Security Of Payments Act NSW Changes Commence 21 April 2014
The Security Of Payments Act NSW changes are:
- introduction of maximum payment terms for progress payments for all invoices served for building and construction work and or related goods or services under the Security Of Payments Act NSW
- requirement that payment claims made under the Security Of Payments Act NSW by a head contractor include a supporting statement declaring that all subcontractors have been paid what is due and payable up to and including at the time of the claim
- removal of the requirement that a payment claim must state that it is being made under the Security Of Payments Act NSW – all invoices will be deemed claims made under the Security Of Payments Act NSW.
What this means for Claimants:
- Danger of serving invalid payment claims
- Maximum time to wait for payment
What this means for Respondents
- All invoices received need to be treated as payment claims made under the Act
- Must pay all invoices on time
- Serious penalties for falsifying subcontractor statement
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RECOUP are Security Of Payments Act NSW Experts & Debt Recovery and Debt Collection Specialists for New South Wales Building and Construction Contractors. RECOUP aims to keep all stakeholders in each state up to date with changes and developments in the Security Of Payments Act NSW legislation that impact claiming payments for building and construction work.
RECOUP provides information and assistance regarding the following legislation:
New South Wales: Building and Construction Industry Security of Payment Act 1999
New South Wales: Contractors Debts Act 1997