WHRS review announcement 12 May 2006

Frequently asked questions for claimants

I am a claimant who has had my claim on hold for six months pending the outcome of the review. How much longer do I have to wait?
The enhancements require legislative change before the improvements can be implemented. Ideally, the legislation will be passed this year and the new processes will apply from early next year.

What happens if I am a claimant who owns a property that is registered with the WHRS? Will my home be assessed using the current criteria?
Yes, the assessment will be under the present system until the amendments to the Act are passed. After the amendment, some claimants may be eligible for a review of their assessment report and this will be decided on a case-by-case basis by the adjudicator.

I am a registered claimant who has had an assessment report, but not yet made a decision on how to proceed. Should I wait for the implementation of the review changes before proceeding? Will I be compensated for the further damage that my house is likely to amass while I’m waiting?
It is the claimant’s decision and advantages and disadvantages will need to be carefully considered. Factors specific to the claim will be involved, such as the extent of damage and the willingness of parties to participate. Another factor to be considered is that once the homeowner is aware of damage they are obliged to mitigate any further loss. Consequently, depending on the circumstances, there could be no compensation for further damage that may occur whilst the claimant waits.

I am a claimant who is currently in mediation or adjudication. Should I pause the proceedings and wait for the review implementation? What are the pros and cons of proceeding under the old system? Can I have a re-profiled report?
This will depend on the current situation regarding your claim. Your case manager will be able to provide further advice.

I suspect I have a leaky home but have not yet decided whether to register my property with the WHRS. Do I need a lawyer under the new system? Can I claim back my legal expenses at mediation/adjudication?
Legal advice is recommended but legal costs cannot be claimed under the WHRS process. Overall, legal costs will be reduced as it is envisaged that the enhancements will create efficiencies in the dispute resolution process.

My claim is now closed, but I feel disadvantaged having not had the opportunity to ‘try’ my claim under the new system. Will I be compensated? Can I have another go?
There will be no compensation. You can apply again but your application will be subject to the same eligibility criteria and you cannot make a further claim in respect of an issue that has already been resolved.

I live in a multiple-unit complex, and am not interested in the common property problems, but I do want to progress a claim in respect of the damage I have experienced within my unit. Can I do that?
Under the enhanced system it is expected that the body corporate will bring a claim for the common property. It will also bring claims for damaged units in the complex on behalf of the unit owners. Usually weathertightness problems in apartment complexes involve common property and in only rare cases would a single unit claim unrelated to common property be able to proceed. The best results will be achieved if everyone in the complex addresses the problem together.

I have just begun adjudication and fear that my legal fees will be very high. Can I petition the adjudicator to now use the ‘investigative’ approach, as I believe that it will cut down on the litigation time and therefore save me money?
It will be up to the adjudicator to conduct the adjudication process as he/she sees fit.

I am about to move to adjudication, but now find that because my claim is only for $20,000 I may be one of these new lower value stream claims. Can I still choose to go to adjudication?
You can move to adjudication under the current system. After the amendments you will be offered the chance to negotiate with other parties with help from the case manager or mediator. If settlement is not reached then the claim will be passed to the adjudicator to decide the claim on the papers.

Is the new system going to assist me with enforcing my settlement agreement and/or determination?
Settlements can currently be legally enforced by homeowners and this will not change.

Will homeowners who received a settlement in the past through the WHRS on the basis of evident damage be able to submit a new claim in future (ie. for probable damage)?
Homeowners who have reached settlement in the past will be able to re-apply for any damage that was not the subject of a previous settlement, provided of course the claim meets the eligibility criteria.

Will adjudicators allow hearings to be postponed until the new legislation comes into effect?
The adjudicator will examine each case on its own merit.

Will the registration costs for claimants increase?
There is no registration cost. A charge may be introduced for an enhanced assessment inspection. The level of any charge is yet to be decided but the intention is to not create a barrier for claimants. Recovery of these costs can be sought as part of the dispute resolution process. It is subject to ongoing work.

What information about my claim will be made public?
Adjudication determinations will continue to be made public. The details of settlements reached through mediation are confidential unless parties agree otherwise. We will be working with local councils, many of whom already have procedures in place to attach information about WHRS claims to the Land Information Memorandum, to ensure that information about individual properties is accessible to prospective purchasers. Claim-related information is otherwise “official information” subject to an information request under the Official Information Act 1982.

If my claim is at the lower end of the financial scale, do I have an alternative option to mediation or adjudication?
Post amendment of the Act, there will be a process for managing smaller claims. In any event, parties always have the option of negotiating a settlement outside of the WHRS process.