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Security of Payments

Can Contractors Prove Their SOPA Losses When a Precise Calculation Cannot Be Performed? AdjudicationBuildingConstructionLitigationSecurity of Payments
10 July, 2024

Can Contractors Prove Their SOPA Losses When a Precise Calculation Cannot Be Performed?

The case of Canterbury Bankstown Council v General Works and Construction Pty Ltd NSWSC 310 This article deals with whether submissions have been duly made under the Building and Construction Industry Security of Payment Act 1999 (NSW) (Act) and what is necessary to establish losses where a precise calculation cannot…
Seeking Payment Upstream from the Principal BuildingConstructionContractsDevelopmentProjectsSecurity of Payments
20 June, 2024

Seeking Payment Upstream from the Principal

After lodging a payment withholding request under the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOPA) on a principal, a subcontractor may utilise the Contractors Debt Act 1997 (NSW) (CDA) to seek payment directly from the principal instead of the respondent/contractor. This alternative means of seeking payment…
Enforcing SOPA judgments: An overview of Garnishee Orders and Statutory Demands CommercialConstructionInsolvencyLitigationSecurity of Payments
5 April, 2024

Enforcing SOPA judgments: An overview of Garnishee Orders and Statutory Demands

Congratulations! You have just obtained an adjudication certificate. What comes next if the respondent refuses to pay the adjudicated amount? Knowing how to enforce SOPA debts is essential for construction industry participants who want to exercise their right to receive progress payment. Two potentially powerful options available to claimants are…
Be Wary of Your Payment Schedules Under the SOP Act BuildingConstructionSecurity of Payments
1 December, 2023

Be Wary of Your Payment Schedules Under the SOP Act

Turnkey Innovative Engineering Pty Ltd v Witron Australia Pty Ltd NSWSC 981 In the recent Supreme Court case of Turnkey Innovative Engineering Pty Ltd v Witron Australia Pty Ltd NSWSC 981, the Court emphasised how a respondent’s payment schedule must provide the amount and any reasons for withholding. The respondent’s…
Using DOCAS To Preserve SOPA Claims In Administrations? BuildingCommercialConstructionInsolvencySecurity of Payments
1 December, 2023

Using DOCAS To Preserve SOPA Claims In Administrations?

Commercial Context Construction companies are often thinly capitalised and do not hold significant real property or other assets.  Often their most significant (and sometimes their only) assets are unpaid progress claims arising from construction work undertaken prior to entering into external administration. Progress claims however can be difficult to recover.…
Setting Aside An Adjudicator’s Determination Under The SOP Act AdjudicationBuildingConstructionSecurity of Payments
25 August, 2023

Setting Aside An Adjudicator’s Determination Under The SOP Act

Ceerose Pty Ltd v A-Civil Aust Pty Ltd (No 2) NSWSC 401 Under section 32A of the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOP Act), the Supreme Court has a discretionary power to set aside the whole or part of an adjudicators determination that has been…
‘Pay When Paid’ Clauses Do Not Work – Maxcon Constructions Pty Ltd v Vadasz [2018] HCA 5 AdjudicationBuildingConstructionContractsLawSecurity of Payments
14 December, 2022

‘Pay When Paid’ Clauses Do Not Work – Maxcon Constructions Pty Ltd v Vadasz [2018] HCA 5

  What exactly is a ‘pay when paid’ provision? A ‘pay when paid’ provision is one where the release of retention under a subcontract is dependent on the operation of a clause of the head contract. Under s 12 of the Building and Construction Industry Security of Payment Act 1999…