The Adjudication Process

What is adjudication?

In 2004, the Queensland government established the Building and Construction Industry Payments Act (the Act), a copy may be obtained at legislation.qld.gov.au which provides a process for resolving payment disputes for work done under building and construction contracts. The Building and Construction Industry Payments Agency (BCIPA) oversees the administration of this process. For further information on BCIPA please refer to: bcipa.qld.gov.au.

Under these laws persons who have provided work, goods or services in the construction industry can require the party responsible to make payment on account. If there is a dispute over such payment, this adjudication process provides a speedy method of resolving such a dispute.

Parties who have a dispute over payment can lodge an adjudication application with an Authorised Nominating Authority (ANA). The ANA nominates an Adjudicator to determine the payment dispute. The Adjudicator is an independent and qualified person who has been registered as an Adjudicator by the BCIPA.

Queensland Law Society is an Authorised Nominating Authority (ANA).

The adjudication process in a nutshell

A simplified summary of the process is:

  • The person seeking payment for work done or supplying related good and services (claimant) delivers a payment claim to the person whom they have contracted (respondent). Nb: all references to “person” includes a reference to a corporation as well as an individual.
  • The respondent may deliver a response known as a payment schedule to the claimant within 10 business days.
  • If a payment schedule is not delivered and payment is not received by the due date, the claimant may choose to go to court for a judgment for payment of the claimed amount or apply for adjudication. Before applying for adjudication, the claimant must serve a notice on the respondent stating that the claimant intends to apply for adjudication and advising the respondent that they have 5 business days to provide a payment schedule (the respondent has a second chance to provide a payment schedule).
  • If a payment schedule is delivered but the respondent does not agree to pay the whole amount or agrees but fails to make payment, the claimant can apply to an ANA for adjudication.
  • Once the adjudicator accepts the application, they must provide a decision within 10 business days unless the parties agree to an extension.
  • The adjudicator’s decision is made available upon payment of the adjudicator’s fees.
  • If it is decided that the respondent must pay the claimant and still fails to do so, the claimant can obtain an adjudication certificate from the ANA which can be filed in court and enforced like a judgment.

Why use Queensland Law Society ANA?

Queensland Law Society ANA:

  • has no application fee for claims under $50 000.00.
  • is a completely independent organisation
  • has experienced staff who may assist you in your initial enquiries and will process the application quickly and efficiently
  • can provide a list of experienced solicitors who may assist you with your application
  • has highly experienced and accredited Adjudicators with over 10 years legal and construction experience
  • can provide forms which you can use for the adjudication application and response.

Queensland Law Society ANA cannot and does not give legal advice on any aspects of the dispute or of your chances of success, guarantee that you have complied with the provisions of the Act or that your application will not fail on technical grounds.

For any further queries please contact:

Email dmc@qls.com.au
Phone 3842 5914
Fax 3220 0616