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ARTICLE · 06 SEPTEMBER 2018

A simple BCIPA rule – one payment claim, one building contract, one adjudication application

Where possible, building contractors should avoid multiple contracts, principals or arrangements on the same project.

AustraliaReal Estate and Construction

An established principle under the Building and Construction Industry Payments Act 2004 (BCIPA), and similar legislation in other states is that "there can only be one adjudication application for any particular payment claim for any particular contract" 1. Payment claims which include claims for work performed under separate contracts are invalid and can never be the foundation of a valid adjudication application 2. These principles were recently applied in the NSW case of Trinco 3 affirming the earlier Queensland decision of Matrix Projects 4.

During the course of construction projects, the scope of work may develop and change on the run. Changes to scope, scheduling of work and/or rates charged can easily be accommodated under all construction contracts commonly in use. These matters are dealt with as variations, work program revisions and the like. If there are multiple principals on the same project, where each is responsible for separate but related components

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