Inspection Agreement - Dilapidation Report

1. Parties and Agreement

This is an Agreement between the undersigned Client and Owner Inspections Pty Ltd (ABN 67 600 802 533), pertaining to our Dilapidation Inspection of the Property at the subject property.

If there is more than one Client, you are signing on behalf of all of you, and you represent that you are authorised to do so.

By booking, paying for, or otherwise engaging our services (including verbal or email confirmation), you are deemed to have read, understood, and accepted these Terms and Conditions in full, regardless of whether this Agreement has been physically signed. Proceeding with the Inspection constitutes acceptance of this Agreement.

2. Purpose and Scope of the Inspection

The purpose of the Dilapidation Inspection and Report is to provide a visual assessment and provide in-writing regarding the condition of the Property at the date and time of Inspection.

The Dilapidation Report is a special-purpose property assessment that records the visible condition of the Property at a specific point in time. It is intended to establish a documented baseline against which any alleged subsequent damage may be compared. The Report is not, and is not intended to be, a comprehensive building inspection, a structural engineering assessment, a compliance certificate, a defect rectification report, or a pre-purchase inspection.

The Report is based on the condition of the inspected Property at the date and time of Inspection. While the Inspection and Report are conducted and prepared with the possible care, still some access limitations and safety hazards can limit the Inspector's ability to detect all defects. These limits and safety items are defined in the applicable standards.

This Report does not include the identification of unauthorised building work or work not compliant with building or council regulations. The Report does not include identification of the municipality regulations and requirements, nor identification of design defects for the construction. In accordance with the applicable Standards, the estimate of the costs of rectifications is not required in this Report.

The Dilapidation Report is prepared based on the visual findings and assessment of the Inspector at the date and time of the Inspection on the general condition of the inspected Property. The Report does not guarantee to include all defects.

The Inspection is carried out with reference to, and guided by, the principles of AS 4349.0 Inspection of buildings - General requirements and AS 4349.1 Inspection of buildings - Pre-purchase inspections - Residential buildings, as applicable. Dilapidation inspections are not specifically prescribed by these Standards, and the Inspection is limited to a visual condition survey only.

3. What is and is not Included

We do not perform engineering, architectural, plumbing, or any other job function requiring an occupational licence in the jurisdiction where the Property is located.

Checking of legal matters, building contracts, design, easements, local council restrictions and requirements, crossovers, Strata title, boundaries, connections, building envelope, planning and building permits, setbacks and zonings are out of this Inspection and Report scope of work.

The Report will not include defects that may only be apparent in certain weather conditions or defects that have not yet appeared due to prolonged periods of wet or dry weather, or for any other reason.

An Inspector shall only inspect areas where safe and unobstructed access is provided. Reasonable access is defined in AS 4349.1 and this Agreement. Reasonable access does not include removing stored material or goods, nails, screws, cutting or making access holes, or moving furniture.

We will not test for the presence of radon, mould, asbestos, soil contamination, or other environmental hazards or violations.

The Report does not identify the presence of pests or any damage caused by pests (for example, termites, borers, etc.).

The Inspection is not intended to include rigorous assessment of all building elements in a property.

The Report will be based on the Inspector's assessment of defects and safety hazards evident and visually visible on the date and time of the Inspection.

4. Attribution of Defects, Movement and Cracking

Where the Property subject to Dilapidation Inspection is not of recent construction and has undergone cosmetic improvements, there is a reasonable likelihood that such works may conceal pre-existing structural movement or systemic defects. In the absence of full structural documentation, and considering normal climatic influences, ground movement, and the effects of aging, it is expected that minor cracking, settlement, or movement may occur or reappear over time, independent of any adjoining construction works. Accordingly, any minor cracking, cosmetic damage, or movement observed before, during, or after adjoining construction works should not be attributed to those works, but rather to existing conditions, natural settlement, and ongoing environmental factors.

Where the Property subject to Dilapidation Inspection is of relatively recent construction, any underlying structural defects or systemic issues would reasonably be attributable to the original design and construction, site conditions, or normal post-construction settlement processes. It is widely recognised that newly constructed dwellings undergo a period of natural settlement, during which minor cracking, shrinkage, or movement may occur as materials cure and the structure adjusts to environmental conditions. Accordingly, any minor cracking, cosmetic damage, or non-structural movement observed before, during, or after adjoining construction works should not be attributed to those works, but rather to inherent settlement characteristics, original construction factors, and normal climatic influences.

The Inspector is not responsible for determining the cause of any crack, defect, movement, or damage observed either before or after adjoining construction works. Any opinion expressed in the Report regarding probable causation is provided for general guidance only and is not a substitute for specialist structural, geotechnical, or engineering investigation. You acknowledge that attributing any particular defect to a specific cause (including adjoining construction activity) requires specialist investigation that is outside the scope of this Report.

5. Report is a Snapshot - Time-Limited Validity

You acknowledge that the Report reflects the condition of the Property only as at the date and time of the Inspection. Buildings are dynamic and respond continuously to weather, ground conditions, loading, occupancy, and the passage of time. The Report must not be relied upon as reflecting the condition of the Property at any later date.

The Report is intended to be used as close as practicable to the commencement of the adjoining works. If significant time has elapsed between the date of Inspection and the commencement of adjoining works, a further Inspection may be required at additional cost.

6. Access, Safety and Client Obligations

You warrant that you have all necessary rights and authority to commission the Inspection, and that you have the consent of the legal owner(s) and occupier(s) of the Property where required. You indemnify us against any claim by any third party arising from our attendance at the Property in reliance on that warranty.

You are responsible for arranging safe, lawful, and unobstructed access to the Property and to all areas to be inspected. The Inspector is not obliged to enter any area where access is unsafe, unlawful, or unreasonable. Any information you provide to us (including the history of the Property, prior works, known defects, and intended adjoining works) is warranted by you to be accurate, complete, and not misleading.

If access is restricted, refused, or unavailable on the day of Inspection, and the Inspector attends the Property, the full Inspection fee remains payable. A re-inspection to cover restricted areas is available at an additional cost.

If you request a re-Inspection, the re-Inspection is subject to the terms of this Agreement and a separate re-Inspection fee.

7. Australian Consumer Law

Nothing in this Agreement is intended to exclude, restrict, or modify any right or remedy that you may have under the Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010 (Cth)) or any other law which cannot lawfully be excluded, restricted, or modified.

Where our services are not of a kind ordinarily acquired for personal, domestic, or household use or consumption, our liability for any failure to comply with a guarantee under the Australian Consumer Law is, to the maximum extent permitted by law, limited at our election to: (a) the supplying of the services again; or (b) the payment of the cost of having the services supplied again.

8. Limitation of Liability and Damages

Subject to clause 7 and to any liability which cannot lawfully be limited or excluded, we are not liable for any cost of repair or replacement of unreported defects, either current or arising in the future. In all cases, our total aggregate liability arising out of or in connection with this Agreement, the Inspection or the Report (whether in contract, tort including negligence, under statute, or otherwise) is limited to liquidated damages in an amount not greater than 1.5 times the fee you paid us.

You waive any claim for consequential, indirect, exemplary, special, or incidental damages, loss of profit, loss of opportunity, loss of use of the home or building, or any diminution in the value of the Property. This waiver operates to the maximum extent permitted by law.

You acknowledge that these liquidated damages are not a penalty, but that we intend them to: (i) reflect the fact that actual damages may be difficult or impractical to ascertain; (ii) allocate risk between us; and (iii) enable us to perform the Inspection for the agreed-upon fee. If you wish to eliminate this liquidated damages provision, we are willing to perform the Inspection for an additional fee of $2,000 payable in advance upon your request.

To the maximum extent permitted by law, our liability is reduced proportionately to the extent that any loss or damage has been caused or contributed to by you, your agents, contractors, tenants, or any third party (including any builder, developer, or adjoining owner carrying out works).

9. Ownership, Copyright and Use of the Report

Owner Inspections is and remains the sole owner of the Report, including all photographs, drawings, notes, working materials, and supporting documentation produced in the course of the Inspection. All copyright and intellectual property rights in the Report vest exclusively in Owner Inspections. You are granted a limited, non-exclusive, non-transferable licence to use the Report solely for the purpose for which it was commissioned, and for directly related insurance claims or dispute resolution proceedings concerning the Property.

Owner Inspections retains the unrestricted right to use, reproduce, publish, license, distribute, and commercially exploit the Report and any material derived from it, including for the purposes of marketing, training, portfolio demonstration, regulatory compliance, and resale to third parties. Where practicable, Owner Inspections will de-identify personal information before any such secondary use.

You must not reproduce, publish, modify, sublicense, or commercially exploit the Report, or any part of it, without the prior written consent of Owner Inspections. You are not permitted to provide the Report or any quotation to our market competitors. If Owner Inspections becomes aware that a competitor has obtained access to the Report, we reserve the right to take legal action to recover damages.

If you or any person acting on your behalf provides the Report to a third party who then commences proceedings against you and/or us, you release us from any liability and agree to pay our costs and legal fees incurred in defending any such action.

10. Confidentiality and Privacy

We will handle personal information in accordance with the Privacy Act 1988 (Cth) and our Privacy Policy. You consent to us collecting, using, and retaining information about you and the Property for the purpose of performing the Inspection, preparing and delivering the Report, administering our business, and complying with legal obligations. We may retain copies of the Report and all working material (including photographs) for our records and for insurance, legal, or evidentiary purposes for a period of no less than seven (7) years.

11. Time Limit for Claims, Complaints Procedure and Dispute Resolution

Time limit for claims. You will have no cause of action against us after six (6) months from the date of the Inspection, except to the extent that a longer period is required by law which cannot be contractually shortened.

Consumer complaints procedure. In the event of any dispute or claim arising out of, or relating to, the Inspection or the Report, you must notify us within seven (7) days from the date on which the matter giving rise to the complaint first came, or reasonably should have come, to your attention, by email. You must allow us (which includes persons nominated by us) to visit the Property (which visit must occur within twenty-eight (28) days of your notification to us) and give us full access in order that we may fully investigate the complaint. You will be provided with a written response to your dispute or claim within twenty-eight (28) days of the date of our visit.

If you are not satisfied with our response, you must within twenty-one (21) days of your receipt of our written response refer the matter to a Mediator nominated by us from the Resolution Institute (formerly the Institute of Arbitrators and Mediators Australia). The cost of the Mediator will be borne equally by both parties or as agreed as part of the mediated settlement.

Should the dispute or claim not be resolved by mediation, then the dispute or claim will proceed to arbitration. The Resolution Institute will appoint an Arbitrator who will hear and resolve the dispute. The arbitration, subject to any directions of the Arbitrator, will proceed in the following manner: the parties must submit all written submissions and evidence to the Arbitrator within twenty-one (21) days of the appointment of the Arbitrator; and the arbitration will be held within twenty-one (21) days of the Arbitrator receiving the written submissions.

The Arbitrator will make a decision determining the dispute or claim within twenty-one (21) days of the final day of the arbitration. The Arbitrator may, as part of that determination, decide what costs, if any, each of the parties is to pay and the time by which the parties must pay any settlement or costs.

The decision of the Arbitrator is final and binding on both parties. Should the Arbitrator order either party to pay any settlement amount or costs to the other party but not specify a time for payment, then such payment shall be made within twenty-one (21) days of the order.

In the event you do not comply with the above Complaints Procedure and commence litigation against us, you agree to fully indemnify us against any awards, costs, legal fees, and expenses incurred by us in having your litigation set aside or adjourned to permit the foregoing Complaints Procedure to be completed.

12. Governing Law and Jurisdiction

This Agreement is governed by the laws of the State or Territory in which the Property is located. The parties submit to the exclusive jurisdiction of the courts of that State or Territory and any courts competent to hear appeals from them, subject always to the complaints and dispute resolution procedure in clause 11.

13. Force Majeure

We are not liable for any delay or failure to perform our obligations under this Agreement to the extent that such delay or failure is caused by events beyond our reasonable control, including but not limited to extreme weather, natural disasters, fire, flood, pandemic, government restrictions, strikes, or civil disturbance. In such circumstances, we will use reasonable endeavours to reschedule the Inspection as soon as reasonably practicable.

14. Electronic Execution and Communications

This Agreement may be executed electronically and in counterparts. Acceptance by email, SMS, electronic signature, or by payment of our invoice constitutes valid and binding acceptance of these Terms and Conditions. The parties consent to the use of electronic communication for all notices, reports, and correspondence under this Agreement.

15. General

If a court declares any provision of this Agreement invalid, the remaining provisions remain in full force and effect. This Agreement represents our entire Agreement; there are no terms other than those set forth herein. All prior discussions are merged into this Agreement. No statement or promise by us shall be binding unless reduced to writing and signed by one of our authorised officers. Any modification of this Agreement must be in writing and signed by you and by one of our authorised officers. This Agreement shall be binding upon and enforceable by the parties and their heirs, executors, administrators, successors, and assigns.

If a court finds any term of this Agreement ambiguous or requiring judicial interpretation, the court shall not construe that term against us because of the rule that any ambiguity in a document is construed against the party drafting it. You had the opportunity to consult qualified legal advice before accepting this Agreement.

You may not assign this Agreement without our prior written consent.