[2025] ACAT 87
General information, not legal advice.
ACT Civil and Administrative Tribunal
2025-12-16
Presidential Member J
Original judgment source is linked above.
WOMBAT HILLTON PTY LTD ACN 101 147 853 T/A DAVID REID HOMES v TEMPLETON & ANOR (Appeals) [2025] ACAT 87
Catchwords: APPEALS - civil dispute - appeal from award of damages to home owners arising from home building contract - whether Original Tribunal erred in its application of the onus of proof - whether it erred in awarding damages for items the subject of rectification orders - whether Original Tribunal erred in awarding damages in relation to matters not covered by the contract, or in relation to matters where contract allegedly varied - whether contract had been varied in relation to stair treads, staircase void and hot water system
Legislation cited: ACT Civil and Administrative Tribunal Act 2008, s 82
Competition and Consumer Act 2010 (Cth), Sch 2 (the Australian Consumer Law)
Fair Trading (Australian Consumer Law) Act 1992, s 7
Cases cited Feng v UP 840 [2023] ACAT 8
Fox v Percy [2003] HCA 22
Giusida Pty Limited v Commissioner for ACT Revenue [2016] ACTSC 275
Kase Industries Pty Ltd v Revill [2025] ACAT 78
Khan v Filardo Ercan Architects Pty Ltd ACN 647 677 263 [2024] ACAT 22
Mansour v Dangar [2017] ACAT 49
Saunders v South Canberra Holdings Pty Ltd ACN 606 747 602 [2023] ACAT 34
Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53
The Legal Practitioner v Council of the Law Society of the ACT [2011] ACTSC 207
Zeng v Crane [2022] ACAT 70
WOMBAT HILLTON PTY LTD ACN 101 147 853 T/A DAVID REID HOMES
(a) $10,000 Cladding
(b) $1,375 Blade wall
(c) $2,500 Staircase treads
(d) $5,924 Window and skylight
(e) $635 Tribunal filing fee
(a) a document entitled "Draft contract" dated 14 June 2018 which contained a list of standard inclusions and a list of upgrades, with prices;
(b) a Master Builders ACT Home Building Contract with Special Conditions and Specifications attached;
(c) a list of prime cost and provisional sum allowances;
(d) a selection schedule;
(e) a copy of Studio 56's drawings of the proposed home.
6. Process Our draft contract is estimated in 2 stages.
We firstly estimate your home on our standard inclusions.
You then provide us with a list of your upgrades to our standard inclusions.
The draft contract 1 outlines our allowances for each and all inclusions.
The allowances are included in the progressive payments.
Any cost greater than that allowed for becomes a variation.
Once an invoice/s total exceeds an allowance, it is claimed by variation.
A variation can only be claimed once draft contract 1's total and the CSS's total exceed draft contract 2's total.
(a) $10,000 for cladding;
(b) $1,375 for the blade wall;
(c) $2,500 for staircase treads;
(d) $1,650 for the staircase void;
(e) $5,924 window and skylight;
(f) $2,500 solar hot water installation; and
(g) $635 Tribunal filing fee.
Throughout the complete deliberation, Member/s understanding of evidence provided, facts presented, and events associated with this case are incorrect.
Member/s orders gave applicant the opportunity 'submission I reply.' Applicant used this reply to submit 3 pages to directly defamation respondent that has NOT been reported in the said deliberation.
For a new hearing, established principles dictate that the hearing starts afresh, evidence is given again, and the appeal tribunal's view on any question of fact or law is determinative of the issue. Any discretion to be exercised by the original tribunal is exercised anew by the appeal tribunal.
By contrast, for a rehearing, the appeal tribunal relies upon the evidence given to the original tribunal, supplemented by any additional evidence which the parties are given leave to adduce. The appeal tribunal's findings on questions of law are determinative. The appeal tribunal will not lightly substitute its own findings of fact for the original tribunal's primary findings of fact, but may be less constrained in relation to drawing inferences of fact. The appeal tribunal is not at liberty to interfere with a discretionary decision unless satisfied that there has been an error in the exercise of discretion. (Footnotes omitted)
Alleged errors re handover and "defamatory statements"
The applicants advanced that Access Canberra identified significant deficiencies in the respondent's work including that the panels were installed backwards; there was improper fastener placement; bowing or cupping of the panels and that the panels were damaged.
(a) A senior technical advisor of CSR Customer Solutions;
(b) Director for Construction Planning Investigators; and
(c) McKenzie Group Senior Building Certifier.
I accept that Access Canberra identified significant deficiencies in the cladding. Although the respondent has attempted some rectification, the applicants alleged ongoing problems caused by the respondent's acts during the attempted rectification.
The general principle is that a party is bound by the conduct of the party's case and that, except in the most exceptional circumstances, a party would not be granted leave to raise a new argument which the party failed to put during the hearing. However, in some cases where a question of law is raised on appeal, upon facts which are admitted or beyond controversy, it may be expedient in the interests of justice that leave be granted to raise the issue. (footnotes omitted)
(c) (i) If the Owner or the Builder requires variation to any part of the Contract then a written Variation Notice must be served on the party before the variation is undertaken...
(ii) Upon service of the Variation Notice the Builder will within ten (10) days serve a written Cost Variation Notice on the Owner for their approval....
Staircase/hall Proceed with plans that DRH and Joiner have come up with to meet Australian safety standards. As previously stated posts as per joiners drawing
Can any fixings used be in a matt black finish, and a matt black finish on the alloy bottom of stair case outer South plaster board edge where is [sic] meets floating floor.
Now, that paint is for the ceiling of the cement sheet stairs. Therefore, they knew they were cement sheet and they knew they'll do it later to save some money because they paint them themselves. So they knew what was installed.
There was significant evidence and disputation concerning the void at the hearing. I accept that it was a variation of the agreement. I do not accept the respondent's argument that the drawing of what was agreed did not bind the respondent.
There was no agreement in 2018 for the finish of the stair void area nor was there plans provided by respondent to confirm otherwise. Under balance of probabilities, how can Member state of what was agreed for stair treads be for the future stair void issue? There was no balustrades ever even communicated at that stage until May 2019.
At this stage in early construction, we were just trying to look at the staircase. We had no idea of the stair void thing. There's nothing on the construction plans. There's nothing anywhere that wasn't brought up at the end of construction when that May, which this is six months later, about there being a balance - down here, I drew a big line, it was like that. So there's a hole under here, okay. And it was all finished, and under there were floating timber walls, all finished beautifully, and the applicant - sorry, the respondent didn't like it and went forward then with a new design which we had many emails going backwards and forwards and variation notices to install a timber frame because we need a balustrade. There's no balustrades on plan.
There was an allowance put in by myself for a balustrade but in construction, generally speaking, you allow that the balance of those things to - later on in construction and we'll talk about, which is exactly what we did. And this is a problem now was a stair void that wasn't talked about until basically April-May 2019.
And when we get to, 'Staircase void,' you'll see that there was a significant case of duress on our part because just getting through the staircase - while construction with this builder was very fast, just getting through the staircase took three to four months and he had threatened to cease construction on us.
the window and skylight positions were misaligned and disrupted the home's design and symmetry and were caused by [Wombat Hillton's] deviation from the approved plans.
The evidence of Gonzalez was compelling. I do not accept the evidence of the respondent that there were no plans for the positioning of the skylights. If the positioning was due to installation issues, then these issues needed to be fully explained to the applicants and for them to be able to consider and respond. If necessary, the applicants could have raised the issues with Gonzalez. The respondent's argument that the installation was in accordance with the manufacturer's instructions does not defeat the applicants' claim. The issue is positioning rather than correct installation. I accept that the windows and skylight will need to be repositioned in accordance with the original plans. I am prepared to allow the architect fees of $924 but I do not accept the façade modification quote of $4,746 and the skylight rectification quote of $5,810. Although these amounts were not directly challenged by the respondent the amounts claimed in my view are high. I am prepared to allow an additional $5,000. In light of the above, I award the applicants $5,924.
(a) "The evidence of Gonzalez was compelling"; and
(b) "I do not accept the evidence of the respondent that there were no plans for the positioning of the skylights."
Conclusion on positions of window and skylights
Alleged error re solar hot water system position
Correct positioning of the solar hot water system was integral to the functionality, economy and aesthetics of the home. The plans relied upon by the applicants clearly show the expected positioning of the panels. The respondent disputed that the panels had been incorrectly placed. Although the applicants had knowledge of the placement, it does not mean that they accepted it. The solar hot water system is functional, but from the documents tendered it is not in the position agreed to in the contract that would have met the expected energy production. In their written submissions the applicants quantified their loss as energy production over 20 years. No evidence was provided to support this proposition. In any event, if the applicant succeeds on damages for rectification and if it is rectified, than [sic] their calculation of loss energy production over 20 years would fall away.
I am prepared to allow a modest sum for compensation and to allow **$**2,500. I am not prepared to allow a claim for the lost energy production.
(a) "Correct positioning of the solar hot water system was integral to the functionality, economy and aesthetics of the home"; and
(b) "The plans relied upon by the applicants clearly show the expected positioning of the panels."
a) Any discrepancy or ambiguity in the Contract will be resolved by interpreting them in the following order of priority:
ii) Approved Plans annexed or referred to in this Contract
iii) the Specifications annexed or referred to by this Contract
iv) other drawings or documents annexed to this Contract
b) the Builder will serve the Owner with written notice of any discrepancy or ambiguity and ask for instructions.
e) ... Notwithstanding any other provision, any additional work as a result of any discrepancy or ambiguity will be a variation in accordance with Clause 17.
[1] The Templetons provided the contractual documents to the Original Tribunal in accordance with its direction on 3 December 2024
[2] Templetons' material filed on 22 October 2024, attachment OO
[3] Templetons' material filed on 22 October 2024, attachment PP
[4] Document 33 of Wombat Hillton's Response filed on 11 November 2024
[5] Document 15 of Wombat Hillton's Response filed on 11 November 2024
[6] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53
[7] ACT Civil and Administrative Tribunal Act 2008, s 82(1)
[8] Mansour v Dangar [2017] ACAT 49 at [23]; See Order 6 of Orders made on 18 June 2025
[9] Transcript of hearing dated 24 October 2025, page 2, lines 21 to 25
[10] The Legal Practitioner v Council of the Law Society of the ACT [2011] ACTSC 207 at [13]- [14]; see also Giusida Pty Limited v Commissioner for ACT Revenue [2016] ACTSC 275 at [36]- [37]
[11] See, for example, Feng v UP 840 [2023] ACAT 8 at [7]
[12] Zeng v Crane [2022] ACAT 70 at [27]; Feng v UP 840 [2023] ACAT 8 at [7]
[13] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [1]
[14] Transcript of hearing dated 24 October 2025, page 3, lines 34 to 35
[15] Transcript of hearing dated 24 October 2025, page 3, lines 37 to 41
[16] Respondents' response to the list of errors lodged by the appellant, filed on 15 October 2025
[17] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [4]
[18] Appellant's Reasons for appeal, lodged on 23 September 2025.
[19] Applicants' submission lodged on 22 October 2024, at [2.1.1]-[2.1.4]
[20] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 38, lines 45 to 47
[21] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [20]
[22] Submission of Wombat Hillton in XD 818/24, dated 17 December 2024, pp 3 and 4
[23] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [53]
[24] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [54]
[25] Appellant's Reasons for appeal, lodged on 23 September 2025 and Transcript of hearing dated 24 October 2025, page 7, line 18
[26] Transcript of hearing dated 24 October 2025, page 9, lines 5 to 6
[27] Transcript of hearing dated 24 October 2025, page 10, lines 1 to 2
[28] Transcript of hearing dated 24 October 2025, page 58, lines 7 to 10
[29] Transcript of hearing dated 24 October 2025, page 59, lines 19 to 21
[30] Transcript of hearing dated 24 October 2025, page 60, line 32
[31] Respondents' response to the list of errors lodged by the appellant, filed on 15 October 2025. See also Transcript of hearing dated 24 October 2025, page 60, lines 4 to 23
[32] Fox v Percy [2003] HCA 22 at [29]
[33] Khan v Filardo Ercan Architects Pty Ltd ACN 647 677 263 [2024] ACAT 22 at [6]; Saunders v South Canberra Holdings Pty Ltd ACN 606 747 602 [2023] ACAT 34 at [7]; Zeng v Crane [2022] ACAT 70 at [27]- [28]
[34] Email from Access Canberra to the Templetons dated 11 September 2023
[35] Wombat Hillton's Reasons for appeal, filed on 23 September 2025, page 2
[36] Wombat Hillton's Reasons for appeal, filed on 23 September 2025, page 2
[37] Templetons' material filed on 22 October 2024 at page 17, [3.1.3]
[38] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [55]
[39] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 22, lines 22 to 23
[40] See Wombat Hillton's submission filed on 16 December 2024 at p 5 and response filed on 11 November 2022 at pp 2-3
[41] Kase Industries Pty Ltd v Revill [2025] ACAT 78 at [52]
[42] The Australian Consumer Law is contained in Schedule 2 to the Competition and Consumer Act 2010 (Cth) and is applied in the Australian Capital Territory by the Fair Trading (Australian Consumer Law) Act 1992, s 7
[43] Wombat Hillton's submission filed on 16 December 2024, page 6
[44] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [56]
[45] Transcript of hearing dated 24 October 2025, page 31, lines 39 to 40
[46] Transcript of hearing dated 24 October 2025, page 14, lines 34 to 40
[47] Transcript of hearing dated 24 October 2025, page 18, lines 13 to 17
[48] Transcript of hearing dated 24 October 2025, page 22, line 19
[49] Transcript of hearing dated 24 October 2025, page 26, lines 18 to 19
[50] Transcript of hearing dated 24 October 2025, page 27, lines 31 to 34
[51] Transcript of hearing dated 24 October 2025, page 28, line 25
[52] Transcript of hearing dated 24 October 2025, page 30, lines 42 to 43
[53] Wombat Hillton's Reasons for appeal, filed 23 September 2025 at pp 2-3
[54] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 39, lines 36 to 37
[55] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 92, lines 16 to 19
[56] Transcript of hearing (in proceedings XD 818/2024) dated 26 November 2024, page 155, line 45 to page 157, line 47
[57] Templetons' material filed on 22 October 2024, attachment EE
[58] Wombat Hillton's submission filed on 16 December 2024 at p 6
[59] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [57]
[60] Transcript of dated 24 October 2025, page 16, lines 5 to 9
[61] Transcript of hearing dated 24 October 2025, page 32, lines 38 to 43
[62] Transcript of hearing dated 24 October 2025, page 33, lines 6 to 21
[63] Transcript of hearing dated 24 October 2025, page 35, lines 27 to 29
[64] Transcript of hearing dated 24 October 2025, page 36, line 44 to page 37, line 6
[65] Transcript of hearing dated 24 October 2025, page 72, lines 40 to 42, referring to Templetons' material filed on 22 October 2024, attachment BB
[66] Transcript of hearing dated 24 October 2025, page 73, lines 28 to 30
[67] Transcript of hearing dated 24 October 2025, page 73, lines 37 to 39, referring to Templetons' material filed on 22 October 2024, attachments WW, AAA, BBB, CCC and DDD
[68] Templetons' material filed on 22 October 2024, attachment DDD.
[69] Transcript of hearing dated 24 October 2025, page 74, lines 11 to 27
[70] Transcript of hearing dated 24 October 2025, page 92, lines 36 to 37
[73] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [13](g)
[74] Templetons' materials filed on 20 August 2024, p 30; see also Templetons' materials filed on 22 October 2024, p 28
[75] Templetons' materials filed on 20 August 2024, p 30
[76] Templetons' materials filed on 20 August 2024, pp 31-32
[77] Templetons' material filed on 22 October 2024, Attachment II
[78] Templetons' material filed on 22 October 2024, Attachment II at [3]-[4]
[79] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 45, line 38 to page 47, line 23
[80] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 120, lines 26 to 47
[81] Response filed on 11 November 2024, p 4
[82] Response filed on 11 November 2024, p 4
[83] Submissions of Wombat Hillton of 17 December 2024, p 7
[84] Templeton v Wombat Hillton Pty Ltd ACN 101 147 853 t/a David Reid Homes [2025] ACAT 53 at [58]
[85] Transcript of hearing dated 24 October 2025, page 39, lines 45 to 46
[86] Transcript of hearing dated 24 October 2025, page 42, lines 1 to 2
[87] Transcript of hearing dated 24 October 2025, page 42, lines 9 to 11
[88] Transcript of hearing dated 24 October 2025, page 42, lines 17 to 21
[89] Transcript of hearing dated 24 October 2025, page 81, lines 39 to 43
[90] Transcript of hearing dated 24 October 2025, page 43, lines 16 to 19; Document 29 in Wombat Hillton's material filed on 11 November 2024
[91] Transcript of hearing dated 24 October 2025, page 77, lines 4 to 32
[92] Wombat Hillton's Reasons for appeal, filed on 23 September 2025, pp 3 to 4
[93] Transcript of hearing dated 24 October 2025, page 80, lines 25 to 31
[94] Templetons' material filed on 22 October 2024 at p 32 [7.1.2] and attachment OO
[95] Templetons' material filed on 22 October 2024, attachment PP
[96] Templetons' material filed on 22 October 2024 at p 32 [7.1.3] and attachment RR
[97] Templetons' material filed on 22 October 2024, attachment RR
[98] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 45, line 38 to page 47, line 7
[99] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 120, lines 26 to 47
[100] Wombat Hillton's response filed on 11 November 2024, pp 27 to 30
[101] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 149, line 3 and following
[102] Transcript of hearing (in proceedings XD 818/24) dated 26 November 2024, page 151, lines 22 to 26
WOMBAT HILLTON PTY LTD ACN 101 147 853 T/A DAVID REID HOMES
TEMPLETON & ANOR