A complaint against a builder rarely arrives as a formal letter first. More often it starts as a phone call to council, a post in a local Facebook group or a message to the Building Practitioners Board.
By the time it reaches a formal process, both sides are already anxious about what comes next. Understanding how that process works, and where it stops, matters as much for tradespeople as for the homeowners raising the concern.
Anyone can complain to the Board about work by someone who was a Licensed Building Practitioner at the time. The Board investigates and hears complaints about conduct.
To proceed, a complaint has to fall within the disciplinary grounds in section 317 of the Building Act 2004. These include negligent or incompetent work, work that doesn’t comply with a building consent, and restricted building work outside the practitioner’s licence class.
They also cover failing to provide a record of work, and breaching the LBP code of ethics, which has applied since 25 October 2022. The code sets 19 standards under four principles, which are work safely, act within the law, take responsibility for your actions and behave professionally.
What the Board won’t touch is just as important. Payment disputes and commercial or contractual disagreements, including employment matters, fall outside its jurisdiction, and it can’t award compensation or order repairs.
A homeowner unhappy about invoicing or scope creep needs a different avenue, such as the Disputes Tribunal or a construction contract adjudicator.
Once a complaint is accepted, an MBIE investigator contacts the practitioner with the complaint documents. The Registrar prepares a report for the Board, which decides whether to hold a hearing.
MBIE found fines were the most common penalty, ranging from $500 to $5,000 over four years. The Board can also order the practitioner to pay the costs of its inquiry.
The maximum fine is $10,000. At the time of writing, a Bill before Parliament would double it to $20,000. Any disciplinary action shows on the public LBP register for three years.
If the person doing restricted building work isn’t licensed, the Board can’t act. Those complaints go to MBIE’s Occupational Regulation investigations team, which can prosecute, and the council can issue a $750 infringement notice.
The practical lesson for contractors is less about the outcome of any single complaint and more about the paper trail behind it.
Photos at each stage, up-to-date consent documents and a clear record of what was agreed with the client tend to be the difference between a complaint that closes quickly and one that drags into a formal hearing with a fine attached.
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