Our construction disputes team recently acted for a principal in the adjudication of a payment claim for approximately $5 million. The client succeeded in a series of complex legal arguments to resist the contractor's claim in its entirety.
Facts
The contractor's payment claim sought payment in respect of works alleged to have been completed on a 4-storey commercial and retail development. The payment claim was served after termination of the contract and approximately $3 million of the claim was for alleged delay costs.
Our team assisted the client to prepare its payment schedule, which provided that no amount was payable on the claim. The client held the position that the claim had failed to properly identify the alleged delay costs in accordance with section 68(1)(a) of the Building Industry Fairness (Security of Payment) Act 2017 (Qld) (‘BIFA'). The client's payment schedule also included a significant set-off for liquidated damages and defective work.
