Builder didn't finish the job? Your rights in Australia

You paid a builder — or a tiler, a plasterer, a kitchen installer — and now the job has stalled. Maybe they walked off site, or keep promising to come back but never do. Maybe they finished, but the work is so poor it might as well be incomplete.

Two sets of law can help: the Australian Consumer Law (ACL) consumer guarantees for services, and your state or territory's home building laws, which commonly add warranties, dispute steps and, for larger jobs in most states, compulsory insurance. Most building jobs are also a mixed supply: the work is a service, and the materials and fixtures the builder supplies are goods.

Quick answer

What you can do depends on two things: how serious the failure is, and your state's home building laws. Leaving a job unfinished may breach the ACL consumer guarantees, such as due care and skill (section 60) or, where no completion time was fixed, supply within a reasonable time (section 62), and it's usually also a breach of the contract. If the failure can be fixed and isn't major, you can require the builder to fix it within a reasonable time; if they refuse or don't, you can have it fixed elsewhere and recover the reasonable cost, or cancel. If it's major or can't be fixed, you can cancel and get a refund for work not yet done (section 269), or keep the contract and claim compensation for the drop in value. You may also claim other reasonably foreseeable loss you can evidence, if you took reasonable steps to limit it.

Check your state's building dispute process early: in NSW, Victoria and Queensland (and Tasmania, for TASCAT), the tribunal generally won't hear a home building dispute until you've been through a state building dispute service first.

What the law actually says

The Australian Consumer Law applies to services supplied in trade or commerce, including building work. The ACCC uses a builder as its own example: a builder starts patio repairs with no completion date discussed and doesn't return for a month, and the consumer can claim the service wasn't supplied within a reasonable time.

The three guarantees that matter most in a building dispute are:

• Section 60 — Due care and skill. A builder who frames walls out of square or tiles a bathroom floor that pools water may well have failed this guarantee. Leaving a job half-done can also fall short, depending on the facts.
• Section 61 — Fitness for purpose and result. If you made known a particular purpose ("a deck that can hold a spa") or the result you wanted, the work must be reasonably fit for that purpose and of a nature and quality that might reasonably be expected to achieve that result. Neither applies if the circumstances show you didn't rely, or it was unreasonable to rely, on the builder's skill or judgment, and section 61 doesn't cover professional services by a qualified architect or engineer.
• Section 62 — Reasonable time. If the contract doesn't fix a completion time (or an agreed way of working it out), the work must be done within a reasonable time. If the contract does fix a date, a missed deadline is mainly a matter for the contract and your state's building law.

The materials and fixtures are goods, with their own guarantees, such as acceptable quality (section 54). If you cancel the services contract under the ACL, goods the builder supplied in connection with the work are treated as rejected too (section 270).

Remedies. Your remedies come from section 267 of the ACL and depend on whether the failure is major. Under section 268, a failure is major if a reasonable consumer fully acquainted with the nature and extent of the failure wouldn't have acquired the service; the service is substantially unfit for a purpose services of that kind are commonly supplied for, unfit for a particular purpose you made known, or not of such a nature, or quality, state or condition, that it might reasonably be expected to achieve a result you made known, and can't easily and within a reasonable time be remedied; or it creates an unsafe situation. Two or more failures that aren't major on their own are together a major failure if a reasonable consumer fully acquainted with them, taken as a whole, wouldn't have acquired the service (section 268(2)). Abandoning the job may meet the first limb, depending on the facts.

• Major failure, or one that can't be remedied: cancel and get a refund for the part of the service not yet consumed (section 269), or keep the contract and claim compensation for the drop in value below the price paid (section 267(3)). These are alternatives.
• Non-major failure that can be remedied: require the builder to fix it within a reasonable time. If it refuses or doesn't, you can have it fixed elsewhere and recover the reasonable cost, or cancel (section 267(2)).
• Other loss: you can also claim reasonably foreseeable loss caused by the failure (section 267(4)), if you can evidence it, took reasonable steps to limit it, and don't claim the same loss twice.

Misleading conduct. A quote or description of the scope of work that was misleading may also breach section 18 of the ACL. A breach doesn't require intent, but to recover damages you must show the conduct caused your loss, and start the claim within 6 years after the cause of action accrued (section 236). A higher price demanded mid-job may simply be a contract or variation dispute. See also our guide to services that go wrong under the ACL.

Your state's home building laws

Every state and territory has home building laws on top of the ACL. These commonly include warranties built into residential building contracts, such as doing the work with care and skill and, if no finish date was agreed, with reasonable diligence or promptness. As Consumer Affairs Victoria puts it: "You have rights under both laws." These laws can also set mandatory dispute steps and the forum:

• NSW: Building Commission NSW handles home building complaints (it took over from NSW Fair Trading, which NCAT's pages still name). NCAT hears home building cases in its Consumer and Commercial Division and generally needs you to have been through that process first, with some exemptions.
• Victoria: the Building and Plumbing Commission's dispute resolution service (formerly Domestic Building Dispute Resolution Victoria) conciliates and, if that fails, can issue binding orders or a certificate that lets you apply to VCAT. A job where you directly engaged only one trade may not be eligible unless it's part of more extensive domestic building work.
• Queensland: a complaint to the Queensland Building and Construction Commission (QBCC) is a mandatory first step, and QCAT may refuse a building application without QBCC's letter.
• Western Australia: the Building Commissioner (Building and Energy) handles building service complaints and, for contracts valued between $7,500 and $500,000, home building work contract complaints. Complex disputes are referred to the State Administrative Tribunal, and the Magistrates Court can't hear claims within this scheme. You must give the builder notice at least 14 days before complaining, and a fee applies. Contract complaints generally must be made within 3 years of the contract or of the dispute arising.
• South Australia: Consumer and Business Services (CBS) may conciliate, and building disputes can be lodged in the Magistrates Court.
• Tasmania: the Director of Building Control can arrange voluntary mediation for work less than 6 years old, and the tribunal (TASCAT) generally needs a notice of dispute to have gone through that process first.
• ACT: raise the problem with your builder in writing. ACAT hears civil claims up to $25,000 (more in some circumstances) and asks parties to try negotiation or mediation first.
• NT: NT Consumer Affairs, as Commissioner of Residential Building Disputes, can only decide matters about work covered by a fidelity fund certificate; otherwise you claim in a court or tribunal with jurisdiction. For incomplete work, apply to the Commissioner within 90 days of the builder stopping work.

Home warranty insurance. Builder-bought insurance (names vary) is compulsory for many residential jobs above a dollar threshold that varies by state, everywhere except Tasmania, which doesn't currently have a home warranty insurance scheme in force (one has been legislated but not yet commenced). In most places it's a last resort, generally paying only if the builder dies, disappears or becomes insolvent (some schemes add triggers such as licence suspension or cancellation). A builder who is still trading but walked off the job generally has to be pursued through the dispute process instead. The exceptions:

• Victoria: for contracts from 1 July 2026, first-resort Home Warranty insurance covers work worth more than $20,000 on a home of 3 storeys or less, and you may be able to claim if your builder cannot or will not complete or fix the work after you ask them to.
• Queensland: the scheme also covers non-completion (fixed-price contracts only) after the contract is lawfully terminated for the builder's default, and defects the builder doesn't fix.

Claim windows can be short: in Queensland, a non-completion claim must be made within 3 months after the contract ends; in NSW, home warranty (HBCF) cover for incomplete work lasts only up to 12 months from when work stopped.

When this applies (and when it doesn't)

The ACL services guarantees apply when:

• You hired someone acting in trade or commerce. That includes most sole traders, even when paid in cash.
• You acquired the services as a consumer under section 3 of the ACL: either the amount paid or payable was $100,000 or less, or the services are of a kind ordinarily acquired for personal, domestic or household use (either limb is enough). Most home building and renovation work is of that kind, but check how section 3 applies to you.

They generally do not help when:

• The work was a genuine favour from a neighbour who isn't acting in trade or commerce.
• The work cost more than $100,000 and isn't of a kind ordinarily acquired for personal, domestic or household use, such as a commercial fit-out.
• The failure happened only because of someone other than the builder (or its agents or employees), such as defective materials you supplied, or a cause independent of human control after the work was done. This limit applies to sections 61 and 62; the due care and skill guarantee (section 60) asks only whether the builder took due care and skill.
• The work meets the agreed specification and you simply don't like the result, unless it misses a purpose or result you made known.

What to do today

1. Document everything. Photograph the work in detail. Note when the builder was last on site, any promises to return, and any messages acknowledging the work wasn't done. Keep proof of what you agreed and paid: quote, contract, scope of works, invoices and transfer records.

2. Check deadlines and payment options early. Check your state's building dispute process and any insurance claim deadline (see above). If you paid any part by card, ask your card provider now whether a chargeback is available; both follow the card scheme's or provider's own time limits, not the ACL's.

3. Write a formal notice to the builder. Set out the contract date, the agreed work, what's incomplete or defective, which guarantee you say was breached (section 60, 61 or 62), and what you want: completion by a specific date, or a refund for unfinished work. Give a clear deadline, such as 14 days (a practical default, not an ACL requirement), and check whether your contract or state building law sets its own notice steps.

4. Keep paying only what's due. If the builder claims a progress payment for a stage that isn't done, check your contract's payment and dispute clauses before withholding, and put your reasons in writing. Keep paying for work completed properly.

5. Get an independent inspection report and a quote. If the quality or cause of a problem is disputed, a written report from a qualified building inspector covering what's wrong, why, and the cost to fix carries more weight than your own assessment. A second contractor's written quote evidences your loss. Before you cancel or bring in another builder, follow any notice and termination steps in your contract and state building law, and consider legal advice: wrongful termination is costly.

6. Send a demand letter. A formal demand letter citing the ACL sections, the amount claimed and your next step (your state's building dispute process, or a tribunal or court with jurisdiction) often prompts a response. fairgo can generate one for you — the wizard identifies the relevant guarantees and produces a letter you send under your own name.

What if the business refuses

If the builder ignores you or disputes your version of events, you have several options:

• Your state's building dispute service. In NSW, Victoria and Queensland (and Tasmania, for TASCAT), this is generally required before the tribunal. Powers vary: some services can direct a builder to fix work or make binding orders, while others only mediate or conciliate.

• Your state or territory consumer protection body. It may help, for example by contacting the builder or conciliating, if your complaint meets its criteria. Most expect you to have tried to resolve the matter with the business first, and eligibility rules vary by state and dispute type. These bodies don't make binding orders in ordinary consumer disputes and can't make the business settle. For building work, many states use a building regulator or dispute service instead. Contact details are at /agencies.

• A tribunal or court with jurisdiction. In NSW, Victoria, Queensland, the ACT and the NT, a tribunal (NCAT, VCAT, QCAT, ACAT or NTCAT) hears many consumer claims within its limits; in Western Australia, South Australia and Tasmania, ordinary consumer claims go to the Magistrates Court. For home building disputes, your state's building laws set the forum and any mandatory first step; otherwise jurisdiction depends on each forum's enabling legislation, the type of claim and the amount, so confirm the forum and its current thresholds on the official site before filing. You can usually run a claim without a lawyer, though some forums restrict legal representation (QCAT, for example, requires permission). Check current filing fees on the official site, and ask about fee exemptions, waivers or deferrals if cost is a concern. Our guide to choosing the right tribunal or court has more.

If the business has refused a refund already, the guide on what to do when a business refuses walks through the escalation steps in more detail.

Common mistakes

• Paying in full before the work is done. A lump sum paid upfront gives the builder little incentive to return. Tie payments to completed stages, and check whether your state's building law limits deposits or progress payments.

• Only communicating by phone. Follow up every call with a text or email summarising what was agreed: "As we discussed today, you'll be back on site next Monday to complete the tiling." That message becomes evidence.

• Letting the builder do a rushed fix without inspecting it. Inspect a fix before signing anything saying you're satisfied. Accepting a repair doesn't automatically waive your consumer guarantee rights, but signing a sign-off or release can make a later claim harder, so read it first and note any problems in writing.

• Assuming a written contract overrides the ACL. Section 64 of the ACL makes a term void to the extent it purports to exclude, restrict or modify the guarantees or your remedies. A contract that fixes a completion date does mean section 62 doesn't apply, and for work not of a kind ordinarily acquired for personal, domestic or household use, section 64A may let the contract limit liability to supplying the services again or their cost, unless you show that relying on that limit isn't fair or reasonable.

• Going straight to the ACCC. The ACCC doesn't resolve individual disputes. Start with your state's building dispute service or consumer body.

• Waiting too long. Under state building laws, statutory warranty periods are commonly 6 years for major or structural defects and 1 to 2 years for other defects; Victoria allows action up to 10 years after completion and South Australia 5 years, and in some states the clock for incomplete work starts when work stopped or the contract ended. The ACL has no single warranty-style expiry for guarantee claims, but limitation laws and forum time limits apply, and a misleading conduct damages claim must be started within 6 years after the cause of action accrued. Insurance and complaint deadlines can be much shorter.

Related reading

• Services that go wrong under the ACL — your full guide
• NCAT, VCAT, QCAT — which tribunal handles your dispute?
• Business refused your refund? Here's what to do next
• Section 60 ACL: services rendered with due care and skill
• Solar installation problems: your rights when the system underperforms

This article is general information about Australian Consumer Law, not legal advice. It also touches on complaint and escalation pathways (state and territory home building laws, building regulators and dispute services, home warranty insurance schemes, state and territory consumer bodies, tribunals and courts, the ACCC, and card-scheme chargeback rules) and limitation laws, whose scope, rules, thresholds and processes sit outside the ACL or can change. Confirm the current position with the relevant body before lodging. For advice on your specific case, see your state or territory consumer body — full list at /agencies.