Declaration of interest: CBP Lawyers acted for Beyfield Pty
Ltd in the case discussed in this article.
In brief - Recourse to security or retention money must comply
with section 67J
In the recent Queensland Supreme Court decision of Beyfield
v Northbuild Construction Sunshine Coast, the court found that
a party attempting to have recourse to security or retention money
under a construction contract must strictly comply with section 67J
of the Queensland Building and Construction Commission Act 1991
("the Act") and that any attempt to contract out of
those requirements was void.
Debts due under the contract vs. unliquidated claims for
damages
The court determined that in most cases, contracting parties to
building contracts in Queensland may only have recourse to security
or retention monies under the contract to recover "debts
due" under the contract and not unliquidated claims for
damages, and only if they give notice of their intention to have
recourse to
