One of Perth's biggest building surveyors has gone into liquidation, JMG a company that played a pivotal role in the construction of Optus Stadium.
JMG says a decision by the Department of Mines Industry Regulation and Safety to change the criteria of what constitutes safe cladding has led to legal action from building owners.
The volume of legal action has led JMG to go into administration.
Director of Building Compliance at Building and Energy Sandy Randall says the rules for non-combustible cladding had existed since the building code came into force in 1990 and hadn't been changed.
She said confusion had arisen after cladding became more popular as a decorative material.
"It wasn't a rule change it was a clarification amendment," she said.
"The code is very clear that you cannot used the same approval process for using cladding for different purposes."
Director of Milestone Certifiers and a member of the Australian Institute of Building Surveyors Richard Attiwell says the issues were brought about by 'ambiguity' in the code.
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