Victorian Consolidated Legislation

Building and Construction Industry Security of Payment Act 2002 - SECT 9

PART 2 RIGHTS TO PROGRESS PAYMENTS

Rights to progress payments

9. Rights to progress payments



(1) On and from each reference date under a construction contract, a person-

   (a)  who has undertaken to carry out construction work under the contract;
        or

   (b)  who has undertaken to supply related goods and services under the
        contract-

is entitled to a progress payment under this Act, calculated by reference to
that date.

(2) In this section, reference date, in relation to a construction contract,
means-

   (a)  a date determined by or in accordance with the terms of the contract
        as-

   (i)  a date on which a claim for a progress payment may be made; or

   (ii) a date by reference to which the amount of a progress payment is to be
        calculated- in relation to a specific item of construction work
        carried out or to be carried out or a specific item of related goods
        and services supplied or to be supplied under the contract; or

   (b)  subject to paragraphs (c) and (d), if the contract makes no express
        provision with respect to the matter, the date occurring 20 business
        days after the previous reference date or (in the case of the first
        reference date) the date occurring 20 business days after-

   (i)  construction work was first carried out under the contract; or

   (ii) related goods and services were first supplied under the contract; or

   (c)  in the case of a single or one-off payment, if the contract makes no
        express provision with respect to the matter, the date immediately
        following the day that-

   (i)  construction work was last carried out under the contract; or

   (ii) related goods and services were last supplied under the contract; or

   (d)  in the case of a final payment, if the contract makes no express
        provision with respect to the matter, the date immediately following-

   (i)  the expiry of any period provided in the contract for the
        rectification of defects or omissions in the construction work carried
        out under the contract or in related goods and services supplied under
        the contract, unless subparagraph (ii) applies; or

   (ii) the issue under the contract of a certificate specifying the final
        amount payable under the contract a final certificate; or

   (iii) if neither subparagraph (i) nor subparagraph (ii) applies, the day
        that-

                (A)  construction work was last carried out under the
                     contract; or

                (B)  related goods and services were last supplied under the
                     contract.