Unfair Contract Terms with Small Businesses: Implications for the Construction Industry
By Sandra Steele and Andrew Hales, K&L Gates, Sydney
The unfair contract term prohibitions in the Competition and Consumer Act 2010 (Cth) were recently extended to cover standard form contracts with small businesses.
The new law provides for unfair contract terms to be declared void and unenforceable. The relevant contract will then only continue to bind the parties insofar as it can operate without the unfair terms.