“The object of the Security Of Payments Act is to ensure that any person who undertakes to carry out construction work (or who undertakes to supply related goods and services) under a construction contract is entitled to receive, and is able to recover, progress payments in relation to the carrying out of that work and the supplying of those goods and services.”
The Security of Payments Act website provides a comprehensive Building & Construction Industry Security Of Payments Act guide to assist you in determining where you are at in the process and what is your next step.
The Security Of Payments Act is state based legislation so it’s important to check your relevant state for information about the Security Of Payments Act regulations that apply to your claim.
Making a claim under the Security Of Payment Act and the BCIPA starts with serving a valid payment claim by using the Online Claim Form on the website to commence the process that will lead to adjudication and a fast enforceable judgement.
The Building & Construction Industry Security Of Payments Act legislation that applies is determined by which state where the construction work was carried out.
The Building & Construction Industry Security Of Payments Act legislation provides for a payment dispute resolution that is controlled by strict time frames and processes. Unlike traditional debt recovery and litigation time and cost is predictable and reliable.
Understand what the Security of Payment Act legislation (laws) is, isn’t, and also what it can do for you
SOPA isn’t:
- Insurance for non-payment
- A sentence you put on your invoice that guarantees payment
- A government department
- A free debt recovery service
- Easy to ignore if you owe money to a subcontractor, consultant, or supplier
SOPA is:
- A fast track to a court judgment
- Purpose built legislation (laws) for the building & construction industry
- The most cost effective way to resolve a payment dispute
- Successful for 94% of claimants (NSW Govt statistic)
Until you have a court judgment against your debtor they can ignore your demands for payment indefinitely
What SOPA can do for you:
- Give you the right to claim for work, services, materials delivered
- Give you the right to enter a judgment in court if your claim is ignored
- Give you the right to have a disputed claim determined fairly by a government authorised adjudicator
- Give you the right to stop work without breaching a contract
- Help you get paid for all variations you have carried out
- Help you challenge back charges
- Help you claim retentions
- Help you dispute allegations that your work is defective
STATE LINKS
If you require further information or would like to see more details in this field, please let me know by emailing me at kersten@ftma.com.au