to revoke the contract due to repudiation conduct done by the other party.

Repudiation of warranty will not cause the innocent party the right to terminate.

c) the builder arrived on time to start the job, but the client had a change of mind and sent the builder

away?