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Terms of Service for LCL Construction Ltd

These Terms of Service (“Terms”) govern all construction and renovation services provided by LCL Construction Ltd (“LCL,” “the Company,” “we,” or “us”) to any client (“Client” or “you”), as well as your use of our Website. By engaging LCL for services or accessing our Website, you acknowledge that you have read and agree to these Terms. These Terms are designed to clearly outline the rights and responsibilities of both parties, ensuring a smooth project execution and professional relationship. (If a separate written contract is signed for a project, that contract’s terms will prevail to the extent of any conflict with these Terms.)

1. Scope of Services
LCL is a construction and renovation company based in Auckland, New Zealand. We offer a wide range of building services, including but not limited to:

  • New Builds: Complete construction of new residential homes or structures from the ground up.

  • Full House Renovations: Comprehensive remodelling and refurbishment of existing homes.

  • Kitchen & Bathroom Renovations: Custom design and renovation of kitchens and bathrooms to modern standards.

  • Landscaping: Outdoor construction work such as decks, fences, paving, and garden structural landscaping.

  • Cladding Work: Installation or replacement of exterior cladding and related weatherproofing work.

These Terms apply to all the above services. The specific scope and details of your project will be outlined in a written quote or contract. Any services or work not expressly listed in the project contract are outside the scope and may require a separate agreement or a contract variation (see Variations below).

2. Quotes, Pricing, and Payment Terms

  • Quotation and Acceptance: LCL will provide a written quotation detailing the scope of work and the price for your project. Quotes are generally valid for a limited time (e.g. 30 days from the date of issue) and are subject to any clarifications or exclusions noted in the quote documents. By accepting a quote (typically by signing it or otherwise indicating acceptance in writing), you form a binding agreement to proceed under these Terms. If you have any questions about what is included or excluded in the quote, you should clarify these with LCL before acceptance.

  • Deposits: We typically require a deposit to confirm and schedule your project. The required deposit amount and due date will be stated in the quotation or contract. It is usually a small percentage of the total contract price, paid upon contract signing or prior to commencement of work. This deposit demonstrates your commitment and allows us to reserve time and resources for your project. Failure to pay the deposit by the agreed date may result in delays to the start of work or be treated as a cancellation by the Client. Deposits are generally non-refundable once work has been scheduled and/or commenced (except as required by law or expressly agreed otherwise).

  • Progress Payments: For most projects, payments will be made in stages as work progresses. The payment schedule (amounts and timing) will be specified in the contract – for example, payments may be tied to completion of certain milestones (foundation, framing, closing-in, finishing, etc.) or issued at regular intervals (e.g. monthly progress claims). LCL will issue invoices (which serve as payment claims under the Construction Contracts Act 2002) at the agreed stages, detailing the work completed and the amount due. You agree to pay each invoice in full by the due date specified (typically within a certain number of days of the invoice date or milestone completion). If you believe an invoice is incorrect or have a dispute about it, you must notify us promptly, and we will work in good faith to resolve the issue.

  • Final Payment: A final payment will be due upon practical completion of the project (i.e., when all contracted work is finished, pending only minor remedial items or council sign-off). The final invoice will take into account any deposit and prior progress payments made. The Client is expected to pay the final invoice in full before or upon handover of the completed work. Ownership of any materials and the finished work remains with LCL until full payment is received (see Ownership below).

  • Late Payment: Timely payment is essential to keep the project on schedule. If payments are not received by their due dates, LCL reserves the right to suspend work until the account is brought up to date.   We may also charge reasonable interest on overdue amounts and recover any debt collection costs, to the extent permitted by law. (For example, interest may accrue on overdue sums at a rate specified in the invoice or at a standard default interest rate per annum.) You may not withhold any payment or set-off any amount against our invoices without our written agreement.

3. Statutory Charges and Consultant Fees

Unless explicitly included in our written quote or contract, the contract price excludes statutory charges, council fees, and third-party consultant fees. In other words, the Client is responsible for paying these additional costs directly (or reimbursing LCL if we pay them on your behalf). This includes, for example:

  • Building Consent and Council Fees: Fees payable to local authorities for building consents, resource consents, inspections, code compliance certificates, development contributions, or other regulatory permits.

  • Government Levies: Any levies under the Building Act or other legislation (such as the Building Levy or levies payable to the Building Practitioners Board, if applicable).

  • Consultant/Professional Fees: Fees for architects, engineers, surveyors, geotechnical reports, or any other specialist consultants engaged for the project (unless LCL expressly includes such services in the contract). Typically, if you have engaged such consultants independently for design or planning, those costs are separate. If LCL arranges for such professional services at your request, those fees will be passed through to you or billed as additional disbursements.

  • Utility Connection Fees: Any charges from utility providers for connecting or upgrading services (electricity, water, sewage, telecoms) to the property, unless otherwise agreed.

The quote documentation should clarify what is included versus excluded. We will endeavor to advise you of expected council or third-party costs in advance, but these charges are set by others and are outside LCL’s control. If we have not explicitly included an item in our price, you should assume it is excluded. Always refer to the quote’s exclusions section for details. Any such external costs can be added to the contract as variations or passed through at cost, with your approval.

4. Variations
During construction, changes may arise that alter the originally agreed scope of work, materials, design, or timeline. Any change or modification to the scope of the project after the contract is signed is considered a variation. This includes additions or deletions of work, changes in materials or finishes, adjustments due to design modifications, or alterations necessary to meet unforeseen site conditions. To ensure transparency, all variations must be discussed and confirmed in writing before we proceed with the change. The following process is followed for variations:

  • Client Request or Discovery of Change: If you (the Client) request a change, or if LCL identifies a necessary change (for example, due to an ambiguous plan detail or an issue uncovered on site), we will communicate this to the other party as soon as possible. All parties should discuss the proposed variation and its implications.

  • Quotation for Variation: LCL will provide a description of the change and, if it affects cost or timing, a quote or estimate of the cost adjustment and any time extension required for the variation. This includes any additional materials or labor. You will have the opportunity to review the impact of the variation on the project price and timeline.

  • Written Approval: Once both you and LCL agree on the variation details, we will document it in writing (for example, a written Variation Order or addendum). Both parties should sign or otherwise confirm this document to indicate mutual agreement. The variation document will then form part of the contract. No variation is binding on either party until it is documented and agreed in writing.

  • Adjustment to Contract Price/Timeline: The contract price and/or completion date will be adjusted as noted in the signed variation. Variations may result in additional costs (or credits, if work is removed) and could extend the project duration depending on their nature. We will update the project schedule and payment schedule accordingly to reflect approved variations.

Minor changes that do not affect cost or time may not require a formal variation document, but will still be confirmed via email or written note for clarity. Both parties should keep records of all changes. By keeping all variations in writing and agreed upon, we ensure there are no surprises in the final invoice and that the project outcome meets your expectations.

5. Unforeseen Site Conditions and Hidden Defects

While we strive to thoroughly plan each project, sometimes issues are discovered only after work begins (for example, during demolition or excavation). Unforeseen issues are problems or conditions that could not have been observed or anticipated before the work started, and they may require additional work or materials to address. Common examples include (but are not limited to):

  • Hidden Structural Defects: Rotten or decayed timber framing, termite or borer damage, rusted steel, or weak structural elements hidden behind walls or under floors.

  • Water Damage or Mold: Previously unknown water ingress leading to rot or mold inside walls, ceilings, or subfloors.

  • Unsuitable Ground Conditions: Unstable soil, buried obstacles (like old pipes, tanks, or concrete), or ground contamination discovered when digging foundations or landscaping.

  • Out-of-Spec Existing Construction: In renovations, finding that existing building work by previous owners is not up to code or significantly different from expected plans (e.g., non-compliant wiring, plumbing, or lack of structural support where required).

When an unforeseen issue is discovered, LCL will promptly inform you of the problem and discuss the next steps. We will explain the nature of the issue, why additional work is needed, and provide an estimate for the cost and time to rectify it. The resolution of unforeseen issues will usually be treated as a variation to the contract (see Variations above), since they involve work outside the original scope. We will not proceed with the extra work until we have your approval, except in emergency situations where immediate action is required to ensure safety or prevent further damage (in which case we will still inform you as soon as possible).

We understand that such surprises can be stressful or impact budgets. Our commitment is to be transparent and work with you to find a solution. However, please note that the responsibility for the additional costs due to unforeseen issues generally rests with the homeowner (these are issues originating from the existing property condition). LCL cannot assume liability for pre-existing hidden defects or conditions that we did not cause or could not reasonably have known about prior to commencing work. By signing up for our services, you acknowledge that unforeseen problems can occur and agree that addressing them may require a contract variation and additional charges and/or time.

6. Warranty and Defects Repair Periods

LCL Construction Ltd stands behind the quality of our workmanship and materials. We provide the following warranty and defect repair periods for our work, in addition to your rights under New Zealand law:

  • New Builds – 12-Month Defect Repair Period: For newly constructed homes or structures built by LCL, we offer a 12-month defect repair period from the date of completion (handover). If any defects in workmanship or materials supplied by LCL become apparent within the first two years, we will rectify those defects at no cost to you.

 

  • Renovations – 24-Month Defect Repair Period: For renovation projects (including full house renovations, kitchens, bathrooms, etc.), we offer an extended defect repair period of 24 months from the date of completion. If any defects arise in the work we performed within the first four years, we will repair or correct them at our expense.

  • Manufacturer Warranties: Where we supply products or materials that come with their own manufacturer or supplier warranties (for example, roofing materials, appliances, etc.), those warranties are passed on to you. If a defect is due to a manufacturing fault in a product, we will assist you in making a claim under the manufacturer’s warranty if it occurs within the warranty period, but the manufacturer’s warranty terms will apply. Our 24-month or 48-month service warranty would cover the re-installation or labor to replace a defective product if it was originally supplied by us, but the product replacement itself may fall to the manufacturer’s warranty if beyond our control.

  • Implied Warranties (10 Years): All residential building work carried out by LCL is also protected by the implied warranties under the New Zealand Building Act 2004, which apply for up to ten years​. These implied warranties are automatic and guarantee that, for example, the work will be carried out competently, in accordance with the building consent, with suitable materials, and that the result will be fit for purpose and of acceptable quality. Even after our explicit defect repair periods (2 or 4 years) have ended, you still have rights and protections under the law’s 10-year implied warranty period.   Nothing in these Terms or our contract is intended to limit or exclude the rights you have under law.

Conditions and Limitations: Our warranty and defect repair commitment (whether 24, 48 months, or the legal implied warranties) is subject to the following conditions:

  • The defect must arise from our workmanship or from materials we supplied. We are not responsible for defects or damage caused by normal wear and tear, owner’s misuse, neglect, or lack of proper maintenance after completion. For example, if you fail to maintain painted surfaces or do recommended maintenance on cladding and a problem develops, that may not be covered.  

 

  • You must notify us of the defect promptly after you discover it, and within the applicable warranty timeframe. For the 24 or 48-month periods, please notify us in writing as soon as possible and no later than the last day of the period. (Earlier notification is better, as it prevents further damage – do not wait until the period is almost over if you notice an issue.)  For implied warranty claims up to 10 years, legal processes (if required) must typically be initiated within that timeframe.

  • You need to give LCL a reasonable opportunity to investigate and fix the issue. Do not repair it yourself or hire another contractor to do so without giving us the chance to remedy it, otherwise our obligation might be voided. We may need access to your property to assess and carry out repairs.

Our warranty does not cover any defect or damage that is caused by external events or third parties outside our control, such as:

  • Force Majeure events: natural disasters, fires, floods, earthquakes, or other events beyond human control​.

  • Accidental or deliberate damage by others: for instance, damage caused by occupants, guests, or other contractors/tradespeople that you have engaged (not under LCL’s supervision) after our work is completed.

  • Changes or additions by others: if, after our work is done, another party modifies it or connects new installations improperly, any resulting issues would not be our responsibility.

Any remedial work we perform under our warranty will be warranted for the remainder of the original warranty period or for a minimum of 90 days from the repair (whichever is longer, as required by law). Repairing a defect does not extend the original warranty period for that project, unless required by law.

7. Limitations of Liability
While LCL is committed to delivering quality service, there are certain limits to our liability to you under this agreement. To the fullest extent permitted by law, LCL Construction Ltd’s liability for any loss, damage, or claim arising out of or in connection with our services or these Terms is limited as follows:

  • Direct Fix or Cost Limit: If we are found liable for any defects or breaches, our liability is limited (at our election) to either (a) re-performing or repairing the defective work, or (b) paying the cost of such repair, up to a maximum amount no greater than the price you paid us for that portion of work​. This means we will either fix the problem or compensate you up to the value of the work in question. We will not be liable for sums greater than the contract value for the specific work that is proven defective.

  • No Liability for Indirect/Consequential Loss: We are not liable for any indirect or consequential losses suffered by you or any third party.     This includes no liability for loss of profit, loss of use, loss of rental income, loss of property value, loss of enjoyment, or any special or incidental damages that go beyond the immediate repair or replacement of the work​. Our responsibility is limited to the direct costs of fixing issues with our work, and does not extend to broader economic losses.

Delays and Schedule Changes: We will do our best to complete your project within the estimated timeframe. However, we are not liable for delays or failure to complete work by a specified date when such delays are caused by factors outside our reasonable control. This includes delays caused by:

1. Weather or Environmental Conditions: Unusually bad weather, storms, floods, or other natural events that prevent work from proceeding safely or effectively (force majeure events).

2. Regulatory or Permit Delays: Delays in inspections, permitting, or approvals by councils or other authorities.

3. Third-Party Actions: Subcontractors or suppliers failing to deliver on time, strikes or labor disputes affecting the workforce or supply chain, transportation delays, or other contractors on site (not engaged by LCL) causing holdups. We are also not responsible for delays caused by the Client, such as late design decisions, changes (which are handled as variations), or inability to provide access to the site.

4. Force Majeure: Any other events beyond our control, such as war, pandemics, nationwide material shortages, or government-imposed work stoppages.   In any such case, we will communicate with you about the delay and revise the project schedule. You agree that reasonable extensions of time are acceptable in these situations.

  • No Liability for Certain Damages After Completion: Once the work has been completed and handed over, we are not liable for damage to the work or site that occurs due to your actions or third parties. For example, if after we finish a renovation, part of the work is damaged by someone you hire or an accident in your home, LCL is not obligated to repair that under warranty (though we can certainly be hired to make repairs).

  • Client’s Responsibilities: The Client is responsible for maintaining their property after project completion. We can’t be held liable for issues arising from a failure to properly maintain the building or landscaping (such as not cleaning gutters leading to water damage, or not repainting timber on schedule leading to rot)​. Additionally, if we give you advice or instructions for care (e.g., how to ventilate a bathroom to prevent mold, or specific maintenance schedules) and you do not follow them, we will not be responsible for damage that could have been prevented by following that advice​.

  • Statutory Liability: Nothing in these Terms is intended to unlawfully limit any rights you have under New Zealand consumer protection laws (such as the Consumer Guarantees Act 1993 or the Building Act 2004). Some of our services may be of a nature that the Consumer Guarantees Act does not apply (for example, if you are engaging us for business purposes, the Act may be contracted out), but where it does apply, you retain your rights under that Act. To the extent we are permitted to limit liability under that Act or others, we do so as specified in these Terms. If any part of these limitation provisions is held invalid under law, the remainder still apply.

In summary, LCL will be responsible to make things right if we have made a mistake or fallen short of our obligations, but we will not be an insurer for all possible outcomes. We encourage clients to obtain appropriate insurance (for example, construction insurance during the build, or home insurance after completion) to cover risks like fire, flood, theft, or other losses that are outside the builder’s control. LCL carries its own liability insurance as required by industry standards, but that is for catastrophic events and third-party injuries and is not a guarantee of no defects. By proceeding with LCL, you acknowledge the limits of liability as stated above.

8. Dispute Resolution

We value open communication and aim to resolve any disagreements in a fair and timely manner. In the event of a dispute or dissatisfaction arising out of the contract or these Terms, the following steps are recommended to resolve the issue:

1. Good Faith Negotiation: First, the party raising the dispute (whether you or LCL) should notify the other party in writing, clearly describing the issue at hand. Both parties should then engage in good faith discussions to understand each other’s perspective and attempt to resolve the matter informally. Most issues can be resolved at this stage through honest communication and a willingness to find a mutually agreeable solution.

2. Mediation: If the dispute cannot be resolved through direct negotiation within a reasonable time, either party may suggest mediation. Mediation is a structured negotiation facilitated by a neutral third-party mediator. The mediator helps guide the parties toward a resolution but does not impose a decision. Mediation can be arranged through organizations like the New Zealand Master Builders Association (if applicable) or independent mediation services. Both parties would need to agree on the mediator and share the cost of mediation. We recommend mediation as a cost-effective way to settle disputes without resorting to litigation.

3. Arbitration or Adjudication: If mediation is unsuccessful or if both parties agree to skip it, the next step could be arbitration. Arbitration involves a neutral arbitrator (often an experienced construction lawyer or retired judge) who hears both sides of the dispute and makes a binding decision. Arbitration can be faster and more private than court. Alternatively, for disputes specifically about payment, either party may refer the matter to adjudication under the Construction Contracts Act 2002, which provides a fast-track process for resolving payment claims in construction.

4. Master Builders/Certified Builders Processes: If LCL is a member of a professional trade association (such as Registered Master Builders or New Zealand Certified Builders), and your project was undertaken under a contract affiliated with that association, you may have access to that association’s dispute resolution scheme. For example, Registered Master Builders have a disputes process and sometimes offer mediation or rulings for disputes involving their members. We will inform you if such a membership applies and any guarantee or disputes process that comes with it. If applicable, you can choose to utilize those avenues.

5. Disputes Tribunal or Court: As a last resort, if the above methods do not resolve the issue, either party may seek to have the dispute resolved through the legal system. Smaller disputes (up to a certain dollar threshold, currently $30,000 in New Zealand) may be taken to the New Zealand Disputes Tribunal, which is a quicker, less formal forum for resolving claims without lawyers (the Tribunal’s decision is binding and enforceable). Larger or more complex disputes may need to be filed in the District Court or High Court of New Zealand, depending on the claim amount and nature. Litigation can be costly and time-consuming, so we genuinely encourage attempting steps 1–4 first.

Both you and LCL agree that we will not unreasonably refuse to participate in the dispute resolution steps outlined above. Continuing work during a dispute: If a dispute arises during an ongoing project, where possible, LCL will continue to work (and you should continue to make payments on undisputed portions) so that progress is not unduly hampered, unless the nature of the dispute makes this unfeasible.

Each party will bear its own costs of negotiation or mediation. If formal arbitration or court proceedings become necessary, the prevailing party may be entitled to recover legal fees and costs, as determined by the arbitrator or court.

Our goal is to handle any disagreements professionally and amicably. We are a member of the community and our reputation is important – we will strive to resolve issues in a manner that is fair to both parties.

9. Use of Website

In addition to service terms, this document also governs your use of LCL Construction Ltd’s Website (if you are reading these Terms on our site). By accessing or using our Website (including any content, functionality, and services offered on or through it), you agree to the following Website Use terms:

  • Intellectual Property: All content on the LCL website, including text, images, graphics, logos, designs, and layout, is the property of LCL Construction Ltd or its content suppliers and is protected by copyright, trademark, and other intellectual property laws. You may browse or print content for your personal reference, but you may not copy, reproduce, republish, upload, distribute, or modify any website content for commercial purposes without our express written permission. Using our company name, logo, or any proprietary materials is not allowed except as part of authorized promotion of our services or with consent.

  • Accuracy of Information: We strive to ensure that the information presented on our Website is accurate, up-to-date, and complete. However, the content is provided for general informational purposes and is not a guarantee or warranty of any kind. For example, project descriptions or blog articles on the site reflect general advice or past projects, which may not apply to your specific circumstances. We do not guarantee that the website content is free from errors or omissions. Use of any information on our Website is at your own risk. Before relying on information or making decisions based on it, we encourage you to contact us directly for confirmation or consult relevant professionals. The Website may also contain typographical mistakes or technical inaccuracies which we will correct as soon as practicable when brought to our attention.

  • User Conduct: When using our Website, you agree to do so lawfully and respectfully. You must not: (a) use the site in any way that violates any applicable laws or regulations; (b) attempt to gain unauthorized access to any part of the site, server, or database connected to the site; (c) knowingly introduce viruses, trojans, worms, or other malicious or technologically harmful material; or (d) engage in any conduct that could damage, disable, or impair the site or interfere with any other party’s use of the site. We reserve the right to restrict or terminate your access to the Website if we suspect any misuse.

  • Third-Party Links: Our Website may include links to external websites or resources for your convenience (for example, links to suppliers, industry organizations, or informative articles). Such links do not signify that LCL endorses the linked site or its content. We have no control over the content or practices of third-party sites and thus cannot accept any responsibility for them. When you follow a link to an external site, you do so at your own risk, and you should review the terms and policies of those sites.

  • Privacy: If you submit inquiries or personal information through our Website (such as via a contact form or email newsletter signup), we will handle your information in accordance with applicable privacy laws and our Privacy Policy (if we have a published Privacy Policy on the site). In general, any personal information collected will be used solely for the purpose for which you provided it (e.g., responding to your inquiry or providing services) and will be stored securely. We do not sell or rent your personal data to third parties. For more details, please refer to our Privacy Policy page.

  • No Warranty for Website: The Website is provided on an “as is” and “as available” basis. While we endeavor to keep it online and functional at all times, we do not warrant that the Website will be uninterrupted or error-free. Scheduled maintenance or technical issues may occasionally make the site unavailable. We appreciate your understanding in such cases.

  • Limitation of Liability (Website): To the extent permitted by law, LCL will not be liable for any loss or damage (direct or indirect) arising from your use of, or inability to use, our Website or from your reliance on any content displayed on the site. This includes, without limitation, any liability for errors or omissions in content, or any damage caused by viruses or harmful technology that may infect your computer equipment due to accessing our site or downloading content from it.

By continuing to use our Website, you indicate your acceptance of these terms of use. If you do not agree with these terms, please do not use the site. We reserve the right to update the website terms as needed (for example, to address new features or changes in law), and such changes will be effective once posted. It’s a good idea to review this section periodically for any updates.

10. Contact Us: If you have any questions about these Terms of Service or any aspect of our services, please contact LCL Construction Ltd at info@lclltd.co.nz. We value transparency and are happy to discuss any concerns you may have before you enter into a contract with us.

By choosing LCL Construction Ltd for your construction or renovation project, you are agreeing to these Terms and placing your trust in our company.    We are committed to honoring that trust by delivering quality workmanship and professional service in accordance with the above terms.    Thank you for doing business with LCL Construction Ltd.

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