Critical Timings Under the ACT Security of Payments Legislation

The Act imposes absolutely unforgiving time limits. Mostly you get in trouble because you have served documents too late, but in some cases you can get into trouble for serving them too early.

Let us look at some of the most important:

  1. A payment claim must be served within 12 months of the last building and construction work being performed.

  2. A payment schedule must be provided within 10 business days of the service of the payment claim.

  3. An adjudication application must be lodged with the authorised nominating authority within 10 business days of the provision of the payment schedule.

  4. If no payment schedule is provided the claimant has 20 business days to serve a section 19(2) notice. NOTE: The section 19(2) notice is invalid if it is served before the end of the 10 days the respondent has to serve the payment schedule.

  5. If a section 19(2) notice has been served the respondent has only 5 business days to provide a payment schedule.

  6. If a section 19(2) notice has been served the claimant must lodge the adjudication application within 10 business days after the end of that five day period or within 10 business days after the day the claimant receives the payment schedule, whichever is the earlier. It must be within this variable window of opportunity or it is invalid.

  7. An adjudication response must be lodged by the respondent within the later of 7 business days after the respondent receives a copy of the application or 5 business days after receiving notice of the adjudicator’s acceptance of the application.

  8. The adjudicator must determine the adjudication, where the respondent may lodge an adjudication response, 10 business days from the earlier of the date the adjudicator is provided with the adjudication response or the date a response is due and, where no response may be lodged, the adjudicator must determine the adjudication within 10 business days of the adjudicator's acceptance of nomination.

  9. The adjudicated amount is due within 5 business days of service of the determination on both parties, or by such later date as is determined by the adjudicator.