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CEO Update

How do I Make a Claim under the ACT SOPA Regime 

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This week, Alisa Taylor from Meyer Vandenberg presented an excellent session on Security of Payments.

Firstly, are you eligible to make a claim under the Building and Construction Industry (Security of Payment) Act 2009 (ACT)?  The SOPA regime is available to a person who carries out construction work in the ACT (including contractors, subcontractors, suppliers, plant and equipment hire and consultants) to allow for a claim to be made in relation to monies owed under certain construction contracts.  This regime does not apply to a construction contract for residential building work where the works are carried out for the occupant of the property (or where they propose to live in the property).

Next, your claim must:

  • be made at the time stated in the contract or on the last day of the month (where there is no date specified)
  • be in writing and addressed to the respondent
  • describe the construction work, related goods, or related services for which are being claimed
  • state the amount being claimed
  • include the words, ‘This is a payment claim made under the Building and Construction Industry (Security of Payment) Act 2009 (Cth)’ or a similar statement with that meaning.

Your claim should establish a reference date for making the claim, decide the payment entitlement, be served on the other party and keep a note of the date the payment claim has been sent to the other party.  You claim might also include attachments such as completion certificates, photos/videos, delivery documents, or other documents applicable to the contract.

If the payment is not made by the due date or where a response is not received in relation to the payment claim, you may then be entitled to make an application for adjudication under the SOPA regime.  It is crucial that you (the Applicant) comply with the timeframes set out in the legislation.

For further information about making a claim under the SOPA regime, click here.

If you would like to chat to our IR & Legal Team about the SOPA regime, or if you need assistance in making a claim, give them a call on (02) 6175 5900.