The Building Contract
June 2012
Before Construction Begins: Understanding the Building Contract
The building contract is one of the most important documents in your entire project. It is the legally binding agreement between you and your builder that sets out what will be built, how much it will cost, how long it will take, and how changes will be managed.
Put simply, it defines everyone’s responsibilities — and just as importantly, what happens if things don’t go exactly to plan.

Why the building contract matters
Even on the most carefully designed projects, unforeseen issues can arise once work begins on site. These might include:
- Unexpected ground conditions
- Hidden structural issues in existing buildings
- Services or materials that differ from what was anticipated
When this happens, costs and timeframes can be affected. The purpose of a well-prepared building contract is to manage these situations fairly and clearly, so decisions are not made under pressure or ambiguity.
Protecting both client and builder
A good building contract does not favour one party over the other. It provides a clear framework for:
- Variations to scope or cost
- Extensions of time
- Quality standards
- Payment stages
- Dispute resolution
Clarity at the outset reduces the risk of misunderstandings later, which is when projects tend to become stressful and expensive.
The role of the architect in contract administration
An architect can administer the building contract on your behalf, acting as an independent and informed professional between you and the builder.
This typically includes:
- Assessing progress and certifying payments
- Reviewing and managing variations
- Ensuring work is carried out in accordance with the contract documents
- Responding to unforeseen issues as they arise
Having an architect involved in contract administration provides an additional layer of oversight and impartiality, helping to maintain quality, manage risk, and keep the project aligned with the agreed scope.
Peace of mind during construction
Building can be complex, and decisions often need to be made quickly. With an architect administering the contract, you have someone experienced in construction, documentation and negotiation guiding the process, allowing you to focus on the outcome rather than the day-to-day complexities.
If you’d like to discuss how we can assist with contract administration on your project, please get in touch for an obligation-free conversation.