Did you know there is now an alternative system for payment disputes for the Building and Construction Industry?

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The Building and Construction Industry Payments Act 2004 (BCIPA) was amended on the 11th of September by the Queensland Government and is set to be an alternative to the court system for Tradies and Subbies who are seeking a cost effective and efficient process for resolving payment disputes.

The Government and other key stakeholder agencies set out to design a fairer and more equitable system to resolve payment issues in the building and construction industry and a to provide a more balanced system for claimants and the respondents. This amendment was designed to ensure that all eligible parties involved in a contract have sufficient security, access to a adjudication process and a more appropriate time frame to obtaining payments for work already performed.

The areas of reform included:

  • Appointment of Adjudicators and Adjudication Process.
  • Timeframes for Claimants and Respondents
  • Provision of Additional Information

While these changes will only be applicable to commercial construction contracts entered into after the commencement of the amendments, which include goods and services supplied, it will not cover residential building work, however a subcontractor can use Adjudication for lodging a claim against an owner builder.

Under the Act any person who has contracted to carry out construction work or supply related goods and services in Queensland is entitled to make a payment claim.

 Parties to a claim may include:

  • contractors claiming against clients/developers
  • contractors claiming against owner builders
  • subcontractors claiming against contractors
  • suppliers claiming against clients
  • plant and equipment hirers claiming against clients
  • consultants claiming against clients

For further information visit the Building and Construction Industry Payments Agency website and download the information kit or check out the Guide and Flowchart to asses if you are eligible to access the Adjudication Process