Fundamentals of Business and Corporations Law

Fundamentals of Business and Corporations Law

Research Exercise 1

Decisions and Legal Implications

Taking decisions regarding to the contract law for building a home is difficult. It is a serious matter; therefore, requires a lot of effort to make sure that the decisions are correct and accurate. This is the reason that the people involved in the decision making should be the ones that are smart and have enough knowledge about the house building contracts and know the ins and outs of it. While taking decision regarding the agreement between the contractor and me, I made sure that I know all about the law and the act related to the house building. I read and understood the main provisions of the Home Building Contracts Act 1991 so that I do not commit any mistakes while drafting the agreement.

I provided the builder with all the specifications, drawing and the house plans. I want the home to be built according to my needs; therefore, I made sure that I am the one who provides him with the proper information. For this purpose, I conducted a lot of research. I researched thoroughly the needs and the requirements of building a house and how it should be built. I researched through a lot of websites to make sure that the agreement is correct and nothing goes wrong. I learnt about the specific provisions and clauses related to it and whether I can provide the builder with the house plans or not. Usually people leave it to the builder to build the house as he wants, but I wanted to make sure that the house is built according to my needs which is why I had to conduct good research on the agreement.

While conducting research, I came across a few legal implications in the decision making process. One issue that came up in my mind was the insurance issue. While researching I learned that the insurance issues should be settled before the contract the initiated and the before the house is being built. I came to know that all these issues should be resolved prior to getting in the contract and drafting the agreement. The law handbook helped me in knowing that the house should be insured before the builder starts building the home. I then made sure that the house is insured before the builder starts working on it.

Another legal issue that I came across was the contract issue. This includes a lot many minor issues that can damage the contract and can harm the purpose for which the contract is drafted. All the installments in which payment will be made should be clear and outlined in this agreement and contract so that no problem exists afterwards. Guarantee should be provided by the builder so that the owner of the house has something to claim if the builder defaults in between the contract. Default is another issue that is included in the contract issue and should be made sure that all the terms ...