Builder Not Fixing Defects in Victoria: Your Rights & Options

Discovering defects after handover is stressful for everyone involved. Whether you are a homeowner waiting on repairs or a builder managing post-completion obligations, understanding the rules around builders not fixing defects in Victoria is essential. Victorian law is clear on who is responsible and what happens when a builder refuses to act.

The Domestic Building Contracts Act 1995 sets out statutory warranty periods, formal notice requirements, and a defined escalation path. Knowing how that path works protects both sides of the contract.

This article explains what you are entitled to under Victorian building law, the correct steps to take when a builder refuses to act, and how builders can manage the DLP period more effectively to avoid disputes altogether, and how builders can manage the DLP period more effectively to avoid disputes altogether.

What Are Your Rights When a Builder Won’t Fix Defects in Victoria?

Under the Domestic Building Contracts Act 1995, builders must rectify defects at no cost to the owner. Owners have up to 10 years from the issue of the occupancy permit to bring a building action. For minor defects, Domestic Building Insurance provides cover for up to two years. Eligibility to claim depends on when your contract was signed and whether the builder remains in business.

These obligations apply regardless of what a building contract says. If a contract attempts to reduce or exclude these warranties, that clause has no legal effect. Builder not fixing defects in Victoria within these periods is not just a contractual breach; it is a statutory one.

Owners must give written notice of a defect to trigger the builder’s obligation to rectify. Verbal communication alone is not sufficient and will not protect your rights if the dispute escalates.

How Long Does a Builder Have to Fix Defects in Victoria?

Once written notice has been issued, a builder must respond and rectify within a reasonable time. The Domestic Building Contracts Act 1995 does not prescribe a fixed number of days. What counts as reasonable depends on the nature and severity of the defect, trade availability, and access to the property.

If a builder refuses or fails to respond after receiving proper notice, the owner has grounds to escalate through formal dispute resolution. Keeping records of all communication is essential at this stage.

What Steps Should You Take If a Builder Is Refusing to Fix Defects?

A builder refusing to fix defects in Victoria does not mean you are without options. The process is structured, but it must be followed in order.

First, send a formal written notice detailing each defect, supported by photographs and any relevant documentation. Keep copies of everything, including proof of delivery. Second, allow a reasonable period for the builder to respond and carry out repairs.

Third, if the builder does not respond or the response is inadequate, lodge a complaint with Domestic Building Dispute Resolution Victoria (DBDRV). Conciliation through DBDRV is mandatory before any VCAT building dispute application can be filed.

If conciliation fails, the matter proceeds to the Victorian Civil and Administrative Tribunal. VCAT building dispute decisions are binding on both parties. The process can take months or longer, which is why early and thorough documentation is critical. See construction defect management tools that help builders build that record from the start.

When Does Domestic Building Insurance Apply?

Domestic building insurance Victoria covers major structural defects in specific circumstances: when a builder has died, disappeared, or become insolvent. It is not a remedy for situations where the builder is still trading but refusing to act.

Understanding this distinction is important for any Victoria homeowner navigating the defects liability period. Domestic building insurance is a last resort. It does not replace the formal process through DBDRV and VCAT while a builder remains in business.

How Can Builders Prevent Defect Disputes Before They Escalate?

Better documentation during construction and the DLP period prevents most disputes from reaching VCAT. When defects are not recorded, assigned, and closed in a traceable way, ambiguity builds quickly.

Defect liability cases in Victoria often turn on whether a defect was reported, when it was reported, and what action followed. Builders who cannot answer those questions precisely are at a significant disadvantage in any formal proceeding.

Visibuild’s Post-Completion Management module gives builders a structured way to manage DLP obligations. Defects are captured on mobile, assigned to trades, and tracked to resolution within a single platform.

Using Digital Records as Evidence in a VCAT Building Dispute

VCAT requires evidence. Timestamped, evidence-linked records create an auditable trail showing exactly what was reported, when, and what action followed.

Builders using Visibuild’s Issue Management can document every defect from the moment it is raised through to sign-off, building an auditable record that supports any formal proceedings.

See Visibuild in Action

Visibuild’s Post-Completion Management module gives builders the tools to manage defects liability period obligations in Victoria with clarity and a complete audit trail. Every defect is captured, assigned, and resolved with full visibility across the team.