Take the time and read this presentation - IMPORTANT FOR HOMEOWNERS. Shows clear case studies where EQC are changing their position since the Joint Settlement between EQC and the Group Action. Also provides clarity on the issue of Limitation. EQCfix.NZ is planning to provide video of these concepts over the coming weeks.

1. Peter Woods

2. 1 EQC Action Group and EQC Joint Statement
2 Limitation Period
3 EQC Defective repairs to pre-1970’s homes
4 MBIE Survey
5 Underfoot Services Ltd
6 EQCfix.nz survey

3. 2
EQC Action Group and EQC
Joint Statement

5. 1 Joint Statement – four key features
1 “When new” and applicable laws
2 Undamaged parts of the house
3 MBIE floor dislevelment
4 EQC pays rather than repairs

6. CASE STUDY
Recent EQC Review
• July 2016
Issues
• Homeowner disputes EQC settlement
• Homeowner disputes historic floor settlement
vs earthquake related foundation damage
• Homeowner has engaged legal representation

7. CASE STUDY
Review by CHRP Complex Solution Team
EQC original engineering report
• Recommends a foundation relevel by way of jack & pack up to a
maximum of 100mm packing, in order to return the house to its
“prior condition”
CST Decision
• Returning the house to its “prior condition” does not fulfil EQC’s
obligations to ‘replace or reinstate the building to a condition
substantially as but not better or more extensive than when
new’
• Therefore EQC cannot rely on the report to support its position

8. CASE STUDY
EQR original engineering report:
• Earthquake related settlement recommends a
performance based lift to pre-earthquake levels
CST Decision
• Performance based lifting does not fulfil EQC’s
obligations to ‘replace or reinstate the building to a
condition substantially as but not better or more
extensive than when new’
• Therefore EQC cannot rely on the EQR report to support
its position

9. CASE STUDY
Determination
• The claim was desktop re-costed and
the new costing information based
on the foundation rebuild
indicated the claim was overcap
• Claim was sent for urgent settlement
review and apportionment

10. What can you do?
• Ask for EQC review – template letter
www.eqcfix.nz
• Prove it
– from EQC/EQR documents
– expert evidence
• EQC complaints process
• Legal advice (Residential Advisory Service “RAS”)

11. 2
LIMITATION PERIOD
EQC’s Position

12. EQC’s position at August 2016
EQC will approach the six-year period for all
claims as running:
• Where an EQC claim has been settled, from
the date EQC settled that claim;
• Where an EQC claim has not yet been
settled, from the date when EQC settles or
declines that claim; or
• Where a claim is declined, from the date that
EQC declines the claim.

13. Defining “Settlement Date”
For “settled” claims, EQC will calculate
the limitation date from its settlement
date which is:

14. Claims “settled” by payment:
• starts from the date EQC makes
payment in “settlement” of your claim
• Where EQC has made one or more “top-
up” payments, starts from the most
recent payment
• If no payment is made because the
“settlement” due is less than the excess
amount, starts from when EQC tells the
customer

15. Claims “settled” by repair under CHRP:
• starts from the date of practical
completion
• If there have been further repairs
after the date of practical completion,
starts from when those further repairs
were completed

16. Claims that are still undecided:
• not yet “settled”, and has not been
declined, starts from when the claim
is “settled” or declined

17. Claims that have or will be declined:
• starts from the date EQC notifies its
decision

18. 3
EQC defective repairs
to pre 1970 homes
INFORMATION SET ONLINE
FACT SHEET
VIDEOS
SURVEY
www.EQCfix.NZ

19. • “Rubble” perimeter ring and pile
foundations
• Poor EQC damage assessments
• Defective EQC repairs

20. This is an imbedded video – go to the website to watch –
resources tab.

21. 4
MBIE SURVEY

22. • Completed structural repairs done on
exempt basis
• Self-selected by IAG/SR/EQC/HNZ
• Complaints were not eligible

23. • 90 “checked”
• 55 failed
• 45 jack & pack perimeter ring and pile
failed
• 81% of failures = EQC

24. 5
UNDERFOOT SERVICES
An Audit of Repair
Watch the Videos

25. 5 Underfoot Services Ltd
• Over 350 homes inspected
• EQC damage assessments inadequate
• EQC repairs defective
• 85% foundation replacement required

26. 6
EQCfix.NZ Survey
An Audit of Repair
Read the Fact Sheet

27. • An independent assessment of the
problem
• As many as possible to be completed
• Random sample of 100 to be checked
• Results to be peer reviewed
• No obligation

28. EQCfix.nz survey (cont’d)
• Potentially thousands of homes affected
• Home owners unaware of defects
• Loss of equity
• Loss of insurance
• An independent assessment of the position
• Make EQC accountable

29. Complete the Survey