sec.97BHigher party may be required to retain amount owed to respondent

### sec.97B Higher party may be required to retain amount owed to respondent This section applies if— an adjudicator decides that a respondent is required to pay an adjudicated amount to a claimant under section 88 ; and the respondent has not paid the adjudicated amount to the claimant as required under section 90 . The claimant may, using an approved form, require a higher party for the adjudicated amount to retain a sufficient amount to cover payment of the adjudicated amount out of a related amount payable to the respondent (a payment withholding request ). However, the claimant may not give a payment withholding request to a higher party, for the adjudicated amount, that is a resident owner. The related amount payable to the respondent is the amount that is or becomes payable by the higher party to the respondent under an arrangement for— the construction work to which the adjudicated amount relates; or the supply of related goods and services to which the adjudicated amount relates. The claimant must give a copy of the payment withholding request to the respondent at the same time it gives the request to the higher party. Maximum penalty—50 penalty units. A person who is given a payment withholding request must, if the person is not the higher party for the adjudicated amount, give notice to the claimant about not being a higher party within 5 business days after receiving the request. A person may no longer be a higher party as a result of paying all amounts owed by the party to the respondent before being given the payment withholding request. Maximum penalty—50 penalty units. In this section— resident owner see section 61 (5) . s 97B ins 2020 No. 24 s 73 (sec.97B-ssec.1) This section applies if— an adjudicator decides that a respondent is required to pay an adjudicated amount to a claimant under section 88 ; and the respondent has not paid the adjudicated amount to the claimant as required under section 90 . (sec.97B-ssec.2) The claimant may, using an approved form, require a higher party for the adjudicated amount to retain a sufficient amount to cover payment of the adjudicated amount out of a related amount payable to the respondent (a payment withholding request ). (sec.97B-ssec.2A) However, the claimant may not give a payment withholding request to a higher party, for the adjudicated amount, that is a resident owner. (sec.97B-ssec.3) The related amount payable to the respondent is the amount that is or becomes payable by the higher party to the respondent under an arrangement for— the construction work to which the adjudicated amount relates; or the supply of related goods and services to which the adjudicated amount relates. (sec.97B-ssec.4) The claimant must give a copy of the payment withholding request to the respondent at the same time it gives the request to the higher party. Maximum penalty—50 penalty units. (sec.97B-ssec.5) A person who is given a payment withholding request must, if the person is not the higher party for the adjudicated amount, give notice to the claimant about not being a higher party within 5 business days after receiving the request. A person may no longer be a higher party as a result of paying all amounts owed by the party to the respondent before being given the payment withholding request. Maximum penalty—50 penalty units. (sec.97B-ssec.6) In this section— resident owner see section 61 (5) . - (a) an adjudicator decides that a respondent is required to pay an adjudicated amount to a claimant under section 88 ; and - (b) the respondent has not paid the adjudicated amount to the claimant as required under section 90 . - (a) the construction work to which the adjudicated amount relates; or - (b) the supply of related goods and services to which the adjudicated amount relates.