M1_Activity_2.3_AnswerSheet_V1.0_UB-2

Costs, Payments and Inclusions: The contract price is $320,000 plus GST and the parties have agreed to Progress Payment Method A, with the maximum allowable deposit being charged. All service and facilities fees are included in the contract price and there are NO excluded service fees. All fixtures and fittings are included in the contract. As a Provisional Sum item, there has been an allowance made for 80 square meters for tiles and labour, allowing $130 psm – for both. No materials or items of work to be supplied by the owner and there are no second-hand materials to be used. Within the contract price, David has made allowance for the following Prime Cost items: 2 toilets @$350 each including GST – add 20% builder’s margin in each case 1 rangehood @$500 each 1 benchtop @$800 each 1 oven - @$800 each Trent has already acquired his planning permit and David will acquire the building permit when the contract becomes unconditional. David has built the cost of the building permit into the contract price. Progress claims are to be paid within five (5) days of being submitted, as is the final payment. The parties have agreed to a 13 week defects liability period, has the required domestic builder’s insurance and public liability insurance of $10million. Liquidated Damages: David delays Trent = $350 per week Trent delays David = $1,000 per week

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Form A – Notice of commencement of Work 84 Form C – Notification of requirement for a boundary survey 88 Form D – Request for evidence of capacity to meet contract terms 90 Form E – Notification of new representative 92 Form F – Notification of whether loan has been approved 95 Form H – Variation to plans and specifications 101 Form H Variation Fee 102 Form I – Notification of Provisional Sum or Prime Cost Item Work 107 Form J – Progress payments 109 Form K – Loss, expense or damage caused to the Building Owner 112 Form L – Completion of Work and Opinion Procedure 115 Form M – Rectification requirement 123 Form P – Termination of contract by Builder 130 Form Q – Termination of contract by Building Owner 133 Special Conditions Between Owner and the Builder 136 Publisher information 137 Published by Consumer Affairs Victoria Department of Justice & regulation 121 Exhibition Street Melbourne VIC 3000 About this contract Consumer Affairs Victoria (Department of Justice) has developed this contract to assist Builders and Building Owners entering into a contract for the construction of a new home. This contract can be used where the Builder is registered in Victoria as a domestic builder by the Building Practitioners Board. This contract should not be used if the Building Owner intends to carry out the Work as an owner builder or if the building permit identifies the Builder as the owner. This contract satisfies the requirements of the Domestic Building Contracts Act 1995 (the Act ) and other relevant legislation and provides a fair balance between the rights and obligations of the Builder and those of the Building Owner . As far as possible without losing legal intent, the contract has been drafted in plain English. The contract includes notes designed to help both parties understand their rights and their responsibilities under the contract. These notes are advisory only and do not form part of the legal contract. To assist parties to this contract to communicate with each other about significant issues, the contract provides model forms (see Part D ). The contract does not mandate the use of these forms but their use is highly recommended. The use of this model contract is voluntary. Builders and Building Owners are free to use a different contract, such as one prepared by the Builder , a solicitor, or purchased from an industry association – provided it satisfies the 9 of 144

Item Description Specifications Specifications are a written description of the required quality of the Work . A specification prescribes specific details regarding the Work , including, for example, adherence to relevant Australian construction standards. Specifications will also detail particular items a Building Owner requires in a building and the ‘schedule of finishes’ to be achieved in the building’s construction. Specifications also enable a clear understanding of the level of quality that is to be achieved in the building’s construction. Prime Cost Items Prime Cost Items are items (for example, a fixture or fitting) that either have not been selected, or whose price is not known, at the time the contract is entered into and for the cost of supply and delivery of which the Builder must make a reasonable allowance in the contract. A Schedule individually identifying each Prime Cost Item is attached to this contract. Provisional Sum A Provisional Sum is an estimate of the cost of carrying out particular work (including the cost of supplying any materials needed for the Work ) under the contract for which a Builder , after making all reasonable inquiries, cannot give a definite amount at the time the contract is entered into. A Schedule individually identifying each Provisional Sum item is attached to this contract. Note: Words in italics are defined in Clause 1 of this contract (Part B) . 12 of 144

This will help to avoid misunderstandings or disputes. 5. Get estimates when exact pricing is not possible Sometimes a builder is unable to give an exact price for a particular item (for example, a fixture or fitting), or an exact price for carrying out a particular part of the Work . In this case (by law), the Builder is required to provide a written estimate in the Prime Cost Item or Provisional Sum Schedules. Any estimate must include a breakdown of the actual quantities of material and unit cost to the Builder . The Builder must also give the Building Owner or the Building Owner’s Representative a reasonable opportunity to be at the Building Site when the Work nominated in the Prime Cost Item or Provisional Sum Schedules is to be performed. 6. Deposit The law limits the amount of the deposit the Builder can receive as follows: ● 5% of any Contract Price that is $20,000 or more ● 10% of any Contract Price that is less than $20,000. It is an offence under the Act for a builder to seek a deposit in excess of the relevant amount above. 7. Completing the document Where the contract provides for details to be filled in but that part of the contract is not applicable, the area that would ordinarily be filled in should be crossed out with a diagonal line rather than leaving it blank. 8. Permits and prescribed approvals Work required to be carried out under this contract cannot commence until a building permit has been issued for the Work . It may also be necessary for a planning permit and other prescribed approvals to be issued before the building permit can be issued. The term Approval Work in this contract refers to the work necessary to be undertaken to get the building permit and other permits and approvals. The default in this contract is for the Builder to undertake the Approval Work . However, the contract also provides an option for the Building Owner to release the Builder from any obligation to undertake the Approval Work . In that case, the Building Owner is responsible for undertaking the Approval Work . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ If the Builder is to complete the Approval Work , the Building Owner is authorising the Builder to make any application, appeal, referral or representation under the Building Act 1993 and any other authorisation required to complete the Approval Work on behalf of the Building Owner . This could result in the Builder choosing the building surveyor for the Work . The Building Owner needs to know who the building surveyor is. The building surveyor can be the municipal building surveyor at the council or a private building surveyor. 9. Domestic Building Insurance What is Domestic Building Insurance ? Domestic Building Insurance is ‘last resort’ insurance and provides insurance only in the event the Builder dies, disappears or becomes insolvent. This insurance does not provide warranty protection or general cover. 15 of 144

Note: This checklist does not form part of the contract. [Form begins] Checklist item Response (Yes or No) 1. Has an insurance policy or a certificate of currency for Domestic Building Insurance been issued and provided to you? (see Clause 8 ) If not, the contract is conditional upon you receiving either an insurance policy or a certificate of currency for Domestic Building Insurance . Yes 2. If this contract is conditional upon you receiving written approval for finance, have you obtained such written approval? (see Clause 19 ) Yes If you answer ’no’ to any of the following questions you are not ready to sign the contract. 3. Have you had this contract long enough to read and understand it? Yes 4. Have you been provided with evidence that the Builder named in this contract is registered in the category of DB-U or DB-M and the Builder’s registration with the Building Practitioners Board is current? (see Clause 4 ) Yes 5. Is the Contract Price clearly stated? (see Clause 5 ) Yes Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 6. Do you understand how the price is calculated and how it may be varied? (see Clause 5 ) Yes 7. Is the amount and timing of each progress payment clearly stated? (see Clause 7 ) Yes 8. Has the Builder sought Foundations Data and assessed the suitability of the site for the proposed Work ? If tests are necessary, have they been carried out before signing the contract? (see Clause 12.2 ) Yes 9. If a deposit is payable, is it within the legal limit? (see Clause 6) ● 5% if the Contract Price is $20,000 or more ● 10% if the Contract Price is less than $20,000. Yes 18 of 144

Is the contract complete and ready to be signed? This checklist prompts the Builder to fill in all the required sections in this contract. Both the Builder and the Building Owner should go through this checklist before signing the contract. Note: This checklist does not form part of the contract. [Form begins] Checklist item Response (Yes or No) 1. Have the Contract Details in Clause 4 been filled in? Yes 2. Has the Finish Date or number of days required to finish the Work once it is commenced under Clause 13.1 been calculated and filled-in in the Contract Details in Clause 4 ? Yes 3. Has the Contract Price in Clause 5.1 been filled in? Yes 4. Are there any agreed exclusions from the Contract Price ? If so, have the agreed exclusions been included in the table in Clause 5.2 ? Yes12.15 5. If it is agreed to exclude some fixtures and fittings from the Contract Price , have the exclusions been listed in Clause 5.3 ? Yes 6. Has a detailed description of the Work required in Clause 9.3 been filled in? Yes 7. Has the Builder provided the Building Owner with a copy of the policy of Domestic Building Insurance , Certificate of Insurance and summary of insurance product as required under Clause 8.4 ? Yes 8. Has the deposit amount in Clause 6.1 been filled in? Yes 9. Has the staged payment of the deposit been calculated and do both the Builder and the Building Owner understand when it is due? The staged payment of the deposit is as follows: ● 80% of the deposit when the contract has been signed and a copy of the Domestic Building Insurance policy provided to the Building Owner (see Clause 6.2(a) ) ● 20% of the deposit when Work has commenced. (see Clause 6.2(b) ) Yes 10. Has the Builder listed all the documents that form part of the plans and specification documents ( Clause 10.3 ) in the Document List Attachment ? Yes 11. Has the Builder filled in the description of the Foundations Data in Clause 12.2 ? Yes 21 of 144

Checklist item Response (Yes or No) Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 12. Have the Builder and the Building Owner completed the General Attachment? (see Clause 12.15 and Clause 20.2 ) Yes 13. Has the agreed commencement of Work date (if applicable) in the Contract Details been filled-in in Clause 4 ? (see also Clause 13.1 ) Yes 14. Has the Builder estimated and listed the number of days allowed for Inclement Weather , holidays and other delays? (see Clause 14.4 ) Yes 15. Has the Builder identified in Clause 14.5 the likely cause of any delay that cannot be estimated as a period of time? Yes 16. Has the Building Owner provided details in Clause 15.1 of the likely loss and damage they expect to incur if the Builder fails to complete the Work by the Finish Date ? Yes 17. Has the Building Owner stated in Clause 16.1 the particular purpose for which the Work is required or the result desired to be achieved? Yes 18. Has the Building Owner read and initialled Clause 17.3 that relates to the Builder’s warranties? Yes 19. Has the Building Owner made this contract subject to finance and, if so, has the loan amount in the Contract Details in Clause 4 been filled in? (see also Clause 19 ) Yes 20. Have the Building Owner and the Builder read and initialled sections 37 and 38 of the Act in the Legislation Extracts ? This relates to Variations under Clause 23 . Yes 21. Has the Builder’s reasonable margin for Variations , Provisional Sums and Prime Cost Items been specified in the Contract Details in Clause 4 ? Yes 22. Have the Building Owner and the Builder read and initialled sections 40(1) and (2) of the Act in the Legislation Extracts ? This relates to progress payments under Clause 7 . Yes 23. Are the Building Owner and the Builder both ready to sign and date this contract in Clause 11 ? Yes Read, signed and dated by the Building Owner(s) Signature(s): Trent Hall Date: 18/05/2023 22 of 144

Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Read, signed and dated by the Builder Signature(s): David Smith Date: 18/05/2023 [Form ends] Part B: Terms of the contract This is the commencement of the contract terms 1. Definitions Clause function: This clause defines terms used throughout this contract. In this contract, the following definitions apply, unless the context requires a different meaning: Act means the Domestic Building Contracts Act 1995. Approval Work means the work necessary to apply for and obtain the building permits and any prescribed approvals for the Work but does not include applying for and obtaining an occupancy permit. Builder means the person, partnership or company named in the Contract Details as the Builder and includes the Builder’s employees, agents, contractors, heirs, executors, administrators and permitted assignees and transferees. Builder’s Representative means the natural person identified by the Builder in the Contract Details as authorised to communicate on behalf of the Builder with the Building Owner . Building Owner means the person, partnership or company named in the Contract Details as the Building Owner and includes the Building Owner’s heirs, executors, administrators and permitted assignees and transferees. Building Owner’s Representative means the natural person identified by the Building Owner in the Contract Details as authorised to communicate on behalf of the Building Owner with the Builder. Building Site means the place where the Work is to be carried out and is described in the Contract Details . Business Day means a day that is not: ● Saturday or Sunday ● a public holiday in Victoria (whether a whole day or part of a day). Completion of Work means the time when the Work is complete in accordance with Clause 31 . 23 of 144

Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Contract Details means the contract details set out in Clause 4 . ● Contract Price means the total amount payable under this contract and includes the amount: ● the Builder is to receive and retain under this contract ● the Builder is to receive under the contract for payment to any other person ● any third person is to receive (or is reasonably estimated to receive) directly from the Building Owner for: o conveying to the Building Site or connecting or installing services such as gas, electricity, telephone, water and sewerage, or o issuing planning and building permits. The Contract Price does not include any amount that the Builder excludes in accordance with Clause 5.2 . Defect means: ● Work that is in breach of a warranty in Clause 17.1 ● Work that is not of a standard or quality specified in this contract ● a failure to carry out and complete the Work in accordance with, and as required by, the plans and specifications and this contract. Dispute Resolution Procedure means the dispute resolution procedure set out in Clause 34 . Domestic Building Dispute has the meaning given in section 54 of the Act reproduced in the Legislation Extracts . Domestic Building Insurance means the insurance described in Clause 8.1 . Extension of Time means a period of postponement of the Finish Date . Final Completion has the meaning in Clause 28.2 . Finish Date means the date stated in the Contract Details as the date when the Work will be finished. If no date is stated, Finish Date means the date calculated by adding the number of days stated in the Contract Details as being required to finish the Work to the date of commencement of Work set out in Clause 13.1 . Foundations Data has the meaning given in section 30(3) of the Act reproduced in the Legislation Extracts . Inclement Weather means weather during which it is either not reasonable or not safe to continue the Work. Legislation Extracts means the provisions set out in Part C headed ‘Legislation Extracts’ , which form part of this contract. Lender means a bank, building society or other financier that lends the Building Owner the Contract Price or any portion of that amount. Loan Approval Date means the date in the Contract Details in Clause 4 that has been nominated by the Building Owner as the date by which the Building Owner expects a loan application for the purpose of the Work will be determined. Opinion Procedure means the opinion procedure set out in Clause 32 . 24 of 144

Penalty Interest Rate means the interest rate fixed from time to time under section 2 of the Penalty Interest Rates Act 1983. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Prime Cost Item has the meaning given in section 3 of the Act reproduced in the Legislation Extracts . Provisional Sum has the meaning given in section 3 of the Act reproduced in the Legislation Extracts . Variation means a variation according to law or Clause 23 of this contract (or both). Work means the work required to be carried out under this contract, which is described in Clause 9.3 and described in more detail in the plans and specifications (which are attached to this contract). Work does not include Approval Work . 25 of 144

Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 26 of 144

2. Interpretation Clause function: This clause provides guidance about how the contract is to be interpreted. 2.1 In this contract, except where the context makes it clear that another meaning is intended, the following rules apply. 2.2 A word (or words) in italics and starting with a capital letter is a defined term for the purposes of this contract. This means it has the meaning outlined in Clause 1 (Note: Legislation is also italicised but should not be read as a defined term). 2.3 A reference to a ‘Clause’ is a reference to one of the numbered Clauses under Part B of this contract. 2.4 A reference to an ‘Attachment’ is a reference to one of the attachments to this contract (the Document List Attachment and the General Attachment ). 2.5 A reference to a person in this contract includes a partnership or a company. 2.6 Words suggesting the singular include the plural and vice versa. 2.7 Headings, clause function notes and user notes in shaded text boxes are advisory notes only and must not be used to interpret this contract. 2.8 A reference to ‘include’ or ‘including’ or ‘for example’ in a list does not mean that items not listed are not included. 2.9 In the event of a conflict that cannot be resolved between the drawings and the relevant text, the meaning of the text will take precedence. 3. Communication between the Building Owner and the Builder Clause function: This clause states how the parties to the contract will communicate with each other. 3.1 Communication between the parties for the purposes of this contract must be made between the Builder and the Building Owner or their appointed representatives nominated in Clause 4 in the Contract Details . 3.2 If the Building Owner communicates with the Builder’s Representative in a way that complies with this contract it means the same as having communicated with the Builder . Similarly, if the Builder communicates with the Building Owner’s Representative in a way that complies with this contract it means the same as having communicated with the Building Owner . 3.3 The Building Owner must not give directions to the Builder’s employees or sub-contractors except as provided in Clause 3.1 . 3.4 The Building Owner can only rely on statements or representations as to any matter concerning the Work or its progress that are made by the Builder or the Builder’s Representative . The Builder can only rely on statements or representations as to any matter concerning the Work that are made by the Building Owner or the Building Owner’s Representative . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 27 of 144

3.5 Wherever this contract requires the Building Owner or the Builder to make a demand or claim, serve a notice or document or communicate in connection with this contract, such demand, notice, document or other communication must be written in English and must be legible. As appropriate, such communication may be by the forms that are attached to this contract. Where a demand, claim notice, document or other communication is given in person, a written receipt should be given. Otherwise, all communications may be delivered by a method stated in the Contract Details (or to a subsequent address, if one is notified subsequently). 3.6 Receipt of service Unless otherwise established by contrary evidence, a demand, claim, notice, document or other communication in connection with this contract is taken to be received at the following times: a) if sent by post before 5.00pm on the day of posting: i) the second day after posting, if posted to or from a place within the State of Victoria or an interstate capital city ii) five Business Days after posting, if posted to or from a place within another state within Australia other than a capital city iii) 10 Business Days after posting, if posted to or from a place outside Australia b) if delivered by hand, at the time of delivery, if delivered to the person or left at the person’s address nominated in Clause 4 with a person not less than 16 years of age and apparently residing or employed at that place c) in the case of a facsimile if sent before 5.00pm on a Business Day , on the day it is sent and, if sent later in the day, on the next Business Day d) in the case of electronic mail, if sent before 5.00pm on a Business Day , on the day it is sent and, if sent later in the day, on the next Business Day . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 28 of 144

4. Client Details Clause function: This clause sets out relevant particulars of the contract. [Form begins] Building Owner Name(s): Trent Hall Address and address for service of documents Address: 34 Summerhayes Avenue, Cape Woolamai VIC 3842 Postal address (for service of documents – include postcode): 34 Summerhayes Avenue, Cape Woolamai VIC 3842 Contact details Business: 93425671 After Hours: 59955628 Mobile: 0988170919 Fax: Email: trenth@optusnet.com.au Building Owner ’s preferred method(s) of receipt of a demand, claim, notice, document or other communication in connection with this contract (there are three options – mark the option/s which apply with an X): Mail: X Fax: Email: X [Form continues next page] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 29 of 144

Building Owner’s Representative Name(s): Trent Hall Address and address for service of documents Address: 34 Summerhayes Avenue, Cape Woolamai VIC 3842 Postal address (for service of documents – include postcode): 34 Summerhayes Avenue, Cape Woolamai VIC 3842 Contact details Business: 9342 5671 After Hours: 0988 170 919 Mobile: 0988 170 919 Fax: 5995 5628 Email: trenth@optusnet.com.au Building Owner’s Representative’s preferred method(s) of receipt of a demand, claim, notice, document or other communication in connection with this contract (there are three options – mark the option/s which apply with an X): Mail: X Fax: Email: X [Form continues next page] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 30 of 144

4. Builder Details Name(s): David Smith Address and address for service of documents Address: 33 Navarna Close, Hampton East Vic 3188 Postal address (for service of documents – include postcode): 33 Navarna Close, Hampton East Vic 3188 Australian Company Number (if applicable): ACN 41643218906 Australian Business Number (if applicable): ABN 6434218906 Contact details Business: 98254621 After Hours: 97582145 Mobile: 041258735 Fax: Email: baa@optusnet.com.au Builder’s preferred method(s) of receipt of a demand, claim, notice, document or other communication in connection with this contract (there are three options – mark the option/s which apply with an X): Mail: X Fax: Email: X Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 31 of 144

Name of registered building practitioner (as shown on the Building Practitioners Board registration card): BAA Constructions P/L Building Practitioners Board registration number (as shown on the Building Practitioners Board registration card): 4567891011 Category of Work shown on the registration (as shown on the Building Practitioners Board registration card): Domestic Building Insurer providing Domestic Building Insurance (DBI): QME DBI Policy number: 34962 Date of issue of policy: 18/06/2023 [Form continues next page] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 32 of 144

Builder’s Representative Name(s): David Smith Address and address for service of documents Address: 33 Nirvana Close, Hampton East VIC 3188 Postal address (for service of documents – include postcode): 33 Nirvana Close, Hampton East VIC 3188 Contact details Business: BAA Constructions P/L After Hours: David Smith Mobile: 041258735 Fax: Email: baa@optusnet.com.au Builder’s Representative’s preferred method(s) of receipt of a demand, claim, notice, document or other communication in connection with this contract (there are three options – mark the option/s which apply with an X): Mail: X Fax: Email: X [Form continues next page] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 33 of 144

4. The New Building Details Street address number: 2 Unit number (if applicable): Street name: Lakeview Street Suburb: Frankston South Vic Postcode: 3912 Title details/property identifier Volume: 021 Folio number: 079 Lot/plan number: 33837 Other property identifier (please specify): Start & End Date Agreed commencement date (If no date is specified here, then the commencement date will be determined under Clause 13.1 ): Finish Date or number of days required to finish Work once it is commenced under Clause 13.1 : 120 Days Finance & Lender Details This contract it subject to loan approval (see Clause 19 ) (Yes or No): Yes Loan amount (if applicable): $300,000 Name of Lender : NAB Loan Approval Date: TBA Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 34 of 144

Other The following Work is to be performed by the Building Owner : The Builder and Owner’s undertaking to obtain permits and prescribed approvals Clause 18 provides that the Builder will undertake the Approval Work unless otherwise stated. The Builder is exempt from undertaking the Approval Work by ticking the boxes below. The Building Owner will be responsible and so releases the Builder from the obligation under Clause 18.1 to obtain the necessary (there are three options – mark the option/s which apply with an X and provide details where applicable): Description Responsibility planning approval X Client to provide planning approval building permit other prescribed approval being: Builder’s margin The margin must be reasonable. A rule of thumb is around 20%. The Builder’s margin for overheads supervision and profit under Clause 23 ( Variations ), Clause 24.4 ( Provisional Sum item) and Clause 25.4 ( Prime Cost Item ) is (specify percentage margin): 20% [Form ends] Defects Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 35 of 144

5. Contract Price Clause function: This clause sets out the Contract Price for the Work and any additional charges that could apply. 5.1 The Building Owner will pay the Contract Price in accordance with the terms of this contract [Form begins] Contract Price (amount in words): $ Three Hundred and Twenty Thousands Dollars + GST [Form ends] Warning: Changes to the Contract Price The price of this contract may be altered as a result of: ● the actual cost of Prime Cost Items and Work for which Provisional Sums have been specified being more or less than the estimates set out in the contract (see Clause 24 and Clause 25 ) ● Variations , including those required by council or a registered building surveyor (see Clause 23 ) ● interest on overdue payments (see Clause 27.2 ). Ensure that you fully understand how the clauses dealing with these matters may affect the Contract Price . Warning to the Building Owner as to Prime Cost Items It is always better to get a fixed price for all Work – even your fixtures and fittings (for example, type and model of stove or taps). However, some fixtures and fittings may need to be selected after the contract is signed. Alternatively, for fixtures and fittings that are considered a special order, the fixed price for the supply of the goods may not be available at the time of entering into the contract. If these items are specified as Prime Cost Items , the Builder will allow an amount in the Contract Price , which should cover the expected cost of the item. If the actual cost of the Prime Cost Item is more than the amount allowed for, you will have to pay the extra amount. You may also have to pay the Builder’s margin on the goods as part of that extra amount. If this is intended, the margin should be specified – otherwise it cannot be claimed unless you agree in writing to such an additional amount. If the Prime Cost Item costs less than is allowed for in the contract, the difference should be deducted from the Contract Price . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 36 of 144

Warning to the Building Owner as to Provisional Sum Items It is always better to get a fixed price for all Work and provide sufficient information for the Builder to accurately estimate how fittings, fixtures and materials are to be installed. This is critical to minimising the need for Provisional Sum items. However, even after making all reasonable inquiries, the Builder may not be able at the time of entering into the contract to give a definitive figure for the cost of carrying out a particular Work (including the supplying of materials needed to carry out the Work ). If this Work is specified as a Provisional Sum item, the Builder will allow an amount in the Contract Price , which should cover the expected cost of the item. If the actual Provisional Sum cost is more than the amount allowed for, you will have to pay the extra amount. You may also have to pay the Builder’s margin on the Provisional Sum item as part of that extra amount. If this is intended, the margin should be specified – otherwise it cannot be claimed unless you agree in writing to such an additional amount. If the Provisional Sum item costs less than is allowed for in the contract, the difference should be deducted from the Contract Price . 5.2 The Builder states that the Contract Price does not include the amount a third person is to receive (or is reasonably estimated will receive) for any Work or thing stated in the table below: Clause 5.2 note: This section is optional. If there are no exclusions from the Contract Price , cross out this section. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 37 of 144

5. Service & Facilities Work or thing not included in the Contract Price Reasonably estimated amount ($) Amount or % of Builder profit margin Included in the contracted price Yes / No a) Conveying, connecting or installing services: ● gas 20% Yes ● electricity 20% Yes ● telephone 20% Yes ● water 20% Yes ● sewerage 20% Yes ● other b) Permits and approvals: ● planning No ● building 20% Yes ● other required permits 20% Yes ● other prescribed approvals Estimated total cost of excluded items Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 5.3 The Contract Price includes the cost of any fixtures or fittings shown in the plans and specifications included in this contract, except for those fixtures or fittings stated in the table below (after the note). 38 of 144

Clause 5.3 note: This clause is optional. If the Contract Price does not exclude the cost of any fixtures or fittings, cross out this clause. If there are items listed in this table, the Building Owner will be required to pay for these items in addition to the Contract Price . If there are items in this table, the Act requires the Building Owner to sign here. [Form begins] Fixtures or fittings not included in the Contract Price Reference to plans or specifications – page numbers Estimated price ($) All fittings and fixtures are included in contract price Signature of Building Owner(s) : Trent Hall [Form ends] 5.4 After signing this contract, the Contract Price may only be adjusted in accordance with this contract. 5.5 The Contract Price includes all taxes (including GST) associated with the Work . Any pricing, consideration and progress amounts payable under this contract will be calculated on a GST inclusive basis. This includes any Variation under Clause 23 . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 5.6 The Builder warrants that the Contract Price is based upon Building Site inspections and all other investigations that would be undertaken by an experienced and competent builder. It includes the performance of all the necessary ancillary Work , inspection of the site and processes that would be undertaken by a builder exercising reasonable care and skill, whether described in the plans and specifications or not, and the provision of all equipment and materials for that purpose. 39 of 144

5.7 In the event that the Builder wishes to vary the plans and specifications as a result of conditions that could not reasonably have been ascertained from the Foundations Data , the Builder will apply for any necessary Variation under section 37 of the Act . 6. Deposit Clause function: This clause sets out the deposit to be paid under the contract. 6.1 The total deposit under this contract is 5% of the Contract Price , which is equal to: [Form begins] (amount in words): $ Sixteen Thousands Dollars + Gst [Form ends] [Form begins] 6.2 The deposit will be paid as follows: ● 80% of the deposit being ($12,800 ) will be paid on the Builder giving to the Building Owner all the documents mentioned in Clause 8.4 relating to Domestic Building Insurance ● 20% of the deposit being ($3,200 ) will be paid within five Business Days of the Building Owner receiving from the Builder a notice that states that the Builder has made a substantial commencement of the Work and stating the date of such commencement. [Form ends] Form A in Part D of the contract can be used for the purpose of giving this notice. 6.3 If the Building Owner has paid the Builder a deposit that is more than the amount payable to the Builder under this clause, the Builder must refund the excess to the Building Owner within five Business Days of receiving the excess amount. Clause 6 notes The Act prevents a builder from demanding or receiving, before they commence Work , a deposit that is more than 5% of the Contract Price if the Contract Price is $20,000 or more. If the Builder does not comply with this legislative provision, section 11 of the Act enables the Building Owner to void the contract at any time before it is completed. The law also provides that the Building Owner must have received a copy of the Domestic Building Insurance policy before the deposit is payable. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ This contract splits up the deposit so that 80% of the deposit is payable once the Building Owner receives the documents relating to Domestic Building Insurance identified in Clause 8.4 and the balance is payable when the Building Owner receives a notice from the Builder advising that building Work has substantially commenced. 40 of 144

7. Progress payments Clause function: This clause sets out the progress payments under the contract. 7.1 At the relevant stages defined in section 40(1) of the Act , the Builder may demand and recover or retain amounts by way of progress payments for the Work done that are not a greater percentage of the Contract Price than permitted by section 40 of the Act . Form J in Part D of the contract can be used to make a claim for a progress payment. 7.2 The Builder and the Building Owner acknowledge they have read and initialed the terms set out in sections 40(1) and 40(2) of the Act , reproduced in the Legislation Extracts . 7.3 The Building Owner is not entitled to make deductions from a progress payment because of any claim made by the Building Owner against the Builder (whether the claim is made under this contract or otherwise). 7.4 If the Builder claims they cannot complete the Work solely for the reason in Clause 22.1(d) , the Builder may demand and recover a further payment of not more than 5% of the Contract Price , less the Builder’s reasonable estimate of the cost to rectify the Defect preventing Completion of Work . Clause 7 notes For a description of the stages and percentages allowed, see the table in section 40 of the Act reproduced in the Legislation Extracts . It is important that the Building Owner ensures each of the stages is complete before making a progress payment. Under this contract, the Builder cannot demand, recover or retain more than the legislated percentage of the Contract Price for each stage of work. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 41 of 144

[Form begins] 7. Stage Payments Schedule Part A Table of payments and progress payments Method A Type of contract % of Contract Price Amount $ Payments and stages Contract to build all stages 5% 16,000 + Gst Deposit 10% 32,000 + Gst Base stage 15% 48,000 + Gst Frame stage 35% 112,000 + Gst Lock-up stage 25% 80,000 + Gst Fixing stage 10% 32,000 + Gst Final payment 100% 320,000 + Gst Total [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 42 of 144

8. Domestic Building Insurance Clause function: This clause sets out the requirements for Domestic Building Insurance . 8.1 The Builder must obtain Domestic Building Insurance that: a) complies with Domestic Building Insurance Ministerial Order No. 98 of 23 May 2003 or any subsequent Order that replaces or amends that Ministerial Order before the required Domestic Building Insurance is obtained b) covers the Work to be carried out under this contract. 8.2 The Builder must pay the insurance premium for the Domestic Building Insurance . 8.3 The Builder must not enforce any provision of this contract, perform any Domestic Building Work under this contract or demand or receive any money (including deposit money) payable under this contract until the Domestic Building Insurance policy has been issued. 8.4 The Builder must give to the Building Owner the following documents within seven Business Days of the policy of Domestic Building Insurance being issued: a) a copy of the Domestic Building Insurance policy b) the certificate of insurance c) a summary of the insurance product. Clause 8 note The Building Owner should not pay the deposit until the Building Owner has received the documents relating to Domestic Building Insurance identified in Clause 8.4 . 9. Obligations of the Builder and the Building Owner Clause function: This clause sets out the obligations of the Builder and the Building Owner . 9.1 The Builder will perform the Work and any Approval Work in accordance with the terms of this contract and according to law. 9.2 The Builder will apply for and obtain an occupancy permit if required by the building permit. Obligations of the Builder and owner Agree Y/N A. B. C. D. E. F. G. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 9.3 The following is a description of the Work : 43 of 144

9. House Details Complete detailed description of the Work Construction of a 4 bedroom, double-storey brick veneer home, 240 square metres, double garage, tiled roof. Further detail of the Work is included in the plans and specifications, which form part of this contract. [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 44 of 144

10. Contract documents Clause function: This clause identifies the documents that form part of the contract. 10.1 This contract includes all the writing that follows the words ‘This is the Commencement of the contract terms’ at the beginning of Part B , including the Attachments and the Schedules . 10.2 The plans and specifications and other documents for the Work listed in the Document List Attachment and the documents referred to in the General Attachment are part of this contract. 10.3 The Builder warrants that they have given the Building Owner a copy of all the documents that the Builder lists in the Document List Attachment . Clause 10.3 note: The Building Owner should check that they have received all the documents listed in the Document List Attachment and keep a copy of these documents for their records. 10.4 As soon as is practicable, but no later than five Business Days after entering into this contract, the Builder must give the Building Owner a signed copy of the contract. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 45 of 144

[Form begins] 11. Signatures Clause function: This clause is where the contract is formally signed. Warning before signing the contract Warning: The Building Owner and the Builder should read the checklists in Part A of this contract to check they are aware of key terms and conditions and have completed all sections before signing this contract. Building Owner(s) Name: Trent Hall Signature: T.H Name: Signature: Date: 18/5/23 Builder : Company name: BAA Constructions P/L Australian Company Number (if applicable): ACN 41643218906 Australian Business Number (if applicable): ABN 6434218906 Authorised person Name: David Smith Signature: DS Authorised person: Director Date: 18/05/2023 [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 46 of 144

12. General conditions of contract Clause function: This clause outlines important general conditions of the contract. 12.1 The Builder warrants that before entering into the contract, the Builder has complied with each of the Builder’s obligations under section 30 of the Act reproduced in the Legislation Extracts relating to Foundations Data and will continue to do so. 12.2 The Builder warrants that the following Foundations Data has bFFeen obtained for the Building Site before entering into this contract:12. General conditions of contract 12 Contract Inclusions Contract Inclusions Description Of Items Agreed by both parties Yes /No A. All fixtures and fittings Yes B. All service and facilities fees Yes C. D. E. F. G. [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 47 of 144

12.3 The Builder will ensure that the Building Site is on the land identified in the title details in the Contract Details . If there is any doubt as to the correct location of the boundaries of the Building Site , the Builder will take all necessary steps to determine the correct position of the boundaries. 12.4 The Builder may give the Building Owner a notice that within 10 Business Days after receiving the notice, the Building Owner must give the Builder satisfactory evidence of the: a) Building Owner ’s title to the Building Site b) dimensions of the Building Site . Form B in Part D of the contract can be used for the purpose of giving this notice. 12.5 If the position of the boundaries can only be determined by a licensed land surveyor, the Builder must provide a boundary survey. The Builder must notify the Building Owner of this intention before obtaining the survey, and must give a reasonable estimate of the cost. The Building Owner will be responsible for paying the reasonable cost of the survey. Form C in Part D of the contract can be used for the purpose of giving this notice. 12.6 If the Building Owner fails to provide satisfactory evidence following a request under Clause 12.4 , the Builder may suspend the Work under Clause 35 , or take action to terminate this contract under Clause 37.1 . 12.7 The Building Owner may not assign rights and obligations under this contract without the prior written consent of the Builder . Similarly, the Builder may not assign rights and obligations under this contract without the prior written consent of the Building Owner . Such consents required by either party must not be unreasonably withheld. 12.8 The Builder may sub-contract any part (but not the whole) of the Work without the Building Owner ’s consent. If they do so, the Builder is not relieved from liability and responsibilities under this contract and the Builder must ensure that any sub-contracted Work complies with this contract. 12.9 The Building Owner and the Builder must cooperate to enable the other to carry out their obligations under this contract. 12.10 Either party may require the other to provide reasonable evidence of capacity to meet the terms of this contract. This request can be made at any time. On receiving such a request, the person must provide that evidence within 10 Business Days . Where such evidence is provided, the person who asked for the evidence must pay the reasonable amount of any costs incurred in obtaining and providing it. This amount should be added to, or deducted from, the Contract Price . Form D in Part D of the contract can be used to make this request. 12.11 The rights, powers and remedies provided in this contract are cumulative with other law. They do not exclude the rights, powers and remedies provided by that law. 12.12 The Building Owner must notify the Builder in writing of any change in details of the Building Owner’s Representative . There is no requirement to change the Building Owner’s Representative’s details in the Contract Details . 12.13 The Builder must notify the Building Owner in writing of any change in details of the Builder’s Representative . There is no requirement to change the Builder’s Representative’s details in the Contract Details . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Form E in Part D of the contract can be used to notify the other party of a new representative. 48 of 144

12.14 Where more than one person signs this contract as the Building Owner , all such persons will be jointly and severally responsible for the obligations of the Building Owner pursuant to the terms of this contract. 12.15 The Building Owner will supply to the Builder each of the items listed in the General Attachment as being provided by the Building Owner . Upon the Builder giving to the Building Owner five Business Days ’ notice that any such item is required by the Builder , the Building Owner will deliver the item at the Building Owner ’s expense to the place directed by the Builder in the notice. Clause 12 notes The Building Owner must enable the Builder to perform the contract. This includes giving the Builder access to the Building Site . The Building Owner must also provide the Builder with evidence that they own the Building Site and that they can pay the Contract Price if the Builder asks in writing, complying with the contract. If asked in writing by the Building Owner , the Builder must show in writing that they can perform the contract. This might mean providing evidence that the Builder is solvent, currently registered and insured. 13. Commencement of Work Clause function: This clause states how the date of commencement of the Work is determined. 13.1 The Builder : a) will start the Work on the date (if any) specified in Clause 4 ; or b) will start the Work within 10 Business Days of whichever is the latest of: i) the date the Builder receives the building permit for the Work ii) if the Lender’s approval is required before the Work may proceed, the date the Builder receives notice of that approval. 13.2 If the commencement date is to be determined under Clause 13.1(b) , the Builder will do everything that it is reasonably possible for the Builder to do to ensure that the Work will start as soon as possible. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 49 of 144

[Form begins] 14. Finish Date Clause function: This clause states how the Finish Date is determined. 14.1 The Builder will perform the Work diligently and at a reasonable speed. 14.2 The Builder must complete the Work on or before the Finish Date . 14.3 If the Builder is entitled to an Extension of Time under Clause 22 , the Finish Date will be adjusted by that Extension of Time . 14.4 In calculating the Finish Date , the Builder has made the following allowances: Clause 14.4 note: The Builder is required by section 32 of the Act to set out how many days they have allowed under each of these categories. Penalties apply for not complying with this legislative requirement. [Form ends] [Form begins] 14.5 If it is not possible for the Builder to adequately estimate the period of a particular likely delay in Clause 14.4(c) , the Builder will identify here the likely cause of the delay: Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 50 of 144

14. Agreed Allowances CONSTRUCTION PERIOD CALENDAR DAYS A. Delay as a result of inclement weather 9 Days B. Delay subsequently caused by the effect of inclement weather 5 Days C. Saturdays and Sundays 24 Days D. Public Holidays 3 Days E. Other Foreseeable Breaks in the continuity of the Works 0 Days F. Rostered Days off 2 Days G. Builder’s holidays (annual leave) 8 Days H. Delay that is reasonable having regard the nature of the Contract OR 5 Days Delays likely to be caused by the nature of this Contract It is not possible to adequately estimate and allow for , However the Builder reasonably as far as practicible anticipates that a likely cause of delay will be (State Cause of likely delay) I. Total delay Days (being the total of A to H above) 56 Days J. Allowance for actual construction period not including delay Days 120 Days CONSTRUCTION PERIOD K.: TOTAL CONSTRUCTION PERIOD INCLUDING DELAY DAYS (add l and J above) 176 Days Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 51 of 144

15. Liquidated Damages Clause function: This clause states the loss or damage that will be incurred by the Building Owner if the Work is not completed by the Finish Date . [Form begins] 15.1 The Building Owner will set out below the nature of the loss and damage and expect the Building Owner expects to incur (as much as this is known) if the Builder fails to complete the Work by the Finish Date : If The Builder Delays The Client/Owner, the sum of $350 Per week is to be paid to the Client/ Owner If The Client / Owner Delays The Builder, the sum of $1,000 Per Week is to be paid to the Client Description Of Liquidated damages Cost A. David Smith delays Trent Hall $350 Per week B. Trent Hall delays David Smith $1,000 Per Week C. D. E. F. G. Clause 15.1 note: The Building Owner has the opportunity to set out in detail here the type of any likely loss or damage they will incur if the completion of the Work is delayed. Examples of likely loss and damage may include rental payments, storage costs and extra travel costs. This alerts the Builder to the type of loss and damage that may be incurred and what the Builder may be liable for if there is a delay. This is intended to help clarify each party’s responsibilities. The Building Owner should only indicate, where possible, the type of any loss or damage rather than specific amounts. This clause is not a liquidated damages clause, and does not stop the Building Owner from claiming loss or damage for expenses not listed here. [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 52 of 144

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16. Purpose of Work Clause function: This clause requires the Building Owner to identify their expectations of the Work . [Form begins] 16.1 The Building Owner relies on the Builder’s skill and judgment in performing and completing the Work for the particular purpose for which the Work is required or the result that the Building Owner wishes to achieve. The particular purpose or result is stated below so as to show that reliance by the Building Owner : Construction of a brand new home located at 2 Lakeview street, Frankston South. Clause 16.1 note: The Building Owner has the opportunity to identify what they are expecting to achieve from the Work , for example, to build a home with a specific environmental outcome or to build a home that meets the needs of a person with a disability. [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 54 of 144

17. Builder’s warranties Clause function: This clause identifies the implied warranties the Builder must provide. 17.1 The Builder warrants that: a) the Work will be carried out in a proper and workmanlike manner and in accordance with the plans and specifications set out in this contract [Form begins] b) all materials to be supplied by the Builder for use in the Work will be good and suitable for the purpose for which the materials are to be used and, unless otherwise stated here, those materials will be new. Insert below details of any materials to be used that are not new: No materials or items of work to be supplied by the owner and there are no second-hand materials to be used . [Form ends] c) the Work and, where undertaken by the Builder , the Approval Work will be carried out in accordance with, and comply with, all laws and legal requirements including, without limiting the generality of this warranty, the Building Act 1993 and Regulations made under that Act d) the Work will be carried out with reasonable care and skill and will be completed by the Finish Date e) the home will be suitable for occupation upon Completion of Work f) the Work and any material used in carrying out the Work will be reasonably fit for the purpose or result stated in Clause 16 , or will be of such a nature and quality as might reasonably be expected to achieve that result. 17.2 The Builder acknowledges that these warranties do not in any way reduce or limit the obligations of the Builder in relation to quality, materials or other matters specified in this contract. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 55 of 144

[Form begins] 17.3 The Builder acknowledges that it is the Building Owner ’s right to be satisfied that the Work and, so far as they are applicable to it, the Approval Work complies with the warranties set out in Clause 17.1 . In the course of doing so, the Building Owner may exercise rights of access to the Building Site under Clause 21 . The Building Owner must initial below that they have read Clause 17.3: T.H __18__/__05__/____2023____ [Form ends] Clause 17.3 note The Building Owner should consider engaging a competent professional to monitor the progress of the Work . This could be an architect, building surveyor, building inspector, construction economist or building engineer or any combination of these persons. Engaging a competent professional is one way the Building Owner can get some assurance that the Work carried out complies with this contract. This may help the parties to proactively deal with disagreements over this contract or possible Defects . The Building Owner , a person engaged by the Building Owner or both, should inspect the Building Site at key stages because, once a stage is complete, Defects may not be readily visible or ascertainable. The law requires that the Builder gives the Building Owner or someone authorised by them access to the Building Site to view the progress of the Work . If the Building Owner relies on the building surveyor (whether private or municipal) who issued the building permit to inspect the Work , they should remember that the building surveyor’s statutory role is limited: the building surveyor is only responsible for checking that certain minimum standards under the Building Regulations 2006 have been met. To the extent that the standard of Work specified in the plans and specifications goes beyond the minimum standards under the Regulations, it is not the building surveyor’s statutory role to ensure these contractual standards have been met. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 56 of 144

[Form begins] 17.4 Where the Builder made available for inspection a home or a building suitable for use as a home to encourage the Building Owner to enter into a contract for the construction of a similar home, the Builder will perform the Work : a) using the same plans and specifications that were displayed in the home made available for inspection except for the following variation to the original plans: b) to at least the same standard or Work quality and quality of materials used in the construction of the home made available for inspection except for the following: [Form ends] Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 57 of 144

18. Permits, prescribed approvals and third-party requirements Clause function: This clause identifies the parties’ responsibilities for permits, approvals and third-party requirements. 18.1 Unless otherwise stated in the Contract Details , the Builder must perform the Approval Work . 18.2 The Builder must apply for an occupancy permit, if required by the building permit. 18.3 If the Builder performs the Approval Work , any fee or associated charge (or both) incurred as a result of that Approval Work by the Builder is included in the Contract Price unless excluded under Clause 5.2 . 18.4 Any Approval Work will be performed punctually and diligently so that the necessary permits and approvals can be obtained at the earliest practicable date. 18.5 If the party responsible for applying for a building permit has not secured its issue within 60 calendar days from the date of this contract, the other party may terminate this contract by giving notice of termination. The terminating party must give that notice within 10 Business Days after the 60-day period expires. If this contract is terminated under this clause, the Building Owner is liable to pay the Builder’s reasonable costs incurred in association with the Approval Work but no more. Form P in Part D of the contract can be used to give notice of termination. 18.6 The Builder acknowledges the obligation set out in full in section 26 of the Act to give the Building Owner copies of documents in relation to the Work . A copy of section 26 is reproduced in the Legislation Extracts . 18.7 The Building Owner will inform the Builder promptly of any requirement, notice or order affecting the Work from a statutory authority or Lender and will provide the Builder with copies of any relevant documents. Clause 18 note A building permit must be issued before the Work can commence. Before issuing the building permit, the building surveyor who issues the building permit and is responsible for the required inspections of the Work at the required stages, must ensure: ● the building work and the building permit will comply with the Building Act 1993 and the Building Regulations 2006 ● any consent of a reporting authority required under the Building Act 1993 and the Building Regulations 2006 or under any other Act or regulations is obtained ● any relevant planning permit or other prescribed approval has been obtained ● the building permit will be consistent with that planning permit or other prescribed approval. The default in this contract is for the Builder to undertake the Approval Work . However, the contract also provides an option for the Building Owner to release the Builder from any obligation to undertake the Approval Work . If the Building Owner releases the Builder from this obligation the Building Owner is responsible for undertaking the Approval Work themselves. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 58 of 144

__ If the default is accepted and the Builder completes the Approval Work , the Building Owner is authorising the Builder to make any application, appeal, referral or representation under the Building Act 1993 and any other authorisation required to complete the Approval Work on behalf of the Building Owner . This could result in the Builder choosing the building surveyor for the project. The Building Owner must know who the building surveyor is. The building surveyor can be the municipal building surveyor at the council or a private building surveyor. 19. Loan approvals Clause function: This clause sets out the parties’ obligations if the Building Owner takes out a loan for the purpose of the contract. 19.1 Unless the Contract Details state otherwise, this contract is conditional upon the Lender approving, on or before the Loan Approval Date , a loan to the Building Owner for the purposes of this contract of an amount that is not less than the amount stated for that purpose in the Contract Details . 19.2 The Building Owner must apply to the Lender for approval of such a loan within five Business Days from the date of this contract and also provide all relevant information required by the Lender for the purpose of considering the application. 19.3 Within three Business Days after the Loan Approval Date , the Building Owner must give to the Builder a notice stating whether the Lender has approved or refused to approve the loan. Form F in Part D of the contract can be used for this purpose. 19.4 Unless the Building Owner notifies the Builder within three Business Days of the Loan Approval Date that the Lender has refused to approve the loan, this contract will cease being conditional upon loan approval. 19.5 If, on or before three Business Days after the Loan Approval Date , the Building Owner gives the Builder notice that the Lender has refused to approve the loan, this contract is at an end and, subject to the following sub-clauses, neither the Builder nor the Building Owner is bound to perform it. 19.6 If this contract comes to an end under this clause, the Builder must refund to the Building Owner any deposit or other money paid by the Building Owner to the Builder less the amount of any deduction permitted under Clause 19.7 . That refund must be paid within 10 Business Days of the Builder being notified that the Building Owner ’s loan has not been approved. 19.7 The Builder may deduct the following costs from the refund referred to in Clause 19.6 , where the costs were incurred by the Builder up to the date the contract was deemed to come to an end and where the costs were previously agreed to be paid by the Building Owner : a) $100.00 b) fees paid by the Builder to another person for the Foundations Data c) fees paid by the Builder in relation to Approval Work . 19.8 At the time of making the refund under Clause 19.6 , the Builder must provide the Building Owner with copies of all documents evidencing the Builder’s entitlement to any deductions made under Clause 19.7 . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 59 of 144

20. Occupation of the Building Site Clause function: This clause sets out the parties’ obligations in occupying the Building Site . 20.1 This contract does not give the Builder a greater right to occupy the Building Site than that of a contractual licensee. This right includes the right to place materials, equipment and, if the Building Owner agrees, signage on the Building Site . 20.2 Where the Building Owner must remain in residence or in occupation of part of the property during the Work the following will apply: a) the General Attachment will include a site plan of the property clearly showing the Building Site , the portion of the property to be occupied by the Building Owner and any common areas that both the Builder and the Building Owner may need to have access to b) the Builder will be responsible for providing and maintaining an adequate physical barrier separating the Building Site from the remainder of the property. 21. Access to the Building Site Clause function: This clause sets out the parties’ obligations in accessing the Building Site . 21.1 The Builder must do all Work necessary to provide access to the Building Site for vehicles and other equipment to carry out the Work . The Contract Price includes the cost of providing this access to the Building Site . 21.2 Except as provided under Clause 12.15 , the Builder must bear all costs involved in the delivery of materials to the Building Site ; the handling of materials; and the removal and disposal from the Building Site of the Builder’s rubbish, surplus material, and demolished or dismantled structural material. 21.3 The Builder is liable for any damage caused in carrying out the Work if that damage was caused by the Builder’s own negligence or fault. This includes damage caused by the Work to kerbs, gutters, paving, underground services, drains, structures or other property whether on the Building Site or adjacent to, or abutting, the Building Site . 21.4 The Builder will permit the Building Owner or any person authorised by the Building Owner (either together or separately) to have reasonable access to the Building Site and to view any part of the Work . 21.5 The Building Owner , or persons authorised by the Building Owner , will not interfere with the carrying out of the Work when accessing the Building Site under Clause 21.4 . 21.6 The Builder is not liable for any reasonable costs or delays that result from any person failing to comply with Clause 21.5 provided the Builder notifies the Building Owner of the cost or delay within five Business Days of the failure to comply occurring. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 60 of 144

Clause 21 note The Act nominates a penalty of 20 penalty units if the Builder does not permit the Building Owner to have reasonable access to the Building Site . Dangers could exist on the Building Site . The Building Owner should discuss appropriate occupational health and safety issues with the Builder before attending the Building Site . 22. Extension of Time Clause function: This clause sets out the process for a Builder to claim for an Extension of Time . 22.1 The Builder will be entitled to an Extension of Time if, for any one or more of the following reasons, the Builder is delayed in achieving Completion of Work by the Finish Date : a) Inclement Weather and its effect over and above the amount of days estimated by the Builder in Clause 14.4(a) b) an industrial dispute that is not limited to the Building Site or to employees of the Builder c) anything else that is beyond the reasonable control of the Builder and is not the result of the Builder’s fault d) Completion of Work has been reached, except for minor Defects that do not prevent the Work being used for its purpose and which it is not practical for the Builder to rectify for the time being, or as to which the Builder has reasonable grounds for delaying the rectification e) provided that the Builder gives notice to the Building Owner as required by Clause 22.2 , an act or omission by the Building Owner or any person who is in any way acting on the Building Owner ’s behalf or under the Building Owner ’s instruction f) a suspension of the Work by the Builder under Clause 35 . 22.2 As soon as practical after the Builder becomes aware that it is likely for any reason there will be delay in completing the Work by the Finish Date , the Builder will give the Building Owner a notice informing them of the likely delay, its cause and (as far as possible) its likely duration. The Builder will keep the Building Owner informed about the likely delay, providing adequate information so that the Building Owner can assist the Builder in avoiding or minimising its effect. Form G in Part D of the contract can be used for the purpose of giving this notice. 22.3 Both the Builder and Building Owner must take all reasonable steps to avoid or minimise any delay to the progress of the Work , whether or not it is likely to cause delay in achieving Completion of Work . The Building Owner is not obliged to agree to changes or deletions from the plans or specifications to avoid such delay. 22.4 If an act or omission by the Building Owner is causing, or has caused, delay in the progress of the Work , the Builder must notify the Building Owner in writing of that cause within two Business Days of it commencing. This requirement also applies if the delay is caused by a person who is acting on the Building Owner ’s behalf, or under the Building Owner ’s instruction. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 22.5 The extent of any Extension of Time must be fair and reasonable in the circumstances. Circumstances bearing on fairness and reasonableness of such claims include: 61 of 144

a) the extent to which there is a failure (if any) in meeting an obligation under Clause 22.2 , Clause 22.3 , and Clause 22.6 and the effect of any such failure b) the cause arising after the Finish Date c) the period of any allowance mentioned in Clause 14.4 . 22.6 If the Builder wants to claim an Extension of Time , the Builder must give the Building Owner a claim within 15 Business Days after the delay ceases, stating: a) the reason for the delay b) the length of the claimed Extension of Time . 22.7 Within 10 Business Days of receiving the Builder’s claim under Clause 22.6 , the Building Owner must respond by stating in writing that the Building Owner either wholly accepts the Extension of Time or disputes wholly or partly the Extension of Time to the extent stated in the response. 22.8 If the Building Owner wholly or partly disputes the Builder’s claim for an Extension of Time , the Building Owner must give the Builder a written explanation that is sufficiently detailed for the Builder to know the basis of the dispute. 22.9 If within 10 Business Days of receiving the Builder’s claim for an Extension of Time the Building Owner does not deliver a written response, the Finish Date will be adjusted as set out in the claim. 22.10 Where the Building Owner accepts the Builder’s claimed Extension of Time , either wholly or partly, the Finish Date will be adjusted by the period of the Builder’s claimed Extension of Time that the Building Owner accepts. 22.11 Any dispute as to the Builder’s claim for an Extension of Time will be dealt with under the Dispute Resolution Procedure . 23. Variations Clause function: This clause identifies the process for varying the contract. 23.1 The Builder and the Building Owner acknowledge that the Work may be varied at the request of the Builder or Building Owner on the terms in sections 37 and 38 of the Act and in this clause. Form H in Part D of the contract can be used to request and approve Variations . 23.2 The Builder and the Building Owner acknowledge having read and initialled the copy of sections 37 and 38 of the Act reproduced in the Legislation Extracts . Clause 23.2 note: It is important that the Builder and Building Owner are aware of the process that must be followed if they wish to make a Variation . This process is outlined in sections 37 and 38 of the Act . 23.3 Before consenting to or requesting a Variation , the Building Owner may dispute that the Builder has stated the Builder’s reasonable cost, delay or effect. In that event, the dispute will be dealt with under the Dispute Resolution Procedure . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Clause 23.3 note: Sections 37 and 38 of the Act may require the Builder to provide the Building Owner with a notice stating the reasonable cost, delay or effect of a proposed Variation . 23.4 Unless agreed in writing between the Builder and the Building Owner , any adjustments to the Contract Price as a result of an approved Variation will be taken into account at the time of the next progress payment. 62 of 144

Clause 23.4 note: Payment of the Variation by the Building Owner or reduction of the Contract Price by the Builder resulting from a Variation should only occur at the next progress payment where it is demonstrated that the liability for the Variation occurred within the period of the progress payment. 23.5 The Building Owner can terminate the contract by notice to the Builder stating that the Building Owner is unable to meet the cost of the Variation because: a) the Variation is due to a matter that could not reasonably have been expected to be needed for the Work to be completed; or b) the Variation is due to a requirement of an approving authority or any other statutory authority, which was not known at the date of this contract. The Building Owner can use Form Q in Part D of the contract to terminate the contract. 23.6 The Builder and Building Owner intend that any Variation in accordance with this clause will be made as though section 39 of the Act applied to it. A copy of section 39 is reproduced in the Legislation Extracts . 24. Provisional Sums Clause function: This clause sets out the process to be followed if the contract includes Provisional Sum items. 24.1 The Builder warrants that each Provisional Sum included by the Builder in the Provisional Sums Schedule has been calculated with reasonable care and skill, taking account of all the information reasonably available at the date of this contract, including the nature and location of the Building Site . 24.2 For each Provisional Sum in the Provisional Sums Schedule, the Builder has set out: a) a detailed description of the Work to which the Provisional Sum relates b) a breakdown of the cost estimate for each Provisional Sum , including showing the estimated quantities of materials involved and the unit cost to the Builder c) where the Builder proposes to charge more than the actual amount of any increase to the Provisional Sum , how that excess amount will be worked out. 24.3 The Builder must give the Building Owner reasonable notice of when Work included in the Provisional Sums Schedule will be done so that the Building Owner can verify the actual cost of the Work . The Builder’s notice to the Building Owner must state that the Provisional Sums may vary in price. If the Building Owner attends the Building Site to observe that Work , the Builder must allow the Building Owner reasonable access to do so. The Builder can proceed with that Work without delay at the time specified in the Builder’s notice even if the Building Owner does not attend the Building Site . Form I in Part D of the contract can be used for the purpose of giving this notice. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 24.4 If the actual cost to the Builder is greater than the Provisional Sum allowed, the excess amount, together with the Builder’s margin specified in the Contract Details , will be added to the Contract Price , along with the additional GST. If the actual cost to the Builder is less than the Provisional Sum allowed, the Contract Price will be reduced by the difference between the Provisional Sum allowed, and the actual cost. Clause 24.4 note: The Builder and the Building Owner should ensure a margin is specified in the Contract Details . 24.5 Any addition or deduction under Clause 24.4 will be taken into account in the next progress payment or as agreed between the parties in writing. 63 of 144

25. Prime Cost Items Clause function: This clause sets out the process to be followed if the contract includes Prime Cost Items . 25.1 The Builder warrants that the amount or estimated amount for each Prime Cost Item listed in the Prime Cost Items Schedule is no less than the reasonable cost of supplying the items. This warranty is based on information that the Builder had, or reasonably should have had, at the time of making this contract and given the Builder’s knowledge of the nature and location of the Building Site . This warranty does not apply to items to be supplied or specified by the Building Owner . 25.2 For each Prime Cost Item in the Prime Cost Items Schedule, the Builder has set out: a) a detailed description of the item to which the Prime Cost Item relates b) a breakdown of the cost estimate for each Prime Cost Item , including showing the estimated quantities of materials that will be involved and the unit cost to the Builder of the item c) where the Builder proposes to charge any amount over the actual amount of any increase to the Prime Cost Item , how that excess amount is to be determined. 25.3 The Builder must give the Building Owner reasonable notice of when Work included in the Prime Cost Items Schedule will be done so that the Building Owner can verify the actual cost of the Work . The Builder’s notice to the Building Owner must state that the Prime Cost Item may vary in price. If the Building Owner attends the Building Site to observe that Work the Builder must allow the Building Owner reasonable access to do so. The Builder can proceed with that Work without delay at the time specified in the Builder’s notice even if the Building Owner does not attend the Building Site . Form I in Part D of the contract can be used for the purpose of giving this notice. 25.4 If the actual cost to the Builder is greater than the Prime Cost Item amount allowed, the excess amount, together with the Builder’s margin specified in the Prime Cost Item Schedule, will be added to the Contract Price , along with the additional GST. If the actual cost to the Builder is less than the Prime Cost Item amount allowed, the Contract Price will be reduced by the difference between the Prime Cost Item amount allowed, and the actual cost. Clause 25.4 note: The Builder and the Building Owner should ensure a margin is specified in the Contract Details . 25.5 Any addition or deduction under Clause 25.4 will be taken into account in the next progress payment or as agreed between the parties in writing. 25.6 Unless otherwise specified, the Contract Price includes the installation of each Prime Cost Item listed in the Prime Cost Items Schedule, as well as its connection to services. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 26. Evidence of cost of Prime Cost Items and Provisional Sums Clause function: This clause sets out the Builder’s requirements for providing evidence of the cost of a Prime Cost Item or a Provisional Sum . 26.1 The Builder must give the Building Owner a copy of any invoice, receipt or other document that shows the cost to the Builder of any Prime Cost Item , or that relates to any Provisional Sum . The Builder must do this as soon as practical after receiving the invoice, receipt or document. 64 of 144

Clause 26 note The Builder is required by the Act to provide the Building Owner with copies of any invoice, receipt or document relating to Prime Cost Items or Provisional Sums . 27. Effect of payments and non-payments to the Builder Clause function: This clause identifies the impact of non-payment by the Building Owner . 27.1 The Builder and the Building Owner acknowledge that if the Building Owner fails to pay punctually any amount by the date it is due under this contract to the Builder , a Domestic Building Dispute exists between the parties. 27.2 Once a Domestic Building Dispute is resolved, the Building Owner must pay the Builder interest at the Penalty Interest Rate on any overdue amount determined or agreed to be due and owing. 27.3 The Building Owner may still dispute any matter relating to the Work or Approval Work even though the Building Owner has paid the Builder for the Work or Approval Work . 28. Final Completion and final payment Clause function: This clause states what the Builder must do before demanding final payment and when the Building Owner must make final payment. 28.1 The Builder must not demand final payment under this contract until the Builder has achieved Final Completion . 28.2 Final Completion is achieved when the Builder has: a) achieved Completion of Work b) given the Building Owner a copy of the occupancy permit under the Building Act 1993 if the building permit for the Work requires the issue of an occupancy permit or, in any other case, a copy of the certificate of final inspection c) handed over to the Building Owner all guarantees, instruction manuals and related documents relating to the Work ; all keys relating to the Work ; and any permits, certificates or notices relating to the Work . 28.3 Unless Clause 29 or Clause 30 applies, the Building Owner must make the final payment within five Business Days after receiving from the Builder a demand that conforms with this clause. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 29. Building Owner’s recovery for delay, loss, expense or damage Clause function: This clause states what the Building Owner must do to recover loss or damages incurred as a result of a delay in completing the Work . 29.1 If there is a delay in completing the Work beyond the Finish Date , the Building Owner is entitled to recover from the Builder reasonable loss, expense or damage caused to the Building Owner by the delay. Clause 29.1 note: The Building Owner will have indicated in Clause 15.1 the nature (so far as known) of any loss or damage they expect to incur if the Work is not completed by the Finish Date . The Building Owner can claim all expenses realised as a result of a loss or damage, incurred under this clause. However, these expenses are not limited only to the types of loss or damage foreshadowed in Clause 15.1 . Clause 15.1 is only indicative of the types of loss or damage that may be known at the time of entering into the contract. 65 of 144

Form K in Part D of the contract can be used to make this claim. 29.2 The Building Owner will, within 15 Business Days of the Finish Date , give to the Builder notice that: a) the Building Owner intends to seek recovery of reasonable loss, expense or damage caused by the delay b) details of the that loss, expense or damage, together with copies of relevant documents that support the Building Owner ’s claim. 29.3 During the period of delay, the Building Owner will keep the Builder informed about material changes in the nature and extent of the loss, expense or damage the Building Owner is suffering or is likely to suffer. 29.4 To resolve the Building Owner ’s claim under Clause 29.2 , the following procedure applies: a) within 10 Business Days of receiving the Building Owner ’s claim, the Builder must deliver a written response, stating whether the Builder accepts the claim wholly or disputes the claim wholly or in part b) if the Builder wholly or partly disputes the Building Owner ’s claim, the Builder must explain in writing why, so that the Building Owner has enough information to know the basis of the dispute c) any dispute about the Building Owner ’s claim will be dealt with under the Dispute Resolution Procedure . 29.5 The amount of the Building Owner ’s claim agreed between the parties or agreed under the Dispute Resolution Procedure will be a debt from the Builder to the Building Owner . This will be deducted from the final payment otherwise due from the Building Owner to the Builder . If the final payment is insufficient to satisfy the Building Owner ’s claim, the Builder will pay the balance to the Building Owner within five Business Days of the Building Owner ’s claim being agreed. 30. Lender payment Clause function: This clause identifies the details for payment by the Lender . 30.1 If the payments on behalf of the Building Owner are to be made by the Lender , the Builder will accept the usual payment terms (including the need for inspections and certificates) required by the Lender . Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 31. Completion of Work Clause function: This clause sets out when Completion of Work is achieved. 31.1 The Work will be complete when: a) it has been fully performed in accordance with this contract, including the plans and specifications forming part of this contract b) the Builder has made good any damage of the kind referred to in Clause 21.3 c) the Builder has removed all the Builder’s rubbish, surplus material and demolished or dismantled structural material from the Building Site . 31.2 When the Builder is of the opinion that Completion of Work has been achieved, the Builder must give a notice to the Building Owner stating that opinion. Thereafter, the parties will follow the Opinion Procedure . 66 of 144

32. Completion notifications – Opinion Procedure Clause function: This clause states the process the parties will follow when giving an opinion about Completion of Work . 32.1 The Building Owner must give a notice to the Builder within 10 Business Days of receiving the Builder’s opinion that Completion of Work has been achieved, that the Building Owner : a) accepts the opinion, or b) does not accept the opinion, giving detailed reasons. 32.2 Unless the Building Owner accepts the Builder’s opinion in the form and time required above: a) the Building Owner and the Builder must meet to resolve the differences between them as to Completion of Work and undertake genuine and good faith negotiations based on their contractual rights and obligations within 20 Business Days of the Building Owner ’s receipt of the Builder’s opinion b) the Builder will record the details of any agreement with the Building Owner about what is necessary to achieve Completion of Work , including timing of actions to be taken by either of them c) If the parties cannot agree or fail to meet, the dispute will be dealt with under the Dispute Resolution Procedure 32.3 If the parties agree under Clause 32.2 : a) the Builder must give a further notice to the Building Owner when it is of the opinion that Completion of Work has been achieved, stating that opinion and giving details of actions since the first notice. The Building Owner must give a notice to the Builder that the Building Owner accepts the resubmitted opinion or, if not, give detailed reasons within five days of receipt b) the parties may, if they agree, repeat the steps in Clause 32.2 and Clause 32.3(a) c) subject to any right under this contract to suspend or terminate it, if the parties cannot agree that Completion of Work has been achieved or do not agree to repeat the Opinion Procedure , the dispute will be dealt with under the Dispute Resolution Procedure . Form L in Part D of the contract can be used by the Builder and Building Owner in relation to completion notifications. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Clause 32 note This clause provides for the Builder to notify the Building Owner that Completion of Work has been reached. The Builder should be satisfied that all Work is completed before providing the Completion of Work notice. The Building Owner should be satisfied that the Work is complete and is performed in accordance with the contract before accepting the Builder’s opinion that Completion of Work has been achieved. The Building Owner may consider engaging a competent professional to assist them to establish Completion of Work has been achieved. 33. Rectification period and maintenance Clause function: This clause provides for a period after Final Completion during which the Builder may be obliged to rectify. 33.1 Defect liabilities period as agreed by both parties are “ .... 12 ........ ” weeks. The Builder must rectify any Defect that is apparent in the Work as at three calendar months after the date of final payment if the Building Owner gives a notice under Clause 33.2 [below]. 67 of 144

33.2 If the Building Owner requires the Builder to rectify a Defect , the Building Owner must give the Builder a notice (called here a Defect Rectification Request) within 10 Business Days of the expiry of the three calendar month period. 33.3 If the Building Owner gives the Builder a Defect Rectification Request, the Builder must give a written response to the Building Owner stating what the Builder agrees to rectify and does not agree to rectify in the Request at the Builder’s cost, within 10 Business Days . 33.4 Unless the Builder has reasonable grounds for being unable to do so, the Builder must rectify the item or items within 20 Business Days from receiving the Defect Rectification Request. 33.5 If a dispute arises between the parties as to whether there is a Defect or as to the extent of the Defect or whether the Defect has been rectified so as to accord with the contract, the dispute will be dealt with under the Dispute Resolution Procedure . 33.6 The Building Owner must give the Builder reasonable access to the Building Site for the purpose of rectifying a Defect . Form M in Part D of the contract can be used to give notice of Defects. Clause 33 note The Building Owner still has a right to make claims for Defects beyond the rectification period. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 34. Dispute Resolution Procedure Clause function: This clause sets out the process to be followed when a matter under this contract is in dispute. 34.1 If a dispute arises, the Builder and the Building Owner will take the following steps before resorting to the procedures set out in Part 3A (Conciliation of Disputes) and Part 4 (Inspectors) of the Act : a) If the Building Owner or Builder considers that a dispute has arisen about any matter covered by this contract, that party must promptly give the other notice of the dispute. The notice should identify both the matter and the claim being made. Matters can be those that arose during the progress of the Work , arose after Completion of Work or arose after the contract was terminated. Form N in Part D of the contract can be used to give this notice. b) The Builder and the Building Owner will then arrange a meeting and will negotiate in an honest and genuine attempt to resolve the dispute. The Builder’s Representative or the Building Owner’s Representative can represent their principal for that purpose only if they have been authorised in writing. 34.2 If the dispute is not resolved within 10 Business Days , the parties may lodge a complaint with Building Advice and Conciliation Victoria or ask for an inspector to be appointed under the Act . 34.3 Where a dispute exists, each of the parties must continue to perform its obligations under this contract unless the other party evinces an intention not to comply with this clause. 68 of 144

Clause 34 note See the Consumer Affairs Victoria website or call 1300 55 75 59 for details of the Building Advice and Conciliation Victoria process. 35. Suspension of Work by the Builder Clause function: This clause states the process to be followed when the Builder intends to suspend the Work . 35.1 After giving five Business Days ’ notice (called here ‘Suspension notice‘) of its intention to do so, the Builder may suspend the Work if the Building Owner fails to do any of the following things in accordance with the terms of this contract: a) provide satisfactory evidence of title to the Building Site after being required to do so under Clause 12.4 b) pay any amount due and payable to the Builder c) provide satisfactory evidence of its capacity to pay the Contract Price , including any Variations , after being required to do so under Clause 12.10 d) provide the Builder or the Builder’s sub-contractors access to the Building Site . 35.2 The Suspension notice must specify clearly the failure or failures that caused the Builder to give it. 35.3 If the Building Owner remedies the failure or failures specified in the Suspension notice after the Builder has suspended the Work , unless the Builder has already terminated this contract, the Builder will recommence the Work within 10 Business Days after the remedy of the failure or failures. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 35.4 If the Builder suspends the Work under this clause, the Builder will be entitled to recover from the Building Owner any cost, loss expense or damage caused by the suspension. 35.5 The right to suspend under this contract is in addition to any other powers, rights or remedies the Builder may have under common law and does not restrict them in any way. 36. Consequences of insolvency Clause function: This clause deals with what can be done if the Builder or the Building Owner has serious financial trouble. 36.1 If a party to this contract does any of the following things: a) commits an act of bankruptcy b) is made bankrupt c) assigns assets for the benefit of creditors generally d) makes a composition or other arrangement with creditors e) goes into liquidation or receivership or otherwise loses full capacity f) the other party may, at its option, immediately suspend or terminate this contract by giving a notice stating that it is doing so. Form P ( Builder ) or Form Q ( Building Owner ) in Part D of the contract can be used for the purpose of terminating the contract. 36.2 The notice under this clause must specify clearly the act or acts that caused it to be given. 69 of 144

36.3 The right to suspend or terminate under this contract is in addition to any other powers, rights or remedies the suspending or terminating party may have under common law and does not restrict them in any way. 37. Termination after notice of default Clause function: This clause sets out the process the parties will follow to terminate the contract if a party is in breach of this contract. Form P ( Builder ) or Form Q ( Building Owner ) in Part D of the contract can be used for the purpose of terminating the contract. 37.1 If the Building Owner or the Builder is in substantial breach of this contract, the other party may give a notice clearly identifying the breach and stating that party’s intention to terminate this contract if the breach is not remedied within five Business Days . If the breach is not remedied within that time, the party giving the notice may terminate this contract. 37.2 To terminate this contract a further notice must be given to the party in breach clearly identifying the breach and stating the contract is terminated, effective at the time stated in the notice. 37.3 The right to terminate under this clause is in addition to any other powers, rights or remedies the terminating party may have under common law and does not restrict them in any way. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 37.4 Substantial breach by the Building Owner includes, without reasonable cause, the Building Owner : a) failing to provide satisfactory evidence of title to the Building Site after being required to do so under Clause 12.4 b) failing to pay any amount due and payable to the Builder c) failing to provide satisfactory evidence of the Building Owner ’s capacity to pay the Contract Price , including any Variations after being required to do so under Clause 12.10 d) continually failing to provide the Builder or the Builder’s sub-contractors access to the Building Site e) substantially or persistently obstructing the Builder in the performance of the Work f) failing to perform or progress the Approval Work in accordance with this contract. 37.5 Substantial breach by the Builder includes, without reasonable cause, the Builder : a) failing to perform or progress the Work or the Approval Work in accordance with this contract b) failing to provide materials that comply with this contract c) unreasonably failing to replace or remedy defective Work or materials d) failing to take out or maintain any insurance required by this contract. 38. Termination other than after notice of default Clause function: This clause states the grounds upon which a contract can be terminated. 38.1 The Building Owner and the Builder acknowledge that section 41 of the Act sets out when and how the Building Owner may end this contract if, on the day this contract was entered into, the Builder could not reasonably have foreseen that either: a) the Contract Price would rise by 15% or more after this contract was entered into; or 70 of 144

b) the contract would not be completed within one and a half (1.5) times the period by which it was to have been completed. A copy of section 41 of the Act is reproduced in the Legislation Extracts . 38.2 In addition to the circumstances set out in section 41(1) of the Act , the Building Owner may end this contract if there is the increased time or cost stated in Clause 38.1 as a result of a Variation requirement within section 37(2) (b) of the Act . Form P ( Builder ) or Form Q ( Building Owner ) in Part D of the contract can be used for the purpose of terminating the contract. 39. Builder’s entitlement at termination Clause function: This clause states the grounds upon which the Builder can be paid for the Work performed up to the time the contract is terminated. 39.1 If the contract is terminated the Builder is entitled to: a) payment in accordance with this contract for any completed stages b) the reasonably incurred cost of the Work done since the last stage was completed, exclusive of any Work done for rectification of Defects and the cost of any unfixed materials or goods on the Building Site , together with the Builder’s margin specified in the Contract Details and GST payable. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ 39.2 The Builder’s entitlement under Clause 39.1 is limited to an amount that does not cause the total amount to be paid to the Builder under this contract, exclusive of any claim under Clause 40.1(b) , to exceed the Contract Price . 40. Consequences of termination by the Builder Clause function: This clause sets out the Builder’s rights if the Builder terminates the contract. 40.1 If the Builder terminates this contract, the Builder may: a) remove from the Building Site and retain all unfixed materials, goods, plant and equipment provided by the Builder . In the event that any unfixed materials, goods, plant or equipment provided by the Builder are not collected, the Building Owner must dispose of such materials, goods, plant or equipment according to law b) recover from the Building Owner the amount of all cost, loss and damage incurred by the Builder as a result of the termination and the act or default that gave rise to it. The Builder may set off any such amount against any money owing by the Builder to the Building Owner under this contract. Form P ( Builder ) or Form Q ( Building Owner ) in Part D of the contract can be used for the purpose of terminating the contract. 40.2 The Builder will, within 20 Business Days of notifying the Building Owner that the contract is terminated, submit to the Building Owner : a) any claim that the Builder asserts for Work performed by it prior to the termination of this contract and for which the Builder has not been paid. The Builder’s entitlement to claim for Work performed by it prior to the termination of this contract and for which the Builder has not been paid is identified in Clause 39 b) any claim that the Builder asserts the Builder is entitled to under Clause 40.1(b) . 71 of 144

Notification to building surveyor of termination of contract The Building Act 1993 requires the Building Owner and the Builder to each notify the building surveyor for the Work within 14 days after the engagement of the Builder ends by termination of the contract. Failure to perform this notification can incur a maximum penalty of 10 penalty units. The Building Owner should discuss with the building surveyor the capacity to continue the Work once the contract is terminated with the Builder and the process required for notification of appointment of a subsequent Builder . If the Building Owner does not intend to complete the Work , either by appointing another builder or completing the Work themselves, the Building Owner should discuss with the building surveyor how this affects compliance with the requirements of the Building Act 1993 and any subsequent prescribed approval. 41. Consequences of termination by the Building Owner Clause function: This clause sets out the Building Owner’s rights if the Building Owner terminates the contract. 41.1 If the Building Owner terminates this contract, the Building Owner is entitled to recover from the Builder the amount of all cost, loss and damage incurred by the Building Owner as a result of the termination and the act or default that gave rise to it. The Building Owner may set off any such amount against any money owing by the Builder to the Building Owner under this contract. Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ Form P ( Builder ) or Form Q ( Building Owner ) in Part D of the contract can be used for the purpose of terminating the contract. 41.2 If the Building Owner terminates this contract, the Building Owner may, by itself, or by others, complete the Work and take and use all unfixed materials, goods, plant and equipment that the Building Owner has previously provided at the Building Site . 41.3 If the Building Owner terminates this contract, the Builder may: a) remove from the Building Site and retain all unfixed materials, goods, plant and equipment provided by the Builder . In the event that any unfixed materials, goods, plant or equipment provided by the Builder are not collected, the Building Owner must dispose of such materials, goods, plant or equipment according to law b) recover from the Building Owner the amount of all cost, loss and damage incurred by Builder as a result of the termination and the act or default that gave rise to it. The Builder may set off any such amount against any money owing by the Builder to the Building Owner under this contract. Note re Clause 40.1(a) and Clause 41.3 (a) – Uncollected or abandoned goods: Situations can arise where the Builder does not collect the unfixed materials, goods, plant and equipment provided by the Builder and the unfixed materials, goods, plant and equipment could be considered to be abandoned. There are specific laws relating to the disposal of uncollected goods. These laws require the Building Owner to take care of the unfixed materials, goods, plant and equipment provided by the Builder until they are collected by the Builder , delivered to the Builder , or disposed of according to law. The law outlines procedures for the disposal of uncollected goods. A building owner who fails to follow these procedures may be liable for the loss of the uncollected goods. It is best if the Building Owner seeks professional advice at their own cost, before disposing of or taking possession of the uncollected goods. 41.4 The Builder must submit to the Building Owner any claim for Work performed by it prior to the termination of this contract for which the Builder has not been paid within 20 Business Days of being notified by the Building Owner that the contract is terminated. The Builder’s entitlement to claim for Work performed by it prior to the termination of this contract and for which the Builder has not been paid is identified in Clause 39.1 and Clause 39.2 . 72 of 144

41.5 The Building Owner will give notice to the Builder stating whether the Building Owner intends to complete the Work within 20 Business Days of receiving the Builder’s claim under Clause 41.4 . 41.6 If the Building Owner gives notice that the Building Owner does not intend to complete the Work , the Building Owner must calculate the total amount of cost, loss, expense or damage that the Building Owner has reasonably incurred as a result of the termination and the act or default that gave rise to it. 41.7 The Building Owner must give the Builder a notice stating that total amount within 20 Business Days . The notice must include a statement showing clearly how the total amount is made up and include copies of any relevant documents. 41.8 If the Building Owner gives notice stating that the Building Owner intends to complete the Work : a) the Builder is not entitled to any further payment under this contract until the Building Owner completes the Work Owners (Initials) Date Builders (Initials) Date T.H __18__/__05__/____2023____ __D.S 18__/__05__/____2023__ _ b) upon completing the Work , the Building Owner must calculate the total amount of the cost of completing the Work , together with any other cost, loss, expense or damage that the Building Owner has reasonably incurred owing to the termination and the act or default that gave rise to it c) if the total amount stated in the notice exceeds the Contract Price , the Builder must pay the difference to the Building Owner within 20 Business Days after receiving the notice d) if the total amount stated in the notice is less than the Contract Price , the Building Owner must pay the difference to the Builder within 20 Business Days of giving the notice to the Builder e) the Building Owner must give the Builder a notice stating the total amount. The notice must include a statement showing clearly how the total amount is made up and include copies of any relevant documents. 42. Insurance Clause function: This clause sets out requirements for insurance other than Domestic Building Insurance . 42.1 Before commencing the Work and until Completion of Work has been reached and agreed to by the Building Owner or affirmed in any Dispute Resolution Procedure , the Builder must take out and maintain the following insurances for the benefit of the Building Owner and the Builder : a) public liability insurance for $ 10 million to cover death or personal injury to third parties or damage to property b) property damage insurance appropriate for the Work , including work in progress, any associated temporary work and materials on the site. This insurance must cover full reinstatement and replacement costs, including the costs of removing debris, demolition, architect’s fees and other consultants’ fees: this must be at least 100% of the estimated reinstatement and replacement costs. This insurance must include cross-liability provisions by which the insurer waives all rights of subrogation or action that the insurer may have against any of the persons comprising the insured and by which each person comprising the insured is deemed to be the subject of a separate policy of insurance. This insurance must cover loss by accident, theft, fire, explosions, vandalism, civil unrest and acts of God. 73 of 144