Dispute: External appearance

The home buyer’s complaint

The buyer complained that the builder had changed the colour of the brickwork at the level of the damp proof course when constructing the home, resulting in a two-tone house.

The buyer requested an apology, an explanation of why the lower courses of the brickwork were not removed when the bricks were changed and for brick tinting to be carried out during the summer.

The buyer also requested compensation of £15,000 for breach of contract and loss of value to the property.

The builder’s defence

The builder stated that it had previously apologised and offered brick tinting and was therefore not in breach of the contract or the Code.

The adjudicator’s findings

The adjudicator found the change of brick colour had not been intended at the pre-purchase stage but had occurred as a result of a brick shortage during construction. This did not mean the sales literature was unclear or untruthful at the time. The adjudicator also found that the Code allows for changes to occur, albeit recognising there was scope for debate over how substantial the visual impact of the colour change was. The adjudicator found that the Code’s sales and advertising and pre-contract requirements had not been breached.

However, the adjudicator found that the buyer should have been notified of the change to the appearance of the home and this was not stated in the contract or acted upon by the builder when the change was made, resulting in a breach of the Code’s contract exchange requirements.

The adjudicator also noted that under the jurisdiction of the Code Scheme they were unable to consider whether there had been a breach of contract or loss of value of the home.

Learning points

For buyers:

• You should be informed whenever a change is made to your property, whether significant or otherwise. Major changes should be agreed with you in writing. However, loss of value to a property is not covered by the Code nor is breach of contract, but in some cases, you may be able to cancel your contract without charge if substantial changes are made which you don’t agree to.  
• The Code’s financial claim limit is there to guide which claims are appropriate for the scheme, but adjudicators can only make awards in relation to quantified remedial costs plus limited compensation. When making a financial claim, be sure to back up your request with quotes or other evidence.

For builders:

• Any change, regardless of significance should be communicated to the buyer, preferably in writing, together with a proposed resolution. Major changes must be agreed in writing, in advance with the buyer.
• Addressing issues early on will help reduce the risk of a complaint arising further down the line.

Adjudication 117211209