Previous Page  137 / 298 Next Page
Information
Show Menu
Previous Page 137 / 298 Next Page
Page Background

GAZETTE

JULY-AUGUST 1981

The Builder and the Law

HE Law Society organised a most successful

L Symposium on "The Builder and the Law" at

Blackball Place on the 16th May last. Representatives of

all the professions and trades concerned with the topic, as

well as members of the Public Service concerned with the

area, were present. The Symposium was officially opened

by the Minister for the Environment, Mr. Ray Burke T . D.

In his introductory remarks to the Symposium, the

Minister said that in Ireland we were fortunate that, in

general, the many outstanding features of our physical

environment are still available to us in good condition.

The pressures on our environmental resources were

increasing due to the expanding population, the rapid

growth of industry, the changing patterns of agriculture

and consequential overall growth and development which

is in line with the demand for improved living standards.

Vigilance and care had to be taken to ensure that the

environment did not suffer and unnecessary controversy

and conflicts arise which would only impede development.

This could best be achieved through a national

environmental policy, which sets out objectives and

means of their achievement. He had received a report

from the Environment Council with recommendations on

this matter. The report was at present being considered

and he hoped to put proposals to the Government on

environment policy in the near future.

Expenses in Buying a New House or Flat

In a paper entitled "Expenses in Buying a N ew Hou se

or Flat" Mr. John Gore Grimes, Solicitor drew attention

to the fact that the present system of adjudicating the

stamp duty on non CRV type houses and flats was

cumbersome and the cause of additional delay and there-

fore expense in connection with the house purchase. The

Law Society had on previous occasions appealed to the

Minister to rationalise the situation in relation to stamp

duty on new houses and flats and to apply a fair and

equal system without the necessity of contentious fictions

which in the experience of the Stamp Office seems to do a

little more than encourage perjury. The system causes

difficulty both for solicitors, purchasers and for the stamp

office. The documentation required was substantial and

somebody in the stamps office had to read carefully

through each building contract and each agreement for

site purchase to make quite certain that they were not

linked and this is a costly and time consuming process in

an office which is already over-burdened with work. This

time consuming and wasteful exercise is based on the

fiction that there is no link between the sale of the site and

the building of the house and in most cases there is of

course a very practical link. The Law Society would con-

tinue to press for reform and repeats its call for

rationalisation in the form of fixed duty on new houses.

Once the Revenue Commissioners are satisfied that the

instrument presented is an instrument transferring or con-

veying newly built premises then a flat race of duty should

apply whether the premises are a house or a flat.

Builder/Client Relationship

In the course of her paper on the Builder/Client

relationship the President of the Law Society, Mrs. Mo y a

Quinlan suggested that solicitors should explain more

fully to the client, the various stages the building of a

house will go through and advise the client that he is quite

entitled, once the contract has been signed, to visit the site

on a regular basis for the purpose of satisfying himself

that the work is being carried out in accordance with the

specification which he will have had an opportunity of

seeing at the moment of signing the contract. In saying

this the President commented that she was well aware that

this was a practice which builders might not wish to en-

courage but nevertheless she felt at many times if a more

positive interest in the construction of the house was

taken by the client in the early stages, fewer problems

would arise later on and many of the difficulties which

solicitors are subsequently asked to unravel would be

avoided.

She also suggested that a solicitor should explain in

detail the duties and obligations which a purchaser under-

takes entering into a contract with a builder. If there were

any piece of advice that could be offered to both the client

and the builder it was that before proceeding with the con-

tract the effect of the contract should be explained in great

detail and its duties and obligations clarified at all levels.

On the question of the time limits for construction of

houses and payment of instalments she noted that all too

often the small builder or developer for one reason or

another is unable to meet the time commitment and s o

frustration begins to build up and a certain amount of dis-

trust on the part of the client becomes inevitable if

deadlines are not met. She suggested that from the

builders point of view it would seem that if the progress of

the work was carefully monitored and the client was

aware of the likelihood of the due date being reached

punctually, the client would realise that it was necessary

to have the various instalments ready for immediate

payment and so the builder would at least be in a position

to meet his own financial obligations.

Draft Building Regulations

In her paper on the Builder/Client relationship Mrs.

Mirette

Corboy,

President

of

the

Construction

Industry Federation, in dealing with the proposed draft

Building Regulations urged that such regulations should

of their nature only be concerned with public health,

safety and energy conservation. They should not embrace

aspects of building that are more appropriately dealt with

by way of consumer protection legislation, or by the public's

rights at Common Law and should not interfere with the

processes that already exist within the Construction

Industry to deal with the contractual relationship between

all parties in the Industry.

If the objective of the Regulations is to protect public

health and the safety of the community then this provision

137