There have been 40 decisions by the LBP Board so far in 2022 and more than 250 over the past 2 years. There is no cost for someone to make a complaint and the process is fairly straightforward. On the claims we have dealt with the complaints have been lodged by a variety of parties, from engineers to homeowners.
For as little as $250+GST per year an LBP Professional Indemnity policy will provide legal advice and pay fines and costs associated with a complaint, whether or not the complaint is upheld.
In addition, if mistakes are made in Records of Work, and these are relied upon by a third party, you could also be held liable for any loss that they suffer as a result. In one example the RoW noted a particular timber treatment incorrectly. Someone purchased the house on this basis and when it was discovered to be wrong they sued the builder.
In cases like this the same LBP PI policy will cover the legal defence costs and compensation awarded against the builder.
Lastly, if an LBP is supervising non-LBPs and they make a mistake they can also be held liable for this. An LBP PI policy will cover the legal defence costs and compensation if a finding is made against the LBP.