Construction Contracts: Security of Payment

Security of Payment Legislation has been enacted, in one form or another, across all jurisdictions in Australia, giving parties to construction contracts an ability to exercise powers in relation to rightful payment.

Essentially, parties doing work under construction contracts or providing related goods and services are able to use Security of Payment Act (SoPA) or Building and Construction Industry Security of Payment Act (BCISPA) legislation to enforce their rights to timely payments and also use an adjudication process to assist in the speedy recovery of monies.

The Acts are both a sword and a shield and have intricate timing and prescriptive measures for properly issuing a “Payment Claim” and the “Payment Schedule” in response. SoPA has been referred to as “pay now argue later” legislation where a party's lack of knowledge or being remiss in proper or timely responses can cost an organisation significant dollars.

This webinar provides an overview of the purpose and timing of the Act(s) and specific requirements for compliance.You will understand the reasoning and purpose behind the legislation, how this relates to construction contracts and learn how to comply with the legislation as a provider or buyer of goods and services.

The various models for the Acts differ from East Coast to West Coast.This session will focus on the Victorian Act but can still be of benefit to other east coast jurisdiction attendees as the general principles are similar, and the facilitator will address the nuances and timing differences in the various jurisdictions.