Can you escape being a ‘developer’ by way of a deed of partition?

Can you escape being a ‘developer’ by way of a deed of partition?

Can a deed of partition prevent you from being a "developer" under the Home Building Act? The recent NSW Supreme Court decision in Succar v Dominium Homes Pty Ltd [2026] NSWSC 1117 highlights that the answer may be no. The Court held that five co-owners involved in a 10-dwelling development were "developers" for the purposes of s 3A of the Home Building Act 1989 (NSW), despite a deed of partition allocating beneficial interests so that each owner would ultimately receive fewer than four dwellings. The Court found that legal ownership of the land remained the critical consideration and that future transfers could not be relied upon to avoid developer status. The decision serves as an important reminder that developer status is determined by the statutory interpretation, not by how parties characterise their arrangement. For investors, family groups, joint ventures and townhouse developments, ownership structures can have significant implications, including the availability of Home Building Compensation Fund (HBCF) cover if a builder becomes insolvent, disappears or loses its licence. Careful consideration of ownership and insurance arrangements at the outset of a project may avoid costly surprises later.
NSW Building Act 2026 & Negligence in Construction

NSW Building Act 2026 & Negligence in Construction

NSW’s new Building (Approvals and Practitioners) Act 2026 will repeal and replace the Design and Building Practitioners Act 2020 and carry across the statutory Duty of Care for defective building work. But does the new Building Act really change the position for builders, developers and owners? This article examines the history of the statutory Duty of Care, including the landmark Brookfield and Pafburn decisions, and explains how the new legislation may affect liability for construction defects. While the Duty of Care is largely preserved, changes to the definition of “construction work” may create uncertainty about who can be liable, particularly directors and others who may have substantive control over construction work. We consider the practical implications of the new Building Act for builders, developers and homeowners, and what industry participants should consider before the new regime commences.