{"id":"a-2009-50","name":"Building and Construction Industry (Security of Payment) Act 2009","slug":"building-and-construction-industry-security-of-payment-act-2009","collection":"act","jurisdiction":"act","status":"in_force","isInForce":true,"actNumber":"50 of 2009","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":23182,"registerId":"act-a-2009-50-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Building and Construction Industry (Security of Payment) Act 2009","content":"Authorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nAustralian Capital Territory\nBuilding and Construction Industry\n(Security of Payment) Act 2009\nA2009-50\nRepublication No 14\nEffective: 6 December 2025\nRepublication date: 6 December 2025\nLast amendment made by A2025-29\n\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nAbout this republication\nThe republished law\nThis is a republication of the Building and Construction Industry (Security of Payment) Act 2009\n(including any amendment made under the Legislation Act 2001, part 11.3 (Editorial changes))\nas in force on 6 December 2025. It also includes any commencement, amendment, repeal or\nexpiry affecting this republished law to 6 December 2025.\nThe legislation history and amendment history of the republished law are set out in endnotes 3\nand 4.\nKinds of republications\nThe Parliamentary Counsel’s Office prepares 2 kinds of republications of ACT laws (see the ACT\nlegislation register at www.legislation.act.gov.au):\n• authorised republications to which the Legislation Act 2001 applies\n• unauthorised republications.\nThe status of this republication appears on the bottom of each page.\nEditorial changes\nThe Legislation Act 2001, part 11.3 authorises the Parliamentary Counsel to make editorial\namendments and other changes of a formal nature when preparing a law for republication.\nEditorial changes do not change the effect of the law, but have effect as if they had been made by\nan Act commencing on the republication date (see Legislation Act 2001, s 115 and s 117). The\nchanges are made if the Parliamentary Counsel considers they are desirable to bring the law into\nline, or more closely into line, with current legislative drafting practice.\nThis republication includes amendments made under part 11.3 (see endnote 1).\nUncommenced provisions and amendments\nIf a provision of the republished law has not commenced, the symbol U appears immediately\nbefore the provision heading. Any uncommenced amendments that affect this republished law\nare accessible on the ACT legislation register (www.legislation.act.gov.au). For more\ninformation, see the home page for this law on the register.\nModifications\nIf a provision of the republished law is affected by a current modification, the symbol M appears\nimmediately before the provision heading. The text of the modifying provision appears in the\nendnotes. For the legal status of modifications, see the Legislation Act 2001, section 95.\nPenalties\nAt the republication date, the value of a penalty unit for an offence against this law is $160 for an\nindividual and $810 for a corporation (see Legislation Act 2001, s 133).\n\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\ncontents 1\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nAustralian Capital Territory\nBuilding and Construction Industry\n(Security of Payment) Act 2009\nContents\nPage\nPart 1 Preliminary\n1 Name of Act 2\n3 Dictionary 2\n4 Notes 2\n5 Offences against Act—application of Criminal Code etc 3\n6 Object of Act 3\n\nContents\nPage\ncontents 2 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 2 Important concepts\nDivision 2.1 Meaning of terms\n7 Meaning of construction work 4\n8 Meaning of related goods and services 6\nDivision 2.2 Application of Act\n9 Application of Act 6\nPart 3 Right to progress payments\n10 Right to progress payments 9\n11 Amount of progress payment 9\n12 Valuation of construction work and related goods and services 10\n13 Due date for payment 11\n14 Effect of pay when paid provision 12\nPart 4 Procedure for recovering progress payment\nDivision 4.1 Payment claim and payment schedule\n15 Payment claim 13\n16 Payment schedule 14\n17 Consequences of not paying claimant—no payment schedule 15\n18 Consequences of not paying claimant in accordance with payment\nschedule 17\nDivision 4.2 Adjudication of disputes\n19 Adjudication applications 18\n20 Eligibility—adjudicators 20\n21 Adjudicator for application 21\n22 Adjudication responses 21\n23 Adjudication procedures 22\n24 Adjudicator’s decision 23\n25 Respondent must pay adjudicated amount 25\n26 Failure to pay adjudicated amount 25\n27 Filing of adjudication certificate as judgment debt 27\n28 Claimant may make new application in certain circumstances 27\n\nContents\nPage\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\ncontents 3\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nDivision 4.3 Claimant's right to suspend construction work\n29 Claimant may suspend work 28\nDivision 4.4 Authorised nominating authorities and adjudicators\n30 Maximum number of nominating authorities 29\n31 Application for nominating authority 29\n32 Nominating authority—suitability 30\n33 Term of authorisation 31\n33A Suspension, cancellation or withdrawal of authorisation 31\n34 Costs and expenses—authorised nominating authority 33\n35 Report—authorised nominating authority 33\n36 Costs and expenses—adjudicator 34\n37 Protection from liability—adjudicators and authorised nominating\nauthorities 35\n37A Approval of codes of practice 35\n37B Breach of code of practice 36\nDivision 4.5 General\n38 Effect of part on civil proceedings 36\nPart 5 Notification and review of decisions\n39 Meaning of reviewable decision—pt 5 37\n40 Reviewable decision notices 37\n41 Applications for review 37\nPart 6 Miscellaneous\n42 No contracting out 38\n43 Judicial review of adjudication decision 38\n44 Determination of question of law by Supreme Court 40\n46 Determination of fees 40\n48 Regulation-making power 40\n\nContents\nPage\ncontents 4 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nSchedule 1 Reviewable decisions 41\nDictionary 42\nEndnotes\n1 About the endnotes 44\n2 Abbreviation key 44\n3 Legislation history 45\n4 Amendment history 47\n5 Earlier republications 50\n\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 1\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nAustralian Capital Territory\nBuilding and Construction Industry\n(Security of Payment) Act 2009\nAn Act to facilitate recovery of payments under construction contracts in the\nbuilding and construction industry, and for other purposes\n\nPart 1 Preliminary\nSection 1\npage 2 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 1 Preliminary\n1 Name of Act\nThis Act is the Building and Construction Industry (Security of\nPayment) Act 2009.\n3 Dictionary\nThe dictionary at the end of this Act is part of this Act.\nNote 1 The dictionary at the end of this Act defines certain terms used in this\nAct, and includes references (signpost definitions) to other terms defined\nelsewhere in this Act.\nFor example, the signpost definition ‘adjudicated amount—see\nsection 24.’ means that the term ‘adjudicated amount’ is defined in that\nsection.\nNote 2 A definition in the dictionary (including a signpost definition) applies to\nthe entire Act unless the definition, or another provision of the Act,\nprovides otherwise or the contrary intention otherwise appears (see\nLegislation Act, s 155 and s 156 (1)).\n4 Notes\nA note included in this Act is explanatory and is not part of this Act.\nNote See the Legislation Act, s 127 (1), (4) and (5) for the legal status of notes.\n\nPreliminary Part 1\nSection 5\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 3\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n5 Offences against Act—application of Criminal Code etc\nOther legislation applies in relation to offences against this Act.\nNote 1 Criminal Code\nThe Criminal Code, ch 2 applies to all offences against this Act (see\nCode, pt 2.1).\nThe chapter sets out the general principles of criminal responsibility\n(including burdens of proof and general defences), and defines terms used\nfor offences to which the Code applies (eg conduct, intention,\nrecklessness and strict liability).\nNote 2 Penalty units\nThe Legislation Act, s 133 deals with the meaning of offence penalties\nthat are expressed in penalty units.\n6 Object of Act\n(1) The object of this Act is to ensure that a person is entitled to receive,\nand is able to recover, progress payments if the person—\n(a) undertakes to carry out construction work under certain\nconstruction contracts; or\n(b) undertakes to supply related goods and services under certain\nconstruction contracts.\n(2) In particular, this Act—\n(a) grants an entitlement to a progress payment for construction\nwork, whether or not a construction contract provides for\nprogress payments; and\n(b) establishes a recovery procedure for construction work progress\npayments.\n\nPart 2 Important concepts\nDivision 2.1 Meaning of terms\nSection 7\npage 4 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 2 Important concepts\nDivision 2.1 Meaning of terms\n7 Meaning of construction work\n(1) In this Act:\nconstruction work—\n(a) includes the construction, alteration, repair, restoration,\nmaintenance, extension, demolition or dismantling of buildings\nor structures, whether permanent or not, forming, or to form,\npart of land; and\n(b) includes the construction, alteration, repair, restoration,\nmaintenance, extension, demolition or dismantling of any works\nforming, or to form, part of land, including walls, roadworks,\npower-lines, telecommunication apparatus, aircraft runways,\ndocks and harbours, light rail and other railways, inland\nwaterways, pipelines, reservoirs, water mains, wells, sewers,\nindustrial plant and installations for purposes of land drainage\nor coast protection; and\n(c) includes the installation in any building, structure or works of\nfittings forming, or to form, part of land, including heating,\nlighting, air conditioning, ventilation, power supply, drainage,\nsanitation, water supply, fire protection, security and\ncommunications systems; and\n(d) includes the external or internal cleaning of buildings, structures\nand works, so far as it is carried out in the course of their\nconstruction, alteration, repair, restoration, maintenance or\nextension; and\n\nImportant concepts Part 2\nMeaning of terms Division 2.1\nSection 7\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 5\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(e) includes any operation which forms an integral part of, or is\npreparatory to or is for rendering complete, work mentioned in\nparagraph (a), (b) or (c); and\nExamples\n1 site clearance, earth-moving, excavation, tunnelling and boring\n2 laying foundations\n3 erecting, maintaining or dismantling scaffolding\n4 prefabricating components to form part of any building, structure or\nworks, whether carried out on-site or off-site\n5 site restoration, landscaping and providing roadways and other access\nworks\n(f) includes painting or decorating the internal or external surfaces\nof any building, structure or works; and\n(g) includes building work within the meaning of the Building\nAct 2004; but\n(h) does not include—\n(i) drilling for, or extraction of, oil or natural gas; or\n(ii) extracting (whether by underground or surface working)\nminerals, including tunnelling or boring, or constructing\nunderground works, for that purpose.\n(2) A regulation may provide that work is, or is not, construction work\nfor this Act.\n(3) In this section:\nlight rail—see the Road Transport (General) Act 1999, dictionary.\n\nPart 2 Important concepts\nDivision 2.2 Application of Act\nSection 8\npage 6 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n8 Meaning of related goods and services\n(1) In this Act:\nrelated goods and services for construction work—\n(a) includes goods of the following kind:\n(i) materials and components to form part of any building,\nstructure or work arising from construction work;\n(ii) plant or materials (whether supplied by sale, hire or\notherwise) for use in connection with carrying out\nconstruction work; and\n(b) includes services of the following kind:\n(i) the provision of labour to carry out construction work;\n(ii) architectural, design, surveying or quantity surveying\nservices in relation to construction work;\n(iii) building, engineering, interior or exterior decoration or\nlandscape advisory services in relation to construction\nwork.\n(2) A regulation may provide that goods and services are, or are not,\nrelated goods and services for this Act.\n(3) In this Act, a reference to related goods and services includes a\nreference to related goods or services.\nDivision 2.2 Application of Act\n9 Application of Act\n(1) This Act applies to a construction contract—\n(a) whether written or oral, or partly written and partly oral; and\n(b) whether expressed to be governed by a law of the Territory or a\nlaw of another jurisdiction.\n\nImportant concepts Part 2\nApplication of Act Division 2.2\nSection 9\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 7\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(2) This Act does not apply to any of the following:\n(a) a construction contract that forms part of a loan agreement, a\ncontract of guarantee or a contract of insurance under which a\nrecognised financial institution undertakes—\n(i) to lend money or to repay money lent; or\n(ii) to guarantee payment of money owing or repayment of\nmoney lent; or\n(iii) to provide an indemnity in relation to construction work\ncarried out, or related goods and services supplied, under\nthe construction contract;\n(b) a construction contract for carrying out insurable residential\nbuilding work if a resident owner is a party to the contract, to\nthe extent that the contract relates to a building or part of a\nbuilding where the resident owner lives or intends to live;\n(c) a construction contract under which it is agreed that the\nconsideration payable for construction work carried out under\nthe contract, or for related goods and services supplied under the\ncontract, is to be worked out otherwise than by reference to the\nvalue of the work carried out or the value of the goods and\nservices supplied.\n(3) This Act does not apply to a construction contract to the extent to\nwhich it contains—\n(a) provisions under which a party undertakes to carry out\nconstruction work, or supply related goods and services, as an\nemployee of the party for whom the work is to be carried out or\nthe related goods and services are to be supplied; or\n(b) provisions under which a party undertakes to carry out\nconstruction work, or to supply related goods and services, as a\ncondition of a loan agreement with a recognised financial\ninstitution; or\n\nPart 2 Important concepts\nDivision 2.2 Application of Act\nSection 9\npage 8 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(c) provisions under which a party undertakes—\n(i) to lend money or to repay money lent; or\n(ii) to guarantee payment of money owing or repayment of\nmoney lent; or\n(iii) to provide an indemnity with respect to construction work\ncarried out, or related goods and services supplied, under\nthe construction contract.\n(4) This Act does not apply to a construction contract to the extent to\nwhich it deals with—\n(a) construction work carried out outside the ACT; or\n(b) related goods and services supplied in respect of construction\nwork carried out outside the ACT.\n(5) This Act does not apply to a construction contract prescribed by\nregulation.\n(6) To remove any doubt, this Act does not apply to a construction\ncontract entered into before the commencement of this part.\n(7) In this section:\nrecognised financial institution means a bank or any other person or\nbody prescribed by regulation.\ninsurable residential building work—see the Building Act 2004,\ndictionary.\nresident owner, in relation to a construction contract for carrying out\ninsurable residential building work, does not include a person who is\nor should be licensed as an owner-builder under the Construction\nOccupations (Licensing) Act 2004.\n\nRight to progress payments Part 3\nSection 10\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 9\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 3 Right to progress payments\n10 Right to progress payments\n(1) A person is entitled to a payment (a progress payment) if the person\nhas undertaken, under a construction contract, to—\n(a) carry out construction work; or\n(b) supply related goods and services.\n(2) A progress payment may include—\n(a) the final payment for construction work carried out, or for\nrelated goods and services supplied, under a construction\ncontract; or\n(b) a single or one-off payment for carrying out construction work,\nor for supplying related goods and services, under a construction\ncontract; or\n(c) a payment that is based on an event or date.\n11 Amount of progress payment\nThe amount of a progress payment to which a person is entitled in\nrelation to a construction contract is—\n(a) the amount worked out under the contract; or\n(b) if the contract does not provide for an amount, the amount\nworked out on the basis of the value of—\n(i) construction work carried out or undertaken to be carried\nout by the person under the contract; or\n(ii) related goods and services supplied or undertaken to be\nsupplied by the person under the contract.\n\nPart 3 Right to progress payments\nSection 12\npage 10 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n12 Valuation of construction work and related goods and\nservices\n(1) Construction work carried out or undertaken to be carried out under\na construction contract must be—\n(a) valued under the contract; or\n(b) if the contract does not provide for valuation—valued having\nregard to each of the following:\n(i) the contract price for the work;\n(ii) any other rates or prices set out in the contract;\n(iii) any variation agreed to by the parties to the contract by\nwhich the contract price, or any other rate or price set out\nin the contract, is to be adjusted by a stated amount;\n(iv) if any of the work is defective, the estimated cost of\nrectifying the defect.\n(2) Related goods and services supplied or undertaken to be supplied\nunder a construction contract must be—\n(a) valued under the contract; or\n(b) if the contract does not provide for valuation—valued having\nregard to each of the following:\n(i) the contract price for the goods and services;\n(ii) any other rates or prices set out in the contract;\n(iii) any variation agreed to by the parties to the contract by\nwhich the contract price, or any other rate or price set out\nin the contract, is to be adjusted by a stated amount;\n(iv) if any of the goods are defective, the estimated cost of\nrectifying the defect.\n\nRight to progress payments Part 3\nSection 13\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 11\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(3) For subsection (2) (b), for materials and components that are to form\npart of any building, structure or work arising from construction\nwork, the only materials and components to be included in the\nvaluation are those that have become, or, on payment, will become\nthe property of the party for whom the construction work is being\ncarried out.\n13 Due date for payment\n(1) A progress payment under a construction contract is payable on the\nearlier of the following:\n(a) 15 business days after a payment claim is given under part 4 in\nrelation to the payment;\n(b) the day when the payment becomes payable under the contract.\n(2) Interest is payable on the unpaid amount of a progress payment that\nis payable under subsection (1) at the greater of the following:\n(a) the rate of interest applying from time to time under the Court\nProcedures Rules 2006, schedule 2, part 2.2 (Interest after\njudgment);\n(b) the rate stated under the construction contract.\n(3) If a progress payment is payable under subsection (1), the claimant is\nentitled to exercise a lien in relation to the unpaid amount over any\nunfixed plant or materials supplied by the claimant for use in\nconnection with carrying out construction work for the respondent.\nNote 1 Claimant—see s 15.\nNote 2 Respondent—see s 15.\n(4) Any lien or charge over the unfixed plant or materials existing before\nthe date on which the progress payment becomes payable takes\npriority over a lien under subsection (3).\n(5) Subsection (3) does not create any right against a third party who is\nthe owner of the unfixed plant or materials.\n\nPart 3 Right to progress payments\nSection 14\npage 12 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n14 Effect of pay when paid provision\n(1) A pay when paid provision of a construction contract has no effect in\nrelation to any payment for—\n(a) construction work carried out or undertaken to be carried out\nunder the contract; or\n(b) related goods and services supplied or undertaken to be supplied\nunder the contract.\n(2) In this section:\nmoney owing, to a person under a construction contract, means\nmoney owing for—\n(a) construction work carried out or undertaken to be carried out by\nthe person under the contract; or\n(b) related goods and services supplied or undertaken to be supplied\nby the person under the contract.\npay when paid provision, of a construction contract, means a\nprovision of the contract—\n(a) that makes the liability of 1 party (the first party) to pay money\nowing to another party (the second party) contingent on\npayment to the first party by a further party (the third party) of\nthe whole or any part of that money; or\n(b) that makes the due date for payment of money owing by the first\nparty to the second party dependent on the date on which\npayment of the whole or any part of that money is made to the\nfirst party by the third party; or\n(c) that otherwise makes the liability to pay money owing, or the\ndue date for payment of money owing, contingent or dependent\non the operation of another contract.\n\nProcedure for recovering progress payment Part 4\nPayment claim and payment schedule Division 4.1\nSection 15\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 13\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 4 Procedure for recovering\nprogress payment\nDivision 4.1 Payment claim and payment schedule\n15 Payment claim\n(1) A person who is or who claims to be entitled to a progress payment\nunder section 10 (1) (the claimant) may give a claim (a payment\nclaim) to the person who, under the construction contract concerned,\nis or may be liable to make the payment (the respondent).\nNote For how documents may be served, see the Legislation Act, pt 19.5.\n(2) A payment claim must—\n(a) identify the construction work or related goods and services to\nwhich the progress payment relates; and\n(b) state the amount of the progress payment that the claimant\nclaims is payable (the claimed amount); and\n(c) state that it is made under this Act.\n(3) The claimed amount may include any amount—\n(a) that the respondent is liable to pay the claimant under\nsection 29 (3); or\n(b) that is held under the construction contract by the respondent\nand that the claimant claims is due for release.\n(4) A payment claim may be given on or after—\n(a) the last day of the calendar month in which the construction\nwork was first carried out, or the related goods and services were\nfirst supplied, under the contract and of each subsequent\ncalendar month; or\n\nPart 4 Procedure for recovering progress payment\nDivision 4.1 Payment claim and payment schedule\nSection 16\npage 14 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) if the construction contract provides for a payment claim to be\ngiven before the last day of a calendar month—the day provided\nunder the contract; or\n(c) if the construction contract has been terminated—the day of\ntermination.\n(5) However, a payment claim may be given only before the later of—\n(a) the end of the period worked out under the construction contract;\nand\n(b) the end of the period of 12 months after the construction work\nto which the claim relates was last carried out or the related\ngoods and services to which the claim relates were last supplied.\n(6) A claimant must not give more than 1 payment claim for each\ncalendar month, unless the construction contract provides for more\nthan 1 payment claim to be given in a calendar month.\n(7) Nothing in this section prevents the claimant from—\n(a) including more than 1 progress payment in a payment claim; or\n(b) including in a payment claim an amount that has been the subject\nof a previous claim; or\n(c) giving the respondent a payment claim in a particular calendar\nmonth for work carried out, or related goods and services\nsupplied, in an earlier calendar month.\n16 Payment schedule\n(1) A respondent who is given a payment claim may reply to the claim\nby giving a schedule of proposed payment (a payment schedule) to\nthe claimant.\nNote For how documents may be served, see the Legislation Act, pt 19.5.\n\nProcedure for recovering progress payment Part 4\nPayment claim and payment schedule Division 4.1\nSection 17\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 15\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(2) A payment schedule must—\n(a) identify the payment claim to which it relates; and\n(b) state the amount of the payment, if any, that the respondent\nproposes to make (the scheduled amount).\n(3) If the scheduled amount is less than the claimed amount, the schedule\nmust indicate—\n(a) why the scheduled amount is less; and\n(b) if the scheduled amount is less because the respondent is\nwithholding payment for any reason—the respondent's reasons\nfor withholding payment.\n(4) The respondent becomes liable to pay the claimed amount to the\nclaimant on the due date for the progress payment to which the\npayment claim relates if—\n(a) the claimant gives a payment claim to the respondent; and\n(b) the respondent does not provide a payment schedule to the\nclaimant within the earlier of—\n(i) the time required by the relevant construction contract; or\n(ii) 10 business days after the payment claim is given to the\nrespondent.\n17 Consequences of not paying claimant—no payment\nschedule\n(1) This section applies if a respondent—\n(a) becomes liable to pay a claimed amount to a claimant because\nthe respondent failed to provide a payment schedule to the\nclaimant within the time allowed under section 16 (4); and\n\nPart 4 Procedure for recovering progress payment\nDivision 4.1 Payment claim and payment schedule\nSection 17\npage 16 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) fails to pay the whole or any part of the claimed amount on or\nbefore the due date for the progress payment to which the\npayment claim relates.\n(2) The claimant—\n(a) may—\n(i) recover the unpaid portion of the claimed amount from the\nrespondent, as a debt due to the claimant, in any court of\ncompetent jurisdiction; or\n(ii) make an adjudication application under section 19 (1) (b)\nin relation to the payment claim; and\n(b) may give notice to the respondent of the claimant's intention,\nunder section 29, to suspend;\n(i) carrying out construction work under the construction\ncontract; or\n(ii) supplying related goods and services under the\nconstruction contract.\n(3) If the claimant starts a proceeding under subsection (2) (a) (i)—\n(a) the court must not enter judgment in favour of the claimant\nunless the court is satisfied the circumstances mentioned in\nsubsection (1) exist; and\n(b) the respondent is not entitled—\n(i) to bring a cross-claim against the claimant; or\n(ii) to raise a defence in relation to matters arising under the\nconstruction contract.\n\nProcedure for recovering progress payment Part 4\nPayment claim and payment schedule Division 4.1\nSection 18\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 17\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n18 Consequences of not paying claimant in accordance with\npayment schedule\n(1) This section applies if—\n(a) a claimant gives a payment claim to a respondent; and\n(b) the respondent provides a payment schedule to the claimant\nwithin the earlier of—\n(i) the time required by the relevant construction contract; or\n(ii) 10 business days after the payment claim is given to the\nrespondent; and\n(c) the payment schedule states a scheduled amount that the\nrespondent proposes to pay to the claimant; and\n(d) the respondent fails to pay the whole or any part of the scheduled\namount to the claimant on or before the due date for the progress\npayment to which the payment claim relates.\n(2) The claimant—\n(a) may—\n(i) recover the unpaid portion of the claimed amount from the\nrespondent, as a debt due to the claimant, in any court of\ncompetent jurisdiction; or\n(ii) make an adjudication application under section 19 (1) (a)\n(ii) in relation to the payment claim; and\n(b) may serve notice on the respondent of the claimant's intention,\nunder section 29, to suspend—\n(i) carrying out construction work under the construction\ncontract; or\n\nPart 4 Procedure for recovering progress payment\nDivision 4.2 Adjudication of disputes\nSection 19\npage 18 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(ii) supplying related goods and services under the\nconstruction contract.\nNote For how documents may be served, see the Legislation Act, pt 19.5.\n(3) The notice must state that it is made under this Act.\n(4) If the claimant starts a proceeding under subsection (2) (a) (i)—\n(a) the court must not enter judgment in favour of the claimant\nunless the court is satisfied the circumstances mentioned in\nsubsection (1) exist; and\n(b) the respondent is not entitled—\n(i) to bring any cross-claim against the claimant; or\n(ii) to raise any defence in relation to matters arising under the\nconstruction contract.\nDivision 4.2 Adjudication of disputes\n19 Adjudication applications\n(1) A claimant may apply to an authorised nominating authority, chosen\nby the claimant, for adjudication of a payment claim (an adjudication\napplication) if—\n(a) the respondent provides a payment schedule under this part,\nbut—\n(i) the scheduled amount indicated in the payment schedule is\nless than the claimed amount indicated in the payment\nclaim; or\n(ii) the respondent fails to pay the whole or any part of the\nscheduled amount to the claimant by the due date for\npayment of the amount; or\n\nProcedure for recovering progress payment Part 4\nAdjudication of disputes Division 4.2\nSection 19\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 19\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) the respondent fails—\n(i) to provide a payment schedule under this part within the\ntime allowed by section 16 (4); and\n(ii) to pay the whole, or any part of, the claimed amount to the\nclaimant by the due date.\n(2) An adjudication application to which subsection (1) (b) applies must\nnot be made unless—\n(a) the claimant has within 20 business days immediately following\nthe due date for payment, notified the respondent of the\nclaimant's intention to apply for adjudication of the payment\nclaim; and\n(b) the respondent had an opportunity to provide a payment\nschedule to the claimant within 5 business days after receiving\nthe claimant’s notice.\n(3) An adjudication application—\n(a) must be in writing; and\n(b) if the application is made under subsection (1) (a) (i)—must be\nmade within 10 business days after the claimant receives the\npayment schedule; and\n(c) if the application is made under subsection (1) (a) (ii)—must be\nmade within 20 business days after the due date for payment;\nand\n(d) if the application is made under subsection (1) (b)—must be\nmade within 10 business days after the earlier of—\n(i) the end of the 5-day period mentioned in subsection (2) (b);\nand\n(ii) the day the claimant receives the payment schedule; and\n\nPart 4 Procedure for recovering progress payment\nDivision 4.2 Adjudication of disputes\nSection 20\npage 20 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(e) if the authorised nominating authority has set an application\nfee—must be accompanied by the application fee; and\n(f) must identify the payment claim and any payment schedule to\nwhich it relates; and\n(g) may contain the submissions relevant to the application that the\nclaimant chooses to include.\n(4) The authorised nominating authority must refer the application to an\neligible adjudicator as soon as practicable.\nNote For eligibility for adjudicators, see s 20.\n20 Eligibility—adjudicators\n(1) A person is eligible to be an adjudicator for an adjudication\napplication if the person—\n(a) is an individual; and\n(b) has the qualifications, expertise and experience to perform\nadjudications; and\n(c) has successfully completed a relevant training course.\n(2) A person is not eligible to be an adjudicator for a construction\ncontract—\n(a) if the person is a party to the contract; or\n(b) if the person is employed by, or represents a building and\nconstruction industry organisation; or\n(c) in circumstances prescribed by regulation.\nExamples—building and construction industry organisation\n1 Housing Industry Association Limited (ACN 004 631 752)\n2 Master Builders Australia Incorporated (ABN 701 134 221 001)\n\nProcedure for recovering progress payment Part 4\nAdjudication of disputes Division 4.2\nSection 21\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 21\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n21 Adjudicator for application\n(1) If an authorised nominating authority refers an adjudication\napplication to an adjudicator, the adjudicator may give a notice of\nacceptance to the claimant and the respondent.\n(2) If an adjudicator gives a notice of acceptance under subsection (1),\nthe adjudicator must give the respondent a copy of the adjudication\napplication.\n(3) If an adjudicator gives a notice of acceptance under subsection (1),\nthe adjudicator is taken to be appointed as the adjudicator for the\nadjudication application from the later of—\n(a) the day the claimant receives the notice of acceptance; and\n(b) the day the respondent receives the notice of acceptance.\n22 Adjudication responses\n(1) A respondent may give an adjudicator a response to a claimant's\nadjudication application (the adjudication response) at any time\nbefore the later of—\n(a) 7 business days after the respondent receives a copy of the\napplication; or\n(b) 5 business days after receiving notice of the adjudicator’s\nacceptance of the application.\n(2) The adjudication response—\n(a) must be in writing; and\n(b) must identify the adjudication application to which it relates;\nand\n(c) may contain submissions relevant to the response.\n\nPart 4 Procedure for recovering progress payment\nDivision 4.2 Adjudication of disputes\nSection 23\npage 22 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(3) The respondent may give an adjudication response only if the\nrespondent has provided a payment schedule to the claimant within\nthe time mentioned in section 16 (4) or section 19 (2) (b).\n(4) The respondent must not include in the adjudication response any\nreasons for withholding payment unless those reasons have already\nbeen included in the payment schedule provided to the claimant.\n(5) A copy of the adjudication response must be given to the claimant not\nlater than 2 days after the response is given to the adjudicator.\nNote For how documents may be served, see the Legislation Act, pt 19.5.\n23 Adjudication procedures\n(1) The adjudicator for an adjudication application must not decide the\napplication until after the end of the period within which the\nrespondent may give an adjudication response.\n(2) The adjudicator must not consider an adjudication response unless the\nrespondent gives the response to the adjudicator within the time\nrequired by section 22.\n(3) The adjudicator must decide an adjudication application as soon as\npossible but not later than—\n(a) if the respondent is entitled to give an adjudication response\nunder section 22—10 business days after the earlier of—\n(i) the date on which the adjudicator receives the adjudication\nresponse; and\n(ii) the date on which the adjudication response is required to\nbe given to the adjudicator under section 22; or\n(b) if the respondent is not entitled to give an adjudication response\nunder section 22—10 business days after the respondent\nreceives a copy of the adjudication application; or\n\nProcedure for recovering progress payment Part 4\nAdjudication of disputes Division 4.2\nSection 24\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 23\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(c) if a further time is agreed between the claimant and the\nrespondent—the further time.\n(4) In a proceeding to decide an adjudication application, an\nadjudicator—\n(a) may ask for further written submissions from either party; and\n(b) if a further submission is lodged by a party—must allow the\nother party to comment on the submission; and\n(c) may set deadlines for further submissions and comments by the\nparties; and\n(d) may call a conference of the parties; and\n(e) may carry out an inspection of any matter related to the claim.\n(5) If the adjudicator calls a conference—\n(a) the conference must be conducted informally; and\n(b) the parties are not entitled to legal representation at the\nconference.\n(6) The adjudicator’s power to decide an adjudication application is not\naffected by the failure of a party—\n(a) to make a submission within time; or\n(b) to comment on a submission within time; or\n(c) to comply with the adjudicator’s call for a conference.\n24 Adjudicator’s decision\n(1) The adjudicator for an adjudication application must decide—\n(a) the amount of the progress payment, if any, to be paid by the\nrespondent to the claimant (the adjudicated amount); and\n(b) the day on which the amount became or becomes payable; and\n\nPart 4 Procedure for recovering progress payment\nDivision 4.2 Adjudication of disputes\nSection 24\npage 24 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(c) the rate of interest payable on the amount.\n(2) In deciding an adjudication application, the adjudicator must only\nconsider the following:\n(a) this Act;\n(b) the construction contract to which the application relates;\n(c) the payment claim to which the application relates, together with\nany submission, including relevant documentation, properly\nmade by the claimant in support of the claim;\n(d) the adjudication application;\n(e) the payment schedule, if any, to which the application relates,\ntogether with any submission, including relevant\ndocumentation, properly made by the respondent in support of\nthe schedule;\n(f) the adjudication response, if any;\n(g) the result of any inspection by the adjudicator of any matter\nrelated to the claim.\n(3) The adjudicator’s decision must—\n(a) be in writing; and\n(b) include the reasons for the decision, unless the claimant and the\nrespondent have both asked the adjudicator not to include the\nreasons in the decision.\n(4) If the adjudicator values construction work or related goods and\nservices under section 12, the adjudicator and any other adjudicator\nmust give the work, or the goods and services—\n(a) in a later adjudication involving the valuation of the work or of\nthe goods and services—the same value as the value decided by\nthe adjudicator; or\n\nProcedure for recovering progress payment Part 4\nAdjudication of disputes Division 4.2\nSection 25\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) if the claimant or respondent satisfies the adjudicator that the\nvalue of the work, or the goods and services, has changed since\nthe valuation—a different value to the value decided by the\nadjudicator.\n(5) The adjudicator may, on the adjudicator’s own initiative or on the\napplication of the claimant or the respondent, correct a decision for—\n(a) a clerical mistake or defect of form; or\n(b) a material miscalculation of figures or a material mistake in the\ndescription of any person, thing or matter mentioned in the\ndecision.\n25 Respondent must pay adjudicated amount\nIf an adjudicator decides that a respondent must pay an adjudicated\namount to a claimant, the respondent must pay the amount to the\nclaimant on or before—\n(a) the day 5 business days after the day the adjudicator’s decision\nis given to the respondent; or\n(b) if the adjudicator decides a later day under section 24 (1) (b)—\nthe later day.\n26 Failure to pay adjudicated amount\n(1) This section applies if—\n(a) an adjudicator decides that a respondent must pay an adjudicated\namount to a claimant; and\n(b) a respondent fails to pay the whole, or any part of, an adjudicated\namount to the claimant under section 25.\n\nPart 4 Procedure for recovering progress payment\nDivision 4.2 Adjudication of disputes\nSection 26\npage 26 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(2) The claimant may—\n(a) ask the authorised nominating authority to whom the\nadjudication application was made to provide an adjudication\ncertificate; and\n(b) give the respondent notice of the claimant's intention to suspend\ncarrying out construction work, or to suspend supplying related\ngoods and services, under the construction contract.\n(3) An adjudication certificate must state the following:\n(a) the name of the claimant;\n(b) the name of the respondent;\n(c) the adjudicated amount;\n(d) the day when payment of the adjudicated amount was required\nto be paid to the claimant;\n(e) if part of an adjudicated amount has been paid—the amount of\nthe part payment.\n(4) If an amount of interest payable on the adjudicated amount is not paid\nby the respondent, the claimant may ask the authorised nominating\nauthority to state the amount of interest payable in the adjudication\ncertificate.\n(5) An amount of interest stated in the adjudication certificate is added\nto, and becomes part of, the adjudicated amount.\n(6) If the claimant has paid the respondent's share of the adjudication fees\nfor the adjudication but has not been reimbursed by the respondent\nfor that amount (the unpaid share), the claimant may request the\nauthorised nominating authority to state the unpaid share in the\nadjudication certificate.\n(7) If an unpaid share is stated in the adjudication certificate, the unpaid\nshare is added to, and becomes part of, the adjudicated amount.\n\nProcedure for recovering progress payment Part 4\nAdjudication of disputes Division 4.2\nSection 27\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 27\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n27 Filing of adjudication certificate as judgment debt\n(1) An adjudication certificate may be filed as a judgment for a debt, and\nmay be enforced, in any court of competent jurisdiction.\n(2) The adjudication certificate must be accompanied by an affidavit by\nthe claimant stating the amount of the adjudicated amount that has\nnot been paid at the time the certificate is filed.\n(3) If the affidavit states that part of the adjudicated amount has been\npaid, the amount to be recovered is the unpaid part of the adjudicated\namount.\n(4) If the respondent starts a proceeding to have the judgment set aside,\nthe respondent—\n(a) is not, in the proceeding, entitled—\n(i) to bring any cross-claim against the claimant; or\n(ii) to raise any defence in relation to matters arising under the\nconstruction contract; or\n(iii) to challenge the adjudicator’s decision; and\n(b) is required to pay into the court as security the unpaid part of the\nadjudicated amount pending the final decision of the\nproceeding.\n28 Claimant may make new application in certain\ncircumstances\n(1) This section applies if—\n(a) a claimant fails to receive an adjudicator’s notice of acceptance\nof an adjudication application within 4 business days after the\napplication is made; or\n(b) an adjudicator who accepts an adjudication application fails to\ndecide the application within the time allowed by section 23 (3).\n\nPart 4 Procedure for recovering progress payment\nDivision 4.3 Claimant's right to suspend construction work\nSection 29\npage 28 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(2) The claimant may—\n(a) withdraw the application, by notice in writing served on the\nadjudicator or authorised nominating authority to whom the\napplication was made; and\n(b) make a new adjudication application under section 19.\n(3) Despite section 19 (3) (c), (d) and (e), a new adjudication application\nmay be made at any time within 5 business days after the day the\nclaimant becomes entitled to withdraw the previous adjudication\napplication under subsection (2).\n(4) This part applies to a new application mentioned in this section as if\nthe application were an application under section 19.\nDivision 4.3 Claimant's right to suspend\nconstruction work\n29 Claimant may suspend work\n(1) This section applies if a claimant gives notice to a respondent under\nsection 17, section 18 or section 26.\n(2) The claimant may suspend carrying out construction work or\nsupplying related goods and services under a construction contract\nduring the period—\n(a) starting 2 business days after the day the claimant gives the\nnotice to the respondent; and\n(b) ending 3 business days after the day the claimant receives the\namount payable by the respondent under section 17 (1),\nsection 18 (1) or section 25 (1).\n\nProcedure for recovering progress payment Part 4\nAuthorised nominating authorities and adjudicators Division 4.4\nSection 30\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 29\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(3) If the claimant, in exercising the right to suspend carrying out\nconstruction work or supplying related goods and services, incurs a\nloss or expense because the respondent removes any part of the work\nor supply from the contract, the respondent is liable to pay the\nclaimant the amount of the loss or expense.\n(4) A claimant who suspends construction work or the supply of related\ngoods and services under this section is not liable for loss or damage\nsuffered by the respondent, or by any person claiming through the\nrespondent, because the claimant did not carry out that work or supply\nthe goods and services, during the period of suspension.\nDivision 4.4 Authorised nominating authorities\nand adjudicators\n30 Maximum number of nominating authorities\n(1) The Minister may decide the maximum number of people that may\nbe authorised as a nominating authority.\n(2) A decision under subsection (1) is a notifiable instrument\n31 Application for nominating authority\n(1) A person may apply to the Minister to be authorised as a nominating\nauthority.\n(2) On an application for authorisation the Minister must—\n(a) authorise the applicant as a nominating authority if—\n(i) the applicant is suitable under section 32; and\n(ii) the maximum number of people have not been authorised;\nor\n(b) refuse to authorise the applicant as a nominating authority if—\n(i) the applicant is not suitable under section 32; or\n\nPart 4 Procedure for recovering progress payment\nDivision 4.4 Authorised nominating authorities and adjudicators\nSection 32\npage 30 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(ii) the maximum number of people have been authorised.\nNote A decision to refuse an application under s 31 (2) (b) (i) is a reviewable\ndecision (see pt 5).\n32 Nominating authority—suitability\n(1) In deciding whether an applicant is suitable the Minister must have\nregard to the following:\n(a) whether the applicant, or a person engaged or employed by the\napplicant, has been convicted, or found guilty, in the 5 years\nbefore the application is made, whether in the ACT or\nelsewhere, of an offence—\n(i) involving fraud or dishonesty; or\n(ii) punishable by imprisonment for at least 1 year;\n(b) whether the applicant is bankrupt or personally insolvent;\n(c) whether the applicant, or a person engaged or employed by the\napplicant, at any time in the 5 years before the application is\nmade, was involved in the management of a corporation when—\n(i) the corporation became the subject of a winding-up order;\nor\n(ii) a controller or administrator was appointed;\n(d) whether the applicant at any time in the 1 year before the\napplication is made had—\n(i) an authorisation to be a nominating authority cancelled,\nsuspended or withdrawn under this Act or under a\ncorresponding law; or\n(ii) been refused authorisation to be a nominating authority\nunder this Act or under a corresponding law;\n\nProcedure for recovering progress payment Part 4\nAuthorised nominating authorities and adjudicators Division 4.4\nSection 33\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 31\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(e) if the applicant represents the interests of a particular section of\nthe building and construction industry—whether the applicant’s\nrepresentation makes the applicant unsuitable to appoint\nadjudicators.\n(2) In this section:\ncorresponding law means a law of the Commonwealth or another\nState that provides for security of payments in the building and\nconstruction industry.\n33 Term of authorisation\n(1) An authorisation under this division is effective for 3 years starting\non the day the Minister gives the authorisation.\n(2) An authorised nominating authority may apply for renewal of the\nauthorisation.\n33A Suspension, cancellation or withdrawal of authorisation\n(1) The Minister may suspend for up to 12 months, or cancel, a\nnominating authority’s authorisation if the Minister is satisfied on\nreasonable grounds—\n(a) the nominating authority has contravened this Act; or\nNote 1 A reference to an Act includes a reference to statutory instruments\nmade or in force under the Act, including a regulation and any law\nor instrument applied, adopted or incorporated by the Act (see\nLegislation Act, s 104).\nNote 2 A reference to an entity includes a reference to a person exercising\na function of the entity (see Legislation Act, s 184A and dict, pt 1,\ndef entity).\n(b) the nominating authority is no longer suitable for authorisation,\nhaving regard to the matters listed in section 32 (1) (Nominating\nauthority—suitability).\n\nPart 4 Procedure for recovering progress payment\nDivision 4.4 Authorised nominating authorities and adjudicators\nSection 33A\npage 32 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(2) If the nominating authority has contravened this Act, before deciding\nto suspend or cancel a nominating authority’s authorisation, the\nMinister must have regard to—\n(a) the extent to which the nominating authority, or a person\nengaged or employed by the nominating authority, is\nresponsible for the contravention; and\n(b) the impact of the contravention on 1 or more of the following:\n(i) the rights or entitlements of a person under this Act;\n(ii) the integrity of the adjudication process under this Act;\n(iii) any adjudication process undertaken by the nominating\nauthority.\n(3) If the Minister is satisfied the nominating authority’s authorisation\nshould be suspended or cancelled, the Minister must, in writing—\n(a) tell the nominating authority that the Minister intends to suspend\nor cancel the authorisation; and\n(b) give the nominating authority reasons for the suspension or\ncancellation; and\n(c) give the nominating authority at least 14 days after the notice is\ngiven to the nominating authority to make representations to the\nMinister about the matter.\n(4) The Minister must consider any representations made by the\nnominating authority within the time set out in the notice before\nmaking a decision to suspend or cancel the nominating authority’s\nauthorisation.\n(5) The Minister may withdraw authorisation if the Minister is satisfied\non reasonable grounds that information given to the Minister by the\nnominating authority in relation to the nominating authority’s\nsuitability for authorisation was false or misleading.\n\nProcedure for recovering progress payment Part 4\nAuthorised nominating authorities and adjudicators Division 4.4\nSection 34\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 33\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n34 Costs and expenses—authorised nominating authority\n(1) The Minister may determine the maximum amount that an authorised\nnominating authority may charge for costs and expenses for any\nservice provided by the authority in relation to an adjudication\napplication.\n(2) An authorised nominating authority may charge costs and expenses—\n(a) if the Minister has made a determination under subsection (1)—\nup to the maximum amount for any service provided by the\nauthority in relation to an adjudication application; or\n(b) if the Minister has not made a determination under\nsubsection (1)—up to a reasonable amount having regard to the\nwork done and expenses incurred by the authorised nominating\nauthority.\n(3) The claimant and respondent are—\n(a) each liable to pay any costs and expenses charged by an\nauthorised nominating authority; and\n(b) each liable to contribute to the payment of any such costs and\nexpenses—\n(i) in equal proportions; or\n(ii) if the adjudicator decides a different proportion—the\nproportion decided.\n35 Report—authorised nominating authority\n(1) An authorised nominating authority must provide a report to the\nMinister on request.\n(2) A report must include the following:\n(a) the activities of the authorised nominating authority under the\nAct;\n\nPart 4 Procedure for recovering progress payment\nDivision 4.4 Authorised nominating authorities and adjudicators\nSection 36\npage 34 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) costs and expenses charged by the authorised nominating\nauthority for any service provided by the authority in relation to\nan adjudication application made to the authority;\n(c) any other information determined, in writing, by the Minister.\n(3) A determination under subsection (2) (c) is a notifiable instrument.\n36 Costs and expenses—adjudicator\n(1) An adjudicator is entitled to be paid for adjudicating an adjudication\napplication—\n(a) if an amount of costs and expenses is agreed between the\nadjudicator and the parties to the adjudication—the agreed\namount; or\n(b) if an amount of costs and expenses is not agreed—a reasonable\namount having regard to the work done and expenses incurred\nby the adjudicator.\n(2) The claimant and respondent are each liable to pay the adjudicator’s\ncosts and expenses.\n(3) The claimant and respondent are each liable to contribute to the\npayment of the adjudicator’s costs and expenses—\n(a) in equal proportions; or\n(b) if the adjudicator decides a different proportion—the proportion\ndecided.\n(4) An adjudicator is not entitled to be paid costs or expenses in relation\nto the adjudication of an adjudication application if the adjudicator\nfails to make a decision on the application within the time allowed by\nsection 23 (3).\n\nProcedure for recovering progress payment Part 4\nAuthorised nominating authorities and adjudicators Division 4.4\nSection 37\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 35\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(5) However, subsection (4) does not apply—\n(a) if the failure to make a decision is because the application is\nwithdrawn or the dispute between the claimant and respondent\nis resolved; or\n(b) if an adjudicator refuses to communicate the decision on an\nadjudication application until the fees and expenses are paid; or\n(c) in circumstances prescribed by regulation.\n37 Protection from liability—adjudicators and authorised\nnominating authorities\n(1) An adjudicator is not personally liable for anything done or omitted\nto be done honestly and without recklessness—\n(a) in exercising a function under this Act; or\n(b) in the reasonable belief that the act or omission was in the\nexercise of a function under this Act.\n(2) An authorised nominating authority, and a person exercising a\nfunction relating to the business affairs of an authorised nominating\nauthority under this Act, are not personally liable for anything done\nor omitted to be done honestly and without recklessness—\n(a) in exercising a function under this Act; or\n(b) in the reasonable belief that the act or omission was in the\nexercise of a function under this Act.\n37A Approval of codes of practice\n(1) The Minister may approve a code of practice for an authorised\nnominating authority.\n(2) An approved code of practice is a disallowable instrument.\n\nPart 4 Procedure for recovering progress payment\nDivision 4.5 General\nSection 37B\npage 36 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n37B Breach of code of practice\nA person commits an offence if the person—\n(a) is an authorised nominating authority; and\n(b) contravenes a code of practice applicable to the authorised\nnominating authority.\nMaximum penalty: 50 penalty units.\nDivision 4.5 General\n38 Effect of part on civil proceedings\n(1) Nothing in this part affects any right that a party to a construction\ncontract—\n(a) may have under the contract; or\n(b) may have under part 3 (Right to progress payments) in relation\nto the contract; or\n(c) may have apart from this Act for anything done or omitted to be\ndone under the contract.\n(2) Nothing done under this part affects any civil proceeding arising\nunder a construction contract, whether under this part or otherwise,\nexcept as provided by subsection (3).\n(3) In any proceeding before a court or tribunal in relation to any matter\narising under a construction contract, the court or tribunal—\n(a) must in any order or award it makes in the proceeding, take into\naccount any amount paid to a party to the contract under or for\nthe purposes of this part; and\n(b) may make the orders it considers appropriate for the restitution\nof any amount so paid, and any other orders it considers\nappropriate, having regard to its decision in the proceeding.\n\nNotification and review of decisions Part 5\nSection 39\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 37\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 5 Notification and review of\ndecisions\n39 Meaning of reviewable decision—pt 5\nIn this part:\nreviewable decision means a decision mentioned in schedule 1,\ncolumn 3 under a provision of this Act mentioned in column 2 in\nrelation to the decision.\n40 Reviewable decision notices\nIf a person makes a reviewable decision, the person must give a\nreviewable decision notice to each entity mentioned in schedule 1,\ncolumn 4 in relation to the decision.\nNote The person must also take reasonable steps to give a reviewable decision\nnotice to any other person whose interests are affected by the decision\n(see ACT Civil and Administrative Tribunal Act 2008, s 67A).\n41 Applications for review\nThe following may apply to the ACAT for review of a reviewable\ndecision:\n(a) an entity mentioned in schedule 1, column 4 in relation to the\ndecision;\n(b) any other person whose interests are affected by the decision.\n\nPart 6 Miscellaneous\nSection 42\npage 38 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nPart 6 Miscellaneous\n42 No contracting out\n(1) This Act has effect despite any provision in any contract, agreement\nor arrangement.\n(2) A provision of any contract, agreement or arrangement, whether in\nwriting or not, is void to the extent that it—\n(a) is inconsistent with this Act; and\n(b) purports to, or has the effect of excluding, modifying or\nrestricting the operation of this Act; and\n(c) may reasonably be construed as an attempt to deter a person\nfrom taking action under this Act.\n43 Judicial review of adjudication decision\n(1) Except as provided for in this part, a court does not have jurisdiction\nto set aside or remit an adjudication decision on the ground of error\nof fact or law on the face of the decision.\n(2) An appeal may be made to the Supreme Court on any question of law\narising out of an adjudication decision.\n(3) An appeal under subsection (2) may be brought by any of the parties\nto an adjudication decision—\n(a) with the consent of the parties to the decision; or\n(b) with the leave of the Supreme Court.\n(4) The Supreme Court must not grant leave under subsection (3) (b)\nunless it considers that—\n(a) having regard to all the circumstances, the determination of the\nquestion of law concerned could substantially affect the rights\nof 1 or more parties to the adjudication decision; and\n\nMiscellaneous Part 6\nSection 43\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 39\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n(b) there is—\n(i) a manifest error of law on the face of the adjudication\ndecision; or\n(ii) strong evidence that the adjudicator made an error of law\nand that the determination of the question may add, or may\nbe likely to add, substantially to the certainty of the law.\n(5) The Supreme Court may make any leave which it grants under\nsubsection (3) (b) subject to the applicant complying with any\nconditions it considers appropriate.\n(6) On the determination of an appeal under subsection (2) the Supreme\nCourt may by order—\n(a) confirm, amend or set aside the adjudication decision; or\n(b) remit the adjudication decision, together with the Supreme\nCourt’s opinion on the question of law which was the subject of\nthe appeal, to—\n(i) the adjudicator for reconsideration; or\n(ii) if a new adjudicator is appointed by the Supreme Court—\nto that adjudicator for consideration.\n(7) If an adjudication decision is remitted under subsection (6) (b) the\nadjudicator must make the new adjudication decision—\n(a) within 10 business days after the day the decision was remitted;\nor\n(b) within the time directed by the Supreme Court.\n(8) If the adjudication decision of an adjudicator is amended on an appeal\nunder subsection (2), the adjudication decision as amended has effect\nas if it were the adjudication decision of the adjudicator.\n\nPart 6 Miscellaneous\nSection 44\npage 40 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n44 Determination of question of law by Supreme Court\n(1) The Supreme Court has jurisdiction to determine any question of law\narising in an application to the court made by any of the parties to an\nadjudication decision—\n(a) with the consent of the adjudicator who made the decision; or\n(b) with the consent of the parties to the decision.\n(2) The Supreme Court must not consider a question of law under\nsubsection (1) (a) unless it is satisfied that—\n(a) the determination of the question might produce substantial\nsavings in costs to the parties; and\n(b) the question of law is one in respect of which leave to appeal\nwould be likely to be granted under section 43 (4).\n46 Determination of fees\n(1) The Minister may determine fees for this Act.\n(2) A determination is a disallowable instrument.\n48 Regulation-making power\n(1) The Executive may make regulations for this Act.\n(2) A regulation may prescribe offences for contraventions of a\nregulation and prescribe maximum penalties of not more than\n20 penalty units.\n\nReviewable decisions Schedule 1\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 41\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nSchedule 1 Reviewable decisions\n(see pt 5)\ncolumn 1\nitem\ncolumn 2\nsection\ncolumn 3\ndecision\ncolumn 4\nentity\n1 31 refuse to authorise nominating\nauthority\napplicant for authorisation\nas nominating authority\n2 33A (1) suspension or cancellation of\nauthorisation\nnominating authority\n3 33A (5) withdrawal of authorisation nominating authority\n\nDictionary\npage 42 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nDictionary\n(see s 3)\nNote 1 The Legislation Act contains definitions and other provisions relevant to\nthis Act.\nNote 2 For example, the Legislation Act, dict, pt 1, defines the following terms:\n• business day\n• calendar month\n• director-general (see s 163)\n• exercise\n• found guilty\n• function\n• law, of the Territory.\nadjudicated amount—see section 24.\nadjudication application—see section 19 (1).\nadjudication certificate means a certificate provided by an authorised\nnominating authority under section 26.\nadjudication response—see section 22 (1).\nauthorised nominating authority means a nominating authority\nauthorised by the Minister under section 31.\nbusiness day does not include 27, 28, 29, 30 or 31 December.\nclaimant—see section 15.\nclaimed amount—see section 15.\nconstruction contract means a contract or other arrangement under\nwhich one party undertakes to carry out construction work, or to\nsupply related goods and services, for another party.\nconstruction work—see section 7.\ndue date, for a progress payment, means the day the progress payment\nis payable under section 13.\n\nDictionary\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 43\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\npayment claim—see section 15 (1).\npayment schedule—see section 16 (1).\nprogress payment—see section 10 (1).\nrelated goods and services for construction work—see section 8 (1).\nrespondent—see section 15.\nreviewable decision, for part 5 (Notification and review of\ndecisions)—see section 39.\nscheduled amount—see section 16 (2).\n\nEndnotes\n1 About the endnotes\npage 44 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nEndnotes\n1 About the endnotes\nAmending and modifying laws are annotated in the legislation history and the\namendment history. Current modifications are not included in the republished law\nbut are set out in the endnotes.\nNot all editorial amendments made under the Legislation Act 2001, part 11.3 are\nannotated in the amendment history. Full details of any amendments can be\nobtained from the Parliamentary Counsel’s Office.\nUncommenced amending laws are not included in the republished law. The details\nof these laws are underlined in the legislation history. Uncommenced expiries are\nunderlined in the legislation history and amendment history.\nIf all the provisions of the law have been renumbered, a table of renumbered\nprovisions gives details of previous and current numbering.\nThe endnotes also include a table of earlier republications.\n2 Abbreviation key\nA = Act NI = Notifiable instrument\nAF = Approved form o = order\nam = amended om = omitted/repealed\namdt = amendment ord = ordinance\nAR = Assembly resolution orig = original\nch = chapter par = paragraph/subparagraph\nCN = Commencement notice pres = present\ndef = definition prev = previous\nDI = Disallowable instrument (prev...) = previously\ndict = dictionary pt = part\ndisallowed = disallowed by the Legislative r = rule/subrule\nAssembly reloc = relocated\ndiv = division renum = renumbered\nexp = expires/expired R[X] = Republication No\nGaz = gazette RI = reissue\nhdg = heading s = section/subsection\nIA = Interpretation Act 1967 sch = schedule\nins = inserted/added sdiv = subdivision\nLA = Legislation Act 2001 SL = Subordinate law\nLR = legislation register sub = substituted\nLRA = Legislation (Republication) Act 1996 underlining = whole or part not commenced\nmod = modified/modification or to be expired\n\nEndnotes\nLegislation history 3\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 45\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n3 Legislation history\nBuilding and Construction Industry (Security of Payment) Act 2009\nA2009-50\nnotified LR 26 November 2009\ns 1, s 2 commenced 26 November 2009 (LA s 75 (1))\nremainder commenced 1 July 2010 (s 2)\nas amended by\nAdministrative (One ACT Public Service Miscellaneous Amendments)\nAct 2011 A2011-22 sch 1 pt 1.18\nnotified LR 30 June 2011\ns 1, s 2 commenced 30 June 2011 (LA s 75 (1))\nsch 1 pt 1.18 commenced 1 July 2011 (s 2 (1))\nStatute Law Amendment Act 2014 (No 2) A2014-44 sch 3 pt 3.1\nnotified LR 5 November 2014\ns 1, s 2 commenced 5 November 2014 (LA s 75 (1))\nsch 3 pt 3.1 commenced 19 November 2014 (s 2)\nPlanning, Building and Environment Legislation Amendment\nAct 2016 (No 2) A2016-24 pt 3\nnotified LR 11 May 2016\ns 1, s 2 commenced 11 May 2016 (LA s 75 (1))\npt 3 commenced 12 May 2016 (s 2 (1))\nBuilding and Construction Legislation Amendment Act 2016\nA2016-44 pt 4\nnotified LR 19 August 2016\ns 1, s 2 commenced 19 August 2016 (LA s 75 (1))\ns 47 commenced 19 August 2017 (s 2 (3))\npt 4 remainder commenced 20 August 2016 (s 2 (1))\nStatute Law Amendment Act 2017 A2017-4 sch 3 pt 3.5\nnotified LR 23 February 2017\ns 1, s 2 commenced 23 February 2017 (LA s 75 (1))\nsch 3 pt 3.5 commenced 9 March 2017 (s 2)\n\nEndnotes\n3 Legislation history\npage 46 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nRoad Transport Reform (Light Rail) Legislation Amendment Act 2017\nA2017-21 sch 1 pt 1.1\nnotified LR 8 August 2017\ns 1, s 2 commenced 8 August 2017 (LA s 75 (1))\nsch 1 pt 1.1 commenced 15 August 2017 (s 2)\nStatute Law Amendment Act 2019 A2019-42 sch 3 pt 3.4\nnotified LR 31 October 2019\ns 1, s 2 commenced 31 October 2019 (LA s 75 (1))\nsch 3 pt 3.4 commenced 14 November 2019 (s 2 (1))\nBuilding and Construction Legislation Amendment Act 2019\nA2019-48 pt 4\nnotified LR 9 December 2019\ns 1, s 2 commenced 9 December 2019 (LA s 75 (1))\npt 4 commenced 10 December 2019 (s 2 (1))\nStatute Law Amendment Act 2021 A2021-12 sch 3 pt 3.3\nnotified LR 9 June 2021\ns 1, s 2 commenced 9 June 2021 (LA s 75 (1))\nsch 3 pt 3.3 commenced 23 June 2021 (s 2 (1))\nBuilding and Construction Legislation Amendment Act 2023\nA2023-55 pt 4\nnotified LR 11 December 2023\ns 1, s 2 commenced 11 December 2023 (LA s 75 (1))\ns 23 commenced 12 December 2023 (s 2 (4))\npt 4 remainder commenced 11 March 2024 (s 2 (2))\nStatute Law Amendment Act 2025 A2025-29 sch 4 pt 4.18\nnotified LR 6 November 2025\ns 1, s 2 commenced 6 November 2025 (LA s 75 (1))\nsch 4 pt 4.18 commenced 6 December 2025 (s 2 (5))\n\nEndnotes\nAmendment history 4\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 47\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n4 Amendment history\nCommencement\ns 2 om LA s 89 (4)\nMeaning of construction work\ns 7 am A2017-21 amdt 1.1, amdt 1.2; A2023-55 s 23\nApplication of Act\ns 9 am A2014-44 amdt 3.1, amdt 3.2; A2016-44 s 47\nRight to progress payments\ns 10 am A2014-44 amdt 3.3, amdt 3.4; A2023-55 ss 24-26\nDue date for payment\ns 13 am A2023-55 s 27\nPayment claim\ns 15 am A2014-44 amdt 3.5; A2021-12 amdt 3.5; A2023-55\nss 28-31; ss renum R13 LA\nPayment schedule\ns 16 am A2014-44 amdt 3.6; A2021-12 amdt 3.5\nConsequences of not paying claimant—no payment schedule\ns 17 am A2021-12 amdt 3.5\nConsequences of not paying claimant in accordance with payment schedule\ns 18 am A2014-44 amdt 3.7; A2019-42 amdt 3.5; A2021-12\namdt 3.5\nAdjudication applications\ns 19 am A2021-12 amdt 3.5\nAdjudicator for application\ns 21 am A2021-12 amdt 3.5\nAdjudication responses\ns 22 am A2021-12 amdt 3.5\nAdjudicator’s decision\ns 24 am A2017-4 amdt 3.12\nFailure to pay adjudicated amount\ns 26 am A2021-12 amdt 3.5\nMaximum number of nominating authorities\ns 30 am A2025-29 amdt 4.18\nApplication for nominating authority\ns 31 am A2021-12 amdt 3.5; A2025-29 amdt 4.18\n\nEndnotes\n4 Amendment history\npage 48 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nNominating authority—suitability\ns 32 am A2014-44 amdt 3.8\nSuspension, cancellation or withdrawal of authorisation\ns 33A ins A2016-24 s 6\nReport—authorised nominating authority\ns 35 am A2019-48 s 21; A2025-29 amdt 4.18\nCosts and expenses—adjudicator\ns 36 am A2017-4 amdt 3.13\nApproval of codes of practice\ns 37A ins A2016-44 s 48\nam A2025-29 amdt 4.18\nBreach of code of practice\ns 37B ins A2016-44 s 48\nReviewable decision notices\ns 40 am A2025-29 amdt 4.18\nApplications for review\ns 41 am A2025-29 amdt 4.18\nReview of Act\ns 45 om A2017-4 amdt 3.14\nDetermination of fees\ns 46 am A2014-44 amdt 3.9; A2025-29 amdt 4.18\nApproved forms\ns 47 am A2011-22 amdt 1.65; A2014-44 amdt 3.9\nom A2021-12 amdt 3.6\nRegulation-making power\ns 48 am A2025-29 amdt 4.18\nLegislation repealed\ns 49 om LA s 89 (3)\nLegislation Act 2001, schedule 1, part 1.1, item 10\ns 50 om LA s 89 (3)\nReviewable decisions\nsch 1 am A2016-24 s 7\n\nEndnotes\nAmendment history 4\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 49\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nDictionary\ndict am A2011-22 amdt 1.66; A2014-44 amdt 3.10; A2023-55 s 32\ndef corresponding law om A2014-44 amdt 3.11\ndef payment claim sub A2014-44 amdt 3.12\ndef payment schedule sub A2014-44 amdt 3.12\ndef recognised financial institution om A2014-44 amdt 3.13\ndef related goods and services sub A2014-44 amdt 3.14\n\nEndnotes\n5 Earlier republications\npage 50 Building and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\nR14\n06/12/25\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\n5 Earlier republications\nSome earlier republications were not numbered. The number in column 1 refers to\nthe publication order.\nSince 12 September 2001 every authorised republication has been published in\nelectronic pdf format on the ACT legislation register. A selection of authorised\nrepublications have also been published in printed format. These republications are\nmarked with an asterisk (*) in column 1. Electronic and printed versions of an\nauthorised republication are identical.\nRepublication\nNo and date\nEffective Last\namendment\nmade by\nRepublication\nfor\nR1\n1 July 2010\n1 July 2010–\n30 June 2011\nnot amended new Act\nR2\n1 July 2011\n1 July 2011–\n18 Nov 2014\nA2011-22 amendments by\nA2011-22\nR3\n19 Nov 2014\n19 Nov 2014–\n11 May 2016\nA2014-44 amendments by\nA2014-44\nR4\n12 May 2016\n12 May 2016–\n19 Aug 2016\nA2016-24 amendments by\nA2016-24\nR5\n20 Aug 2016\n20 Aug 2016–\n8 Mar 2017\nA2016-44 amendments by\nA2016-44\nR6\n9 Mar 2017\n9 Mar 2017–\n14 Aug 2017\nA2017-4 amendments by\nA2017-4\nR7\n15 Aug 2017\n15 Aug 2017–\n18 Aug 2017\nA2017-21 amendments by\nA2017-21\nR8\n19 Aug 2017\n19 Aug 2017–\n13 Nov 2019\nA2017-21 amendments by\nA2016-44\nR9\n14 Nov 2019\n14 Nov 2019–\n9 Dec 2019\nA2019-42 amendments by\nA2019-42\nR10\n10 Dec 2019\n10 Dec 2019–\n22 June 2021\nA2019-48 amendments by\nA2019-48\nR11\n21 June 2021\n23 June 2021–\n11 Dec 2023\nA2021-12 amendments by\nA2021-12\n\nEndnotes\nEarlier republications 5\nR14\n06/12/25\nBuilding and Construction Industry (Security of Payment)\nAct 2009\nEffective: 06/12/25\npage 51\nAuthorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au\nRepublication\nNo and date\nEffective Last\namendment\nmade by\nRepublication\nfor\nR12\n12 Dec 2023\n12 Dec 2023–\n10 Mar 2024\nA2023-55 amendments by\nA2023-55\nR13\n11 Mar 2024\n11 Mar 2024–\n5 Dec 2025\nA2023-55 amendments by\nA2023-55\n© Australian Capital Territory 2025","sortOrder":0}],"analysis":{"kimi_summary":{"_metrics":{"source":"grok-batch-everything"},"content_quality":"ok","complexity_score":8,"scope_assessment":{"changed":true,"description":"The original 2009 object (s 6) focused on creating an entitlement to and rapid recovery procedure for progress payments. Subsequent amendments have expanded the Act well beyond that core purpose by introducing a comprehensive licensing-style regime for nominating authorities (including suitability criteria, maximum numbers, suspension/cancellation powers, mandatory codes of practice and breach offences), formal ACAT review pathways (Part 5), explicit interest and lien rules, and tighter controls on adjudication timing and reasons. The legislation now functions as both a payment-recovery mechanism and an industry regulator."},"complexity_factors":["Extensive and nested definitions of 'construction work' (s 7) and 'related goods and services' (s 8) containing multiple inclusions, examples, exclusions and regulation-making powers","Multi-layered adjudication process in Part 4 with strict timelines, conditional pathways (ss 15-28), and restrictions on what an adjudicator may consider (s 24(2))","Layered exceptions to application of the Act in s 9(2)-(5) that cross-reference other statutes such as the Building Act 2004","Detailed regulatory regime for authorised nominating authorities (ss 30-37B) including suitability tests, codes of practice, reporting obligations and offence provisions","Interplay between court enforcement, judicial review limits (s 43), Supreme Court appeals on questions of law (ss 43-44) and preservation of other rights (s 38)"],"plain_english_summary":"**This law helps people in the building industry get paid on time for their work.**\n\nIt gives anyone who does construction work (like building, repairing, or maintaining structures, roads, or installations) or supplies related materials and services the automatic right to regular 'progress payments' as a job moves along. Even if a contract doesn't mention payments, the law creates this right and sets rules for working out how much is owed.\n\nIf a payment is late or disputed, the law sets up a fast-track system: the person owed money sends a formal claim, the other side can respond with a payment schedule explaining any disagreements, and if they can't agree an independent adjudicator decides the matter within tight time limits (usually 10 business days). The decision can be enforced like a court judgment.\n\nIt applies to most construction contracts in the ACT whether written or oral, but excludes things like home-owner residential work where the owner lives in the house, certain bank loans or insurance deals, and work done outside the Territory. The goal is to stop cash-flow problems that can bankrupt small builders and stall projects. It also regulates the organisations that appoint adjudicators and protects adjudicators from being sued for honest decisions."},"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"The Act’s core object—creating an entitlement to progress payments and a recovery procedure—remains (s 6; s 10). However, later provisions and amendments included in this republication adjust operational scope and administrative settings: they add detailed timeframes for claims and adjudication (ss 16, 23), expand Ministerial and regulatory powers over authorised nominating authorities and fees (ss 30, 34, 46), introduce codes of practice and penalties for breaches (ss 37A–37B), and set limits on judicial review (s 43). Those changes alter how the original entitlement is implemented (procedural reach, administrative gatekeeping and cost allocation) while leaving the Act’s substantive coverage focused on progress payments (s 9 clarifies application and exclusions)."},"complexity_factors":["Multiple interlocking procedures and tight statutory time limits (payment claim → payment schedule 10 business days → adjudication timelines) (ss 15–16, 22–23).","Adjudication mechanism with specialised actors (authorised nominating authorities and adjudicators) requiring training and authorisation (ss 19–21, 20, 31).","Ministerial discretions affecting authorisation numbers, fees and codes of practice (ss 30, 34(1), 37A, 46), which shape operational detail outside the core civil rules.","Concurrent enforcement routes and constraints on judicial review (fast adjudication plus ability to file certificate as judgment; narrow grounds for court set-aside) (ss 25–27, 43–44).","Valuation rules and exceptions for construction work and related goods/services that require factual assessments (s 12).","Multiple fee and cost-allocation rules that assign shared liability for administrative and adjudication costs (ss 34–36).","Remedies that affect project performance (statutory suspension right, lien over unfixed plant and materials) (s 13, s 29).","Regulation and offence-making powers that can alter coverage and penalties (ss 48, 37B)."],"plain_english_summary":"What this law does (mechanically)\n\n- Creates a statutory right to be paid for construction work or related goods and services (a “progress payment”) and sets out how to calculate the amount (ss 6, 10–12).\n- Sets the due date and interest rules for progress payments, and grants a limited lien over unfixed plant and materials until payment (s 13).\n- Renders “pay when paid” clauses ineffective for these payments (s 14).\n- Establishes a step-by-step recovery process: a claimant issues a payment claim (s 15); the respondent must reply with a payment schedule within the contract time or 10 business days (s 16); failure to schedule or to pay triggers remedies (ss 17–18).\n- Provides a fast adjudication route for disputed claims: claimants can apply to an authorised nominating authority for an adjudicator, who must follow strict time limits and decide the amount, payable date and interest (pts 4 div 2; ss 19, 21–25).\n- If the adjudicator decides in the claimant’s favour, the respondent must pay within 5 business days (or on a later date the adjudicator sets); unpaid adjudicated amounts can be certified and filed as a judgment debt (ss 25–27).\n- Gives claimants a statutory right to suspend work or supplies after giving notice if payments remain unpaid (s 29).\n- Provides for authorised nominating authorities and standards for adjudicators, including Ministerial authorisation, reporting and fee controls (ss 30–36, 37A–37B).\n- Limits judicial intervention in adjudication decisions to questions of law and sets the Supreme Court appeal/leave framework (ss 43–44).\n- Prevents contracting out of the Act (a provision inconsistent with the Act is void to that extent) and allows the Executive to make regulations and the Minister to set fees (ss 42, 46, 48).\n\nWhy it matters (official rationale and practical effects)\n\n- The Act’s stated object is to ensure people who undertake construction work or supply related goods and services can obtain and recover progress payments (s 6). The law implements that object by creating an independent statutory entitlement (s 10) and a relatively quick administrative enforcement path (payment claim → schedule → adjudication → certificate → judgment) rather than requiring parties always to litigate in court (pts 3–4).\n\nTesting the official purpose against costs, incentives and trade-offs\n\n- Who pays: the respondent (the party liable under the contract) must pay claimed or adjudicated amounts (ss 15, 25). Both parties share costs for the nominating authority and adjudicator unless the adjudicator decides otherwise (ss 34(3), 36(2)–(3)). Section references: ss 15, 25, 34, 36.\n\n- Who decides: adjudicators decide entitlements under tight statutory boundaries (s 24) and are appointed through authorised nominating authorities under Ministerial authorisation (ss 20–21, 30–31). Ministerial choices therefore shape the pool of nominating authorities (s 30) and, indirectly, the supply of adjudicators. Section references: ss 20–21, 30–31.\n\n- Compliance burden and timing pressure: respondents must produce a payment schedule within the earlier of the contract timetable or 10 business days (s 16(4)); adjudicators must decide within 10 business days subject to limited extensions (s 23(3)). These short timeframes compress commercial decision-making and documentation needs. Section references: ss 16, 23.\n\n- Enforcement mechanics and incentives: the Act creates quick enforcement (adjudication certificate can be filed as a judgment—s 27) and a right to suspend work (s 29). Those mechanisms increase the claimant’s leverage to obtain cash quickly but also create risks for respondents and for project continuity. Section references: ss 27, 29.\n\n- Transaction costs and fee allocation: the statute requires both claimant and respondent to contribute to nominating authority and adjudicator costs and allows the Minister to cap nominating authority fees (ss 34–36). Parties therefore bear administrative and adjudicator fees in addition to the underlying payment dispute. Section references: ss 34–36.\n\n- Limits on judicial review and legal certainty: the Act narrows judicial interference in adjudication outcomes to questions of law and imposes leave requirements (s 43). That reduces the scope for re-litigating factual disputes in court but retains a legal-check mechanism for errors of law. Section references: s 43.\n\n- Administrative discretion and implementation risks: the Minister can set the maximum number of authorised nominating authorities (s 30), determine fees (s 46), approve codes of practice (s 37A) and suspend or cancel authorisations (s 33A). These powers concentrate administrative control over the adjudication infrastructure, affecting availability, cost and governance of adjudication services. Implementation depends on having suitably trained adjudicators and authorised bodies (s 20). Section references: ss 30, 33A, 37A, 46, 20.\n\nEffects on private choice, markets and contracting\n\n- The Act overrides contractual allocations of payment risk that conflict with its provisions (s 42) and voids pay-when-paid clauses for covered payments (s 14). That changes how parties can allocate cashflow risk through contract terms and affects subcontracting and upstream-downstream risk management. Section references: ss 42, 14.\n\n- The statutory adjudication path is designed to be faster than court litigation (ss 19–25). Firms may choose adjudication for speed and cashflow certainty rather than longer court processes, but they will incur adjudication and nominating-authority fees and must operate within short procedural windows. Section references: ss 19–25, 34–36.\n\nConcentrated benefits, diffuse costs and possible substitution effects\n\n- Beneficiaries: claimants (contractors, subcontractors, suppliers) gain a statutory, fast enforcement route and a suspension right (ss 10, 25, 29). The benefit is concentrated on those seeking payment. Section references: ss 10, 25, 29.\n\n- Costs: respondents, and indirectly project owners or principals, may face quicker enforcement, the obligation to share dispute costs, and potential project disruption from suspensions (ss 16, 34, 36, 29). Fees and the availability of authorised nominating authorities affect the absolute cost and speed of the process (ss 30, 34, 36). Section references: ss 16, 29, 30, 34, 36.\n\n- Substitution: parties may substitute adjudication for court litigation for payment disputes because adjudication is time-limited and directly enforceable as a judgment (ss 23, 27). Section references: ss 23, 27.\n\nTrade-offs and opportunity costs\n\n- Speed versus finality: the Act prioritises quick interim resolution and cashflow (adjudicator time limits, s 23) at the cost of restricting immediate full judicial review (s 43). Parties retain court routes, but those may be slower and subject to security-for-judgment requirements if a respondent seeks to set aside a judgment (s 27(4)). Section references: ss 23, 43, 27(4).\n\n- Administrative control versus market supply of dispute services: allowing the Minister to cap authorised nominating authority numbers and set fees (ss 30, 34, 46) aims to regulate adjudication services but may affect competition and capacity for appointing adjudicators. Section references: ss 30, 34, 46.\n\nImplementation risks and practical points to watch\n\n- Availability of authorised nominating authorities and trained adjudicators (s 20, ss 30–31).\n- Parties meeting tight procedural deadlines (s 16, s 22, s 23).\n- Fee levels and cost-sharing arrangements (ss 34–36, s 46).\n- Interaction between suspension rights and project continuity (s 29).\n- Ministerial and regulatory settings (s 30, s 37A, s 48) that shape how the statutory regime operates in practice.\n\nKey sections referenced: ss 6, 10–15, 16–19, 21–29, 30–37A, 42–46, 48."}},"importantCases":[],"_links":{"self":"/api/acts/building-and-construction-industry-security-of-payment-act-2009","history":"/api/acts/building-and-construction-industry-security-of-payment-act-2009/history","analysis":"/api/acts/building-and-construction-industry-security-of-payment-act-2009/analysis","conflicts":"/api/acts/building-and-construction-industry-security-of-payment-act-2009/conflicts","importantCases":"/api/acts/building-and-construction-industry-security-of-payment-act-2009/important-cases","documents":"/api/acts/building-and-construction-industry-security-of-payment-act-2009/documents"}}