building and construction industry security of payment act (or similar in your state)
Before you dive into a construction project, it pays to get familiar with the Building & Construction Industry Security of Payments Act – or its equivalent based on your state. These laws set out clear rules and strict time frames for payment claims to be processed.
For example, once a payment claim is submitted, there's a defined period (normally 15 days from the date of presentation) during which a payment schedule must be provided or the payment made.
This schedule outlines how much will be paid and when, if there is a dispute over the amount claimed based on the work delivered.
There really is nothing hard to this at all. A payment claim is a tax invoice presented. A payment schedule is a response to a tax invoice that references the invoice and its details and the sets out what is being paid and why.
The main thing to remember with payment claims is the time frame. Miss the time frame and you will most likely have an automatic judgement (by an adjudicator) against you.
Here is some state specific information:
Building & Construction Industry Security of Payments Act:
The Building & Construction Industry Security of Payments Act legislation as applicable is determined by which state the construction project, for which the works were carried out, or for which related goods
and services were provided, is located:
QLD: Building Industry Fairness (Security of Payment) Act 2017
NSW: Building & Construction Industry Security of Payments Act 1999
ACT: Building & Construction Industry Security of Payment Act 2009
VIC: Building & Construction Industry Security of Payment Act 2002
SA: Building & Construction Industry Security of Payment Act 2009
TAS: Building & Construction Industry Security of Payment Act 2009
WA: Construction Contracts Act Western Australia
NT: Construction Contracts Security of Payments Act Northern Territory
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