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New South Wales Returns Fire in the Security of Payment Wars - Aug 2018

Over 1½ years since John Murray was appointed by the Commonwealth Department of Employment to undertake a review of the security of payment laws across Australia, the New South Wales Government is pressing ahead, alone, with changes to its east coast model for security of payment. 

The proposed changes are set out in a recently released public consultation draft of the Building & Construction Industry Security of Payment Amendment Bill 2018 (Exposure Draft).  Some of the changes seem consistent with recommendations in the Murray Report, others not so, or cover ground not the subject of Murray report recommendations.

Tripartite subcontracts: The new road block to subcontractor cash-flow? - Jul 2018

A full investigation may reveal that to be the case (and therefore liable to be held a void as an attempt to contract out of the Act), but do you really want to be the one put to the expense of demonstrating that, on the balance of probabilities, to the Supreme Court? It is well understood that the security of payment regime is by far the fastest, cheapest and most efficient method for contractors to secure payment of their progress claims.  Whether the respondent is disputing the claim, or just tardy in its payment behaviour, the 'pay now argue later' legislation, while technical, is typically an effective express lane to securing payment.

Security of Payment in Queensland - The changes are on your doorstep... - May 2018

Come 1 July 2018, Queensland will see the repeal of the Building and Construction Industry Payments Act 2004 (Qld) and the Subcontractors' Charges Act 1974 (Qld). Instead, Queensland will operate under a single consolidated piece of security of payment legislation called the Building Industry Fairness (Security of Payment) Act (BIF).
 

Security of Payment : Ready for the BIF to start? - Feb 2018

Since the assent of the Building Industry Fairness (Security of Payments) Act 2017 (BIF) on 10 November 2017, there has been no word from the Queensland Government as to the commencement of the security of payment provisions.  Implementation should be expected to start any day now.  As the Project Bank Account[i] provisions will be implemented on 1 March 2018, it is reasonable to expect that the security of payment provisions may be proclaimed on 1 March 2018.  Principals, contractors, subcontractors and suppliers should ask themselves: Am I ready for the BIF

Security of Payment and Factoring. Not so Fast! - Dec 2017

The security of payment regime is by far the fastest, cheapest and most efficient method for contractors to secure payment of their progress claims.  Whether the respondent is disputing the claim, or just tardy in its payment behaviour, the pay now argue later approach is a very popular express lane to payment.  However this week the NSW Court of Appeal has slowed that traffic, rolling out a virtual tyre shredder for contractors that have factored their debts.  

Robert Riddell, Partner and Daniel Fitzpatrick, Special Counsel discuss the decision of the NSW Court of Appeal. 

High Court confirms that permits are mandatory for union officials attending construction sites - Dec 2017

The High Court of Australia has recently rejected an application for special leave from the Full Federal Court decision in Australian Building and Construction Commissioner v Powell [2017] FCAFC 89, confirming the blanket requirement for a union official exercising access rights under health and safety legislation to hold a permit.

Megan Calder, Partner, and Alexander Marcou, Lawyer, discuss the decision of the High Court. 

Other States and the Commonwealth’s response to 'non conforming building products' - Dec 2017

Following Melbourne’s Lacrosse and London’s Grenfell Tower fires, the Federal and State Government have taken various steps to address the use of non-compliant building products across Australia.

In November 2017, Piper Alderman released a publication entitled ‘A New Month, A New ‘Non-Conforming Building Products’ in Queensland (see link here). 

Pei Yau, Senior Associate now discusses the recent updates nationally.

What? You’re Insolvent? That’s fine, just keep working. - Dec 2017

From 1 July 2018, reforms to the Corporations Act 2001 (Cth) (the Act) will become effective including the addition of safe harbour laws and protections against ipso facto clauses.  

The introduction of the new provisions in the Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Act 2017 (Cth) provides some safeguards to directors who attempt to ‘trade out’ of financial trouble without the threat of being personally liable for insolvent trading arising from debts incurred in attempting to do so or its trading contracts being terminated because an insolvency event has been triggered.

Megan Calder, Partner and Jeremy Chan, Lawyer discuss below.

Project Bank Accounts – What Lies Ahead - Dec 2017

The new Building Industry Fairness (Security of Payment) Bill 2017 (Qld) was assented to on 10 November 2017, which will see the introduction of project bank accounts (PBAs) into the Queensland construction industry.  As the project bank account provisions will be trialled from 1 January 2018, contractors, at least those involved in State Government projects, should familiarise themselves with the relevant provisions.

Ted Williams, Partner, Andrew MacGillivray, Senior Associate and Denise Burloff, Law Graduate discuss the PBA provisions contained in Chapter 2 of the new Building Industry Fairness (Security of Payment) Act (‘BIF Act’).

One provision to void them all: the shadow life of section 34 - Dec 2017

Robert Riddell, Partner and Daniel Fitzpatrick, Special Counsel discuss the provisions in Section 34 of the Building and Construction Industry Security of Payment Act 1999.

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