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The Claimant is the party making the "payment claim".
Under the Act the Claimant has a specific role and has
only two (2) documents to manage. They are as follows:
Payment Claim
A "payment claim" is terminology used in the
Act to describe what would normally be called a tax
invoice, progress claim, final claim, etc.
It is better that only one payment claim is submitted
per construction contract per period stated in the contract
(week, fortnight, 25th of month, etc) or if nothing
stated in the contract then after the last day of each
month.
For a "payment claim" to be subject to the
Act the payment claim must state somewhere on the document
"This payment claim is made under the Building
and Construction Industry Security of Payment Act".
A computer driven system should enable these words to
be a standard entry on all payment claims produced.
If a manual system is used a rubber stamp or similar
will be sufficient.
A payment claim is the document that initiates the entire
process. A payment claim must identify the construction
work to which the payment claim relates and must indicate
the amount that the Claimant claims to be due.
It is important for the Claimant to ensure that the
payment claim meets all requirements of the contract
and the Act. A payment claim must be valid under the
Act and correct service is paramount.
We recommend that "first time" Claimants or
those Claimants that are not comfortable with the process
should seek assistance and or further information prior
to serving a payment claim.
Adjudication Application
An "adjudication application" is a document
prepared by the Claimant in support of the Claimant’s
case for being paid.
If the Respondent provides a payment schedule showing
an amount the Respondent proposes to pay
(Respondent)
that is not acceptable to the Claimant or fails to pay
the scheduled or claimed amount the Claimant may elect
to make an adjudication application.
An adjudication application is the opportunity for
the Claimant to make a submission to the Adjudicator
(Adjudicator)
in support of the Claimant’s case for being paid.
The adjudication application is made to an Authorised
Nominating Authority (ANA) of the Claimant’s choice
with a copy being sent to the Respondent at the same
time.
The issue of timing and process associated with an adjudication
application is one of the more complex sections of the
Act. In general terms an adjudication application must
be made within 5 business days after receiving a payment
schedule.
The adjudication application must be in writing, must
state that it is made under the Act, must identify the
payment claim and payment schedule to which it relates
and should include all submissions and documents in
support of the Claimant’s case.
The adjudication application is an important document
for the Claimant and requires careful consideration
and preparation prior to submission.
The adjudication application should address the reasons,
if any, the Respondent has provided for withholding
payment. If this document is not correct or of poor
quality the Claimant’s chances of success in an
Adjudication Application is significantly reduced.
We recommend that "first time" Claimants or
those Claimants that are not comfortable with the process
should seek assistance and or further information 10
business days after the Claimant has served the payment
claim.
If assistance or further information is required
please contact us on 1300 722 624 |
