Dispute: Various pre-sales, contract and after-sales concerns

The home buyer’s complaint

The buyer claimed they did not receive a brochure prior to their purchase and received misleading information regarding their completion date. Health and safety on the development was never discussed, machinery was left unattended and signage was inadequate.

The buyer also had numerous concerns over the standard of workmanship in the property and paid for a professional snagging report that showed over 100 outstanding issues, but this was ignored by the builder. They also paid for a professional cleaner as the property was not clean. They are still awaiting a refund of the booking deposit and said that the after-sales service did not happen.

Overall, they said the builder ignored calls/emails, refused to cooperate and failed to respond to the buyer’s solicitor’s queries. This caused the buyer significant inconvenience and stress.

The builder’s defence

The builder did not provide any defence or evidence to dispute the buyer’s claim. The builder’s solicitor later responded to the Proposed Decision and advised that some of the issues had already been settled.

The adjudicator’s findings

The adjudicator found that the buyer did experience significant delays in completion and was not provided with reliable and realistic information on the completion of construction.

Whilst the builder did respond and take partial responsibility for some issues, the builder had failed to clearly explain how the buyers’ contract deposit was protected or how any other prepayments were dealt with, and did not explain what guarantees and warranties applied to the property.

The adjudicator also found the builder did not always provide timescales for the resolution of complaints and on occasion, did not properly engage with reasonable questions from the buyer and failed to take responsibility for after-sales matters.

Learning points

For buyers

• Your builder is required to provide you with specific information prior to your purchase. Ask your builder or sales agent to clarify any points that are unclear and ensure you obtain confirmation in writing following any verbal conversations.  It’s worth keeping your own notes of conversations with your builder or agent for future reference in the event of any problems.
• You should also be provided with details of the builder’s after sales service including who to contact and the expected timescales for resolving any issues. Ask for details of the after sales and complaints procedures if this has not been provided.

For builders

• Builders are required to provide buyers with enough information to help ensure they make a fully informed purchasing decision. The Code’s Starter Pack and Compliance Checklist in our Resource Hub are a great starting point, listing the minimum information required and the checklist can help you keep track of the information provided.
• Buyers must also be given full details of your after sales service, who to contact and expected timescales for resolving issues raised. Respond to all enquiries in a timely manner including acknowledging the issues, and deal with any repairs as quickly as possible.  Consider alternative solutions if there are problems or delays. Above all, keep your buyer informed throughout.
• If the issue escalates to a dispute, show your willingness to resolve the issues by engaging with the process fully.  Simply ignoring the process is discourteous to your buyers and shows a lack of commitment to good customer service.

Adjudication 117211131