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ARTICLE · 09 JUNE 2020

Does A Non-compliant Supporting Statement Invalidate A Payment Claim Served In NSW?

Johnson Winter & Slattery
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The Court of Appeal has now in TFM Epping Land Pty Ltd v Decon Australia Pty Ltd [2020] NSWCA 93 clarified that a non-compliant supporting statement by a head contractor under s13(7) of the Building and Construction Industry Security ...

AustraliaCorporate/Commercial Law
Avendra Singh
Avendra Singh
Jennifer Boutros
Jennifer Boutros
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The Court of Appeal has now in TFM Epping Land Pty Ltd v Decon Australia Pty Ltd [2020] NSWCA 93 clarified that a non-compliant supporting statement by a head contractor under s13(7) of the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOPA) will not invalidate a payment claim or render ineffective service of a payment claim under the SOPA. Prior to this there were conflicting decisions of Justice Ball in Central Projects1  (that there was no invalidation) and Justice McDougal in Kitchen Xchange2 (that the payment claim was invalidated). The decision of Justice McDougal was subsequently followed in Kyle Bay3 and Duffy Kennedy4.

Relevantly, section 13(7) of the SOPA provides:

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