Get your hands on the new Commercial Building Contract

Published: 24 April 2017

Master Builders has recently released a new Commercial Building Contract (CBC), which supersedes the LSC2 and incorporates the latest industry and legislative changes.

The new-look contract is now easier to understand with the obligations on both parties set out using simpler language and a clearer format. It also aligns with the layout of the current Residential Building Contract, so you can access a standardised suite of useful resources for fortifying your business against risk and liability. 

Some important changes include:

  • ‘Owner’ is now referred to as ‘principal’
  • Contract price is GST exclusive
  • Options now included for a principal’s agent and delay costs
  • No date for commencement, only a date for practical completion
  • Deposit is now an option
  • One margin applies to all circumstances, for example variations, EOTs, PC or PS items
  • Contractor may at any time elect to replace bank guarantees with cash retention
  • Updated insurance obligations
  • Changes to timeframes for EOT claims and notice requirements for practical completion
  • Site possession is now handed over on practical completion
  • Liquidated damages can be limited
  • Clearer reference dates, including on termination of contract
  • Variations must be agreed in writing before work is undertaken
  • Email communication is now acceptable
  • Includes a limitation on liability
  • Unfixed and demolished materials are now the property of the contractor unless noted otherwise.

How to purchase

You can purchase hardcopies of the new CBC for $30 (incl GST) either online from Master Builders eShop or drop into your local Master Builders office to purchase and pick up a hardcopy.

The new CBC is also available electronically in the eDocs system for 6 credits. 

Got a questions about the new CBC? Contact Master Builders Contracts team on (07) 3225 6426 or contracts@mbqld.com.au