Amid lawsuits, builders shift blame over flammable cladding

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By Leith van Onselen

With apartment owners stung by huge costs, and embroiled in legal battles, relating to dangerous flammable cladding that now must be removed, the buck passing has begun.

The owners of apartments in Melbourne’s Lacrosse Building are suing its builder, LU Simon, for $24 million in damages over a 2014 fire. LU Simon is trying to shift the blame for the potentially fatal blaze onto its consultants. Whereas fire engineer, Con Nicholas, claims he had directed others involved in the building’s construction not to use flammable cladding, and therefore takes no responsibility for its use. From The AFR:

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.