If building work is defective and a defect arises from the wrongful acts or defaults of more than one person who would be jointly and severally liable for damage or loss resulting from the defective work and an action for loss or damage is brought against one or more of those people, the court may give judgment against each person for such amount as may be just and equitable, having regard to the extent to which the act or default of that person contributed to the damage or loss [Planning, Development and Infrastructure Act 2016 (SA) s 158]. This section is designed to stop relevant authorities from being liable for the full amount of damages claimed in an action where the builder was mainly to blame for the defective building work, as both the builder and the relevant authority are joined as defendants to the action.

The time limit to take action for defective building work is 10 years, after which no action for damages for economic loss or for the cost of rectifying the defective work may be taken. The 10 year period runs from the completion of the building work [Planning, Development and Infrastructure Act 2016 (SA) s 159(1)].

The High Court case of Bryan v Maloney [1995] HCA 17 has also held that subsequent owners may be able to take action against the builder where the work is defective. The reasons for deciding (ratio decidendi) the case in Bryan v Maloney was limited to residential dwellings and not commercial buildings; see Woolcock Street Investments Pty Ltd v CDG Pty Ltd [2004] HCA 16 .

In Brookfield Multiplex Ltd v Owners Corporation Strata Plan 61288 [2014] HCA 36 the case of Bryan v Maloney was distinguished on its facts. The High Court held that the builder (Brookfield) of a strata-titled apartment complex did not owe a duty of care to the Owners Corporation to avoid causing it economic loss resulting from latent defects in the common property. This case discussed the notion of vulnerability of the plaintiff, and not just the proximity of the plaintiff to the defendant [at 22-24].

"The continuing authority of Bryan v Maloney should be confined to a category of case in which the building is a dwelling house and in which the subsequent owner can be shown by evidence to fall within a class of persons incapable of protecting themselves from the consequences of the builder's want of reasonable care." (Gageler J at [185])

Both the Building Work Contractors Act 1995 (SA) and Australian Consumer Law could also be relevant to disputes about defective building work. Time limits under these laws are different. Please refer to Building Work Contracts for more information.