Are you BIF3 ready?
17 December 2018 … is D-day!
Chapter 3 of the Building Industry Fairness (Security of Payment) Act 2017 (and Chapters 4 and 5) will commence operation on Monday, 17 December 2018 … in 2 weeks time!
From that day:-
- there is no more BCIPA;
- there is no more BCIPA notation;
- ALL invoices are payment claims; and
- you MUST respond in accordance with the Act … or pay.
What you MUST do
Respond – you MUST give a Payment Schedule in the earlier of:-
- the time provided for in your contract for responding to a payment claim; or
- 15 business days from when the payment claim was given; OR
Pay - the full amount payment claim by the due date for payment.
Consequences - 100 penalty units fine or QBCC disciplinary reaction
- 100% liability for full amount of the payment claim
How you should prepare
Review your contracts:-
1. what is the reference date – the date that the contract says a claim for payment can be made?
If no contract or the contract is silent – last day of the month for each month work is done;
2. when must you respond – the time in the contract OR 15 business days;
3. what is the due date for payment – when must you pay?
Do your contracts need to be reviewed?
If you or someone you know wants more information or needs help or advice, please contact Brendan on (07) 5443 4866 or email firstname.lastname@example.org.
(07) 5443 4866