Approvals, Pre-Construction Conditions and the Start Date

Signing the contract does not necessarily mean construction starts next week. Between signature and excavation there may be finance, approvals, engineering, selections, insurance and other preconditions.

1. Find the contractual commencement mechanism

The construction period usually starts according to the contract, not according to the date you emotionally regard as the beginning of the project. Identify the clause defining commencement and each prerequisite.

2. Planning and building approvals can affect scope

Approval conditions may require changes to design, engineering, siting, stormwater, energy efficiency or other matters. Understand how the contract deals with changes required by an authority and who bears resulting cost or time.

3. Finance conditions must be managed carefully

If the contract is conditional on finance, read the condition closely. Know the amount, timeframe, evidence and notice obligations. Do not assume a general discussion about finance creates a contractual escape route.

4. Engineering and site information should be advanced

The more technical information unresolved at signing, the more room there may be for later changes in cost, design or programme. Ask what reports and engineering are final and what remains provisional.

5. Selections can become a commencement issue

Builders may require selections by specified dates. Late decisions can affect procurement and programme. Obtain a selections schedule and understand the consequences of missing it.

6. Insurance and statutory prerequisites matter

Depending on the project, insurance and other statutory documentation may need to be in place before work proceeds or payments are made. Keep copies in your project file.

7. Sales estimates are not necessarily contractual dates

A salesperson may give an expected start month. The enforceable position depends on the signed contract and its commencement machinery.

Questions to ask

What exactly must happen before the construction period starts? Who is responsible for each item? What happens if an approval requires a design change? What notices are required? When does the contractual completion clock actually begin?

The key lesson

Understand the runway between signing and construction. A clear commencement mechanism helps prevent months of uncertainty about whether the builder is actually late.

Before You Sign

This guide provides general educational information for South Australian homeowners. It is not personalised legal advice. The effect of any issue depends on the wording of your own contract, schedules, Special Conditions, plans, specifications and the facts of the project. A good builder and a well-understood contract should work together. Before committing to one of the largest financial transactions you may ever undertake, consider having the actual contract reviewed so you understand the obligations, notice requirements and consequences before they are tested on site.

Before You Build. One Signature. One Chance.