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Public	
  Officials	
  and	
  Cer@fiers	
  –	
  What’s	
  	
  
Their	
  Fair	
  Share	
  of	
  the	
  Liability?	
  
Webinar,	
  1	
  December	
  2011	
  

  ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Development	
  Process	
  in	
  NSW	
  
                                    Submit	
  Development	
  Applica@on	
  (DA)	
  


                Obtain	
  Development	
  Consent	
  (usually	
  with	
  condi@ons)	
  


                                            Obtain	
  Construc@on	
  Cer@ficate	
  


                           Appoint	
  a	
  Principal	
  Cer@fying	
  Authority	
  (PCA)	
  


                                            Obtain	
  Occupa@on	
  Cer@ficate	
  

©	
  Copyright	
  2011	
  Teys	
  Lawyers    	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
About	
  the	
  PCA	
  
•  A	
  PCA	
  is	
  the	
  only	
  person	
  who	
  
   can	
  issue	
  interim	
  or	
  final	
  
   occupa@on	
  cer@ficates	
  
•  PCA	
  must	
  be	
  appointed	
  
   before	
  works	
  commence	
  
•  PCA	
  can	
  be	
  an	
  accredited	
  
   cer@fier,	
  council	
  or	
  consent	
  
   authority	
  
•  PCA	
  inspects	
  work	
  during	
  
   construc@on	
  and	
  at	
  
   comple@on	
  to	
  ensure	
  
   compliance	
  with	
  BCA	
  
   ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
       	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Du@es	
  of	
  a	
  PCA	
  
                                                                        •  PCA	
  should	
  check	
  
                                                                           builder	
  is	
  licenced	
  	
  

                                                                        •  PCA	
  should	
  ensure	
  
                                                                           HOW	
  insurance	
  is	
  in	
  
                                                                           place	
  

                                                                        •  PCA	
  issues	
  occupa@on	
  
                                                                           cer@ficate	
  



©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
PCA	
  Mandatory	
  Inspec@ons	
  
•  Builder	
  must	
  advise	
  PCA	
  
   when	
  inspec@ons	
  required	
  
•  PCA	
  must	
  advise	
  builder	
  and	
  
   person	
  with	
  benefit	
  of	
  
   development	
  consent	
  of	
  
   issues	
  iden@fied	
  during	
  
   inspec@on	
  
•  PCA	
  may	
  require	
  compliance	
  
   cer@ficates	
  or	
  expert	
  reports	
  
   at	
  various	
  stages	
  
•  PCA	
  may	
  rely	
  on	
  cer@ficates	
  
   but	
  must	
  always	
  undertake	
  
   mandatory	
  inspec@ons	
  
   ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
PCA	
  Mandatory	
  Inspec@ons	
  Cont.	
  
For	
  class	
  2	
  buildings	
  (a	
  building	
  containing	
  2	
  or	
  more	
  sole	
  occupancy	
  
units	
  each	
  being	
  a	
  separate	
  dwelling),	
  Environmental	
  Planning	
  and	
  
Assessment	
  Act	
  Regula@ons	
  require:	
  

                                                                                            Prior	
  to	
  covering	
  of	
  
                              AZer	
  commencement	
  of	
                                 waterproofing	
  in	
  wet	
  
                               excava@on	
  and	
  prior	
  to	
                          areas	
  for	
  a	
  min	
  10%	
  of	
  
                                        foo@ngs	
                                         rooms	
  with	
  wet	
  areas	
  
                                                                                             within	
  a	
  building	
  




                                AZer	
  building	
  work	
  is	
                          Prior	
  to	
  covering	
  any	
  
                               completed	
  and	
  prior	
  to	
                          storm	
  water	
  drainage	
  
                                occupa@on	
  cer@ficate	
                                      connec@ons	
  

    ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
          	
       	
        	
  www.teyslawyers.com.au	
  
Other	
  Obliga@ons	
  of	
  a	
  PCA	
  
•  Duty	
  of	
  care	
  in	
  rela@on	
  to	
  
   advice	
  provided	
  and	
  ac@on	
  
   completed	
  
•  Must	
  sa@sfy	
  requirements	
  
   of	
  relevant	
  authori@es	
  
•  Must	
  avoid	
  conflict	
  of	
  
   interest	
  	
  
•  Can	
  only	
  exercise	
  func@ons	
  
   if	
  covered	
  by	
  PI	
  insurance	
  



 ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
PCA	
  PI	
  Insurance	
  Requirements	
  
                                                                        •  Indemnifies	
  against	
  statutory	
  
                                                                           liability	
  

                                                                        •  Statutory	
  liability	
  is	
  defined	
  a	
  a	
  
                                                                           person’s	
  liability	
  to	
  pay	
  
                                                                           compensatory	
  damages	
  for	
  
                                                                           breach	
  of	
  professional	
  duty	
  
                                                                           arising	
  from	
  any	
  act	
  or	
  omission	
  
                                                                           whilst	
  ac@ng	
  as	
  a	
  PCA	
  

                                                                        •  Minimum	
  coverage	
  $1m	
  



©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
         	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Main	
  	
  Tasks	
  of	
  the	
  Building	
  Professionals	
  Board	
  


  •  Accredits	
  cer@fiers	
  
  •  Promotes	
  and	
  maintains	
  
     standards	
  
  •  Inves@gates	
  complaints	
  
     and	
  audits	
  




    ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Categories	
  of	
  Accredita@on	
  
•  There	
  are	
  over	
  20	
  categories	
  of	
  accredita@on:	
  
    –  Building	
  Surveying	
  grades	
  1,	
  2	
  and	
  3	
  and	
  Building	
  
       Inspector	
  
    –  Other	
  categories	
  typically	
  used	
  in	
  strata	
  schemes	
  
        •  Accredited	
  cer@fier	
  –	
  structural	
  engineering	
  
            compliance	
  
        •  Accredited	
  cer@fier	
  –	
  fire	
  safety	
  engineering	
  
            compliance	
  
•  Each	
  category	
  has	
  an	
  accredita@on	
  statement	
  lis@ng	
  the	
  
   criteria	
  to	
  be	
  sa@sfied	
  	
  

 ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Code	
  of	
  Conduct	
  	
  
•  Code	
  does	
  not	
  override	
  
   relevant	
  legisla@on	
  

•  Code	
  sets	
  standards	
  of	
  
   conduct	
  and	
  
   professionalism	
  

•  Failure	
  to	
  comply	
  with	
  
   code	
  is	
  unsa@sfactory	
  
   professional	
  conduct	
  


 ©	
  Copyright	
  2011	
  Teys	
  Lawyers    	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Disciplinary	
  Case	
  Examples	
  

                                                                        •  Building	
  Professionals	
  Board	
  
                                                                           v	
  Cohen	
  [2010]	
  NSWADT	
  62	
  

                                                                        •  Dix	
  v	
  Building	
  Professionals	
  
                                                                           Board	
  [2010]	
  NSWADT	
  160	
  
                                                                           (overturned	
  on	
  appeal	
  to	
  
                                                                           Supreme	
  Court)	
  

                                                                        Both	
  deal	
  with	
  failure	
  to	
  inspect	
  



©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
      	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
Thanks	
  for	
  abending	
  our	
  webinars	
  

This	
  was	
  the	
  last	
  in	
  our	
  series	
  of	
  
webinars	
  for	
  2011.	
  	
  
We	
  would	
  like	
  to	
  thank	
  you	
  all	
  for	
  
joining	
  us	
  this	
  year	
  and	
  we	
  
extend	
  our	
  best	
  for	
  the	
  season	
  to	
  
you	
  all.	
  




 ©	
  Copyright	
  2011	
  Teys	
  Lawyers   	
     	
     	
     	
     	
     	
     	
     	
     	
  www.teyslawyers.com.au	
  
About	
  The	
  Presenter	
  
                                       Chris	
   worked	
   for	
   many	
   years	
   in	
   leading	
   commercial	
   construc@on	
  
                                       law	
   prac@ces	
   ac@ng	
   for	
   government,	
   developers	
   and	
   contractors	
   in	
  
                                       disputes	
   in	
   the	
   building,	
   transport	
   infrastructure	
   and	
   resources	
  
                                       sectors.	
   He	
   has	
   been	
   involved	
   in	
   all	
   forms	
   of	
   dispute	
   resolu@on	
  
                                       including	
  li@ga@on,	
  arbitra@on	
  and	
  alterna@ve	
  dispute	
  resolu@on	
  in	
  
                                       a	
   range	
   of	
   jurisdic@ons	
   in	
   Australia.	
   In	
   the	
   last	
   few	
   years,	
   he	
   has	
  
                                       brought	
  his	
  specialist	
  construc@on	
  industry	
  knowledge	
  to	
  the	
  strata	
  
                                       sector	
   and	
   now	
   only	
   acts	
   for	
   owners	
   corpora@ons	
   in	
   a	
   range	
   of	
  
                                       disputes	
  in	
  various	
  jurisdic@ons.	
  	
  

TEYS	
   Lawyers	
   prac@ce	
   na@onally	
   in	
   strata	
   @tle	
   law	
   represen@ng	
   owners	
   corpora@ons,	
  
bodies	
   corporate	
   and	
   apartment	
   owners.	
   	
   The	
   firm’s	
   prac@ce	
   groups	
   include	
   building	
  
defects,	
  management	
  rights,	
  strata	
  community	
  disputes,	
  by-­‐laws	
  and	
  rules	
  and	
  levy	
  and	
  
fee	
  collec@on.	
  
Subscribe	
   for	
   their	
   free	
   e-­‐newsleber	
   StrataSpace	
   and	
   find	
   out	
   more	
   about	
   them	
   at	
  
www.teyslawyers.com.au	
  

  ©	
  Copyright	
  2011	
  Teys	
  Lawyers     	
      	
       	
       	
      	
       	
       	
      	
       	
  www.teyslawyers.com.au	
  

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Public officials and certifiers whats their fair share 1 dec 11

  • 1. Public  Officials  and  Cer@fiers  –  What’s     Their  Fair  Share  of  the  Liability?   Webinar,  1  December  2011   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 2. Development  Process  in  NSW   Submit  Development  Applica@on  (DA)   Obtain  Development  Consent  (usually  with  condi@ons)   Obtain  Construc@on  Cer@ficate   Appoint  a  Principal  Cer@fying  Authority  (PCA)   Obtain  Occupa@on  Cer@ficate   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 3. About  the  PCA   •  A  PCA  is  the  only  person  who   can  issue  interim  or  final   occupa@on  cer@ficates   •  PCA  must  be  appointed   before  works  commence   •  PCA  can  be  an  accredited   cer@fier,  council  or  consent   authority   •  PCA  inspects  work  during   construc@on  and  at   comple@on  to  ensure   compliance  with  BCA   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 4. Du@es  of  a  PCA   •  PCA  should  check   builder  is  licenced     •  PCA  should  ensure   HOW  insurance  is  in   place   •  PCA  issues  occupa@on   cer@ficate   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 5. PCA  Mandatory  Inspec@ons   •  Builder  must  advise  PCA   when  inspec@ons  required   •  PCA  must  advise  builder  and   person  with  benefit  of   development  consent  of   issues  iden@fied  during   inspec@on   •  PCA  may  require  compliance   cer@ficates  or  expert  reports   at  various  stages   •  PCA  may  rely  on  cer@ficates   but  must  always  undertake   mandatory  inspec@ons   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 6. PCA  Mandatory  Inspec@ons  Cont.   For  class  2  buildings  (a  building  containing  2  or  more  sole  occupancy   units  each  being  a  separate  dwelling),  Environmental  Planning  and   Assessment  Act  Regula@ons  require:   Prior  to  covering  of   AZer  commencement  of   waterproofing  in  wet   excava@on  and  prior  to   areas  for  a  min  10%  of   foo@ngs   rooms  with  wet  areas   within  a  building   AZer  building  work  is   Prior  to  covering  any   completed  and  prior  to   storm  water  drainage   occupa@on  cer@ficate   connec@ons   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 7. Other  Obliga@ons  of  a  PCA   •  Duty  of  care  in  rela@on  to   advice  provided  and  ac@on   completed   •  Must  sa@sfy  requirements   of  relevant  authori@es   •  Must  avoid  conflict  of   interest     •  Can  only  exercise  func@ons   if  covered  by  PI  insurance   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 8. PCA  PI  Insurance  Requirements   •  Indemnifies  against  statutory   liability   •  Statutory  liability  is  defined  a  a   person’s  liability  to  pay   compensatory  damages  for   breach  of  professional  duty   arising  from  any  act  or  omission   whilst  ac@ng  as  a  PCA   •  Minimum  coverage  $1m   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 9. Main    Tasks  of  the  Building  Professionals  Board   •  Accredits  cer@fiers   •  Promotes  and  maintains   standards   •  Inves@gates  complaints   and  audits   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 10. Categories  of  Accredita@on   •  There  are  over  20  categories  of  accredita@on:   –  Building  Surveying  grades  1,  2  and  3  and  Building   Inspector   –  Other  categories  typically  used  in  strata  schemes   •  Accredited  cer@fier  –  structural  engineering   compliance   •  Accredited  cer@fier  –  fire  safety  engineering   compliance   •  Each  category  has  an  accredita@on  statement  lis@ng  the   criteria  to  be  sa@sfied     ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 11. Code  of  Conduct     •  Code  does  not  override   relevant  legisla@on   •  Code  sets  standards  of   conduct  and   professionalism   •  Failure  to  comply  with   code  is  unsa@sfactory   professional  conduct   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 12. Disciplinary  Case  Examples   •  Building  Professionals  Board   v  Cohen  [2010]  NSWADT  62   •  Dix  v  Building  Professionals   Board  [2010]  NSWADT  160   (overturned  on  appeal  to   Supreme  Court)   Both  deal  with  failure  to  inspect   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 13. Thanks  for  abending  our  webinars   This  was  the  last  in  our  series  of   webinars  for  2011.     We  would  like  to  thank  you  all  for   joining  us  this  year  and  we   extend  our  best  for  the  season  to   you  all.   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au  
  • 14. About  The  Presenter   Chris   worked   for   many   years   in   leading   commercial   construc@on   law   prac@ces   ac@ng   for   government,   developers   and   contractors   in   disputes   in   the   building,   transport   infrastructure   and   resources   sectors.   He   has   been   involved   in   all   forms   of   dispute   resolu@on   including  li@ga@on,  arbitra@on  and  alterna@ve  dispute  resolu@on  in   a   range   of   jurisdic@ons   in   Australia.   In   the   last   few   years,   he   has   brought  his  specialist  construc@on  industry  knowledge  to  the  strata   sector   and   now   only   acts   for   owners   corpora@ons   in   a   range   of   disputes  in  various  jurisdic@ons.     TEYS   Lawyers   prac@ce   na@onally   in   strata   @tle   law   represen@ng   owners   corpora@ons,   bodies   corporate   and   apartment   owners.     The   firm’s   prac@ce   groups   include   building   defects,  management  rights,  strata  community  disputes,  by-­‐laws  and  rules  and  levy  and   fee  collec@on.   Subscribe   for   their   free   e-­‐newsleber   StrataSpace   and   find   out   more   about   them   at   www.teyslawyers.com.au   ©  Copyright  2011  Teys  Lawyers                  www.teyslawyers.com.au