ABIC contracts · The basics
What Is an ABIC Contract?
ABIC contracts are Australian building contracts designed around an architect who administers the contract between owner and builder. Here is how the suite works and how to pick and amend a form.
What ABIC stands for and who publishes it
ABIC stands for Australian Building Industry Contracts. The contracts are published by Australian Building Industry Contracts, a joint venture of the Australian Institute of Architects and Master Builders, and they replaced the older JCC series.
What sets ABIC apart from HIA and most Master Builders forms is the architect. An ABIC contract is between the owner and the builder, but it appoints an architect as contract administrator, who assesses progress claims, certifies payment, and decides variations and extensions of time independently of both parties. That makes ABIC the natural choice for architect-designed projects, and a poor fit where no architect is engaged.
The contracts themselves are bought from the publisher. They are not free templates, and they are not a document a law firm sells. What can be added to them, for a particular project or jurisdiction, is a set of Special Conditions.
- The form is chosen without an architect actually engaged to administer it.
- A commercial (C) form is used for residential work, missing the statutory terms housing work requires.
- The form for the wrong state is used, so the residential compliance terms do not match the law where the work is done.
- The standard payment schedule is accepted without checking it suits how the project will be financed.
- Special Conditions are bolted on without being given effect through the contract’s order-of-precedence provision.
How to choose and amend an ABIC contract
Start with the type of work. Residential building work needs a Housing (H) form, and the housing forms come in state editions because each state regulates residential building differently. Commercial work uses a Commercial (C) form.
Then match the form to the project. Major Works (MW) carries the fullest machinery for larger and more complex projects, Simple Works (SW) is streamlined for contained work such as renovations and extensions, and Basic Works (BW) is shortest for minor work. The Commercial Cost Plus form (CP-2014 C) is for cost-plus engagements, and needs care before it is used on residential work.
Finally, decide what the standard form does not give you. Every ABIC contract has a Special Conditions schedule that takes effect through the order-of-precedence provision. That is where a project can move from stage payments to monthly progress claims, add a force majeure regime, share genuine supply chain cost increases, or bring a commercial cost-plus form into line for residential work.
The main ABIC forms at a glance
| Aspect | What it is | Typically used for |
|---|---|---|
| Major Works (MW-2018) | The fullest ABIC form, with detailed notice, time and variation machinery. | Larger, longer and more complex building projects with many trades. |
| Simple Works (SW-2018) | A streamlined form on the same architect-administered model. | Renovations, extensions, alterations and smaller fitouts. |
| Basic Works (BW) | The shortest form in the suite. | Minor building work where even Simple Works is more than the job needs. |
| Commercial Cost Plus (CP-2014 C) | A cost-plus form: the builder is paid actual cost plus a fee or margin. | Commercial cost-plus work; residential use needs Special Conditions for compliance. |
| Housing (H) vs Commercial (C) | H forms carry the terms residential building legislation requires; C forms do not. | H for homes, C for commercial work. The suffix is not optional. |
| State editions | Housing forms are issued for individual states, such as ABIC SW-2018 H NSW. | Using the edition for the state where the work is carried out. |
Who this affects
Architects
You administer the contract, so the form and its Special Conditions set the certification, notice and payment work you will actually carry out.
Builders
The form fixes how and when you are paid, how variations are valued and what notices you must give to claim time. Read the Special Conditions as closely as the general conditions.
Owners
An ABIC contract gives you an independent administrator in the architect. Getting the form and payment structure right at the start is far cheaper than arguing about it later.
Common questions
What is an ABIC contract?
An ABIC contract is an Australian Building Industry Contracts building contract, published by a joint venture of the Australian Institute of Architects and Master Builders. It is between the owner and the builder, and it appoints an architect as an independent contract administrator who certifies payments and decides variations and extensions of time.
What does ABIC stand for?
Australian Building Industry Contracts, the joint venture of the Australian Institute of Architects and Master Builders that publishes the suite.
Which ABIC contract should I use?
Use a Housing (H) form for residential building work, in the edition for your state, and a Commercial (C) form for commercial work. Then match the machinery to the project: Major Works for larger and complex projects, Simple Works for contained work like renovations and extensions, Basic Works for minor work, and the Commercial Cost Plus form for cost-plus engagements. Complexity matters more than contract value.
Where do I buy an ABIC contract?
ABIC contracts are obtained from the publisher. Special Conditions that amend a contract are a separate document, prepared or licensed for the particular project and jurisdiction.
Can an ABIC contract be amended?
Yes. Every ABIC contract has a Special Conditions schedule, referenced in the contract information schedule and given effect through the order-of-precedence provision. Common amendments include monthly progress payments instead of stage payments, force majeure provisions, supply chain cost provisions, and residential compliance terms for the cost-plus form.
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