Vic Govt provides extension for cladding cost claims


Friday, 11 September, 2020


Vic Govt provides extension for cladding cost claims

The Cladding Safety Victoria Bill, introduced to the Victorian Parliament, will give home owners an extra two years to pursue legal action against buildings responsible for installing combustible cladding on their homes. Home owners will also have more opportunity to recover the cost of removing the combustible cladding by increasing the time limit on compensation claims from 10 years to 12 years.

This extension applies to all claims where the claim period expired or is due to expire between the date of the government’s announcement of the cladding rectification program (16 July 2019) and 12 months after the new Bill commences. To further support affected home owners, the government will send wrongdoers behind the most serious cases to court, where the state pays for rectification costs and the builder is found to have a case to answer after a thorough investigation.

“Apartment owners are in this situation through no fault of their own and it’s only right they have as much time as possible to pursue compensation through the courts,” said Richard Wynne, Minister for Planning.

The Bill will also formally separate Cladding Safety Victoria (CSV) from the Victorian Building Authority, establishing it as the responsible authority for delivering the Cladding Rectification Program. As a standalone entity, CSV will be better placed to deliver the Victorian Government’s cladding rectification program.

In July 2019, the government announced a $600 million package to fix buildings with combustible cladding and establish CSV to oversee the program. CSV works with building owners, owners corporations and the building sector to rectify buildings and make them safe. It also provides information and advice on rectification works, and financial assistance to fund rectification works.

“Cladding Safety Victoria is getting on with delivering our $600 million world-first program to fix hundreds of buildings across Victoria with high-risk cladding,” Wynne said.

Funding for rectification works is prioritised based on risk, to ensure buildings which present the highest risk to occupants are rectified first.

“We’re leading the world in responding to this international problem and helping to ensure those who have done the wrong thing contribute to the cost of fixing their mistakes,” Wynne said.

Image credit: ©stock.adobe.com/au/burnstuff2003

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