Severing parts of adjudication determinations under SOP Act in NSW

The NSW Supreme Court has exercised its discretion to sever part of an adjudication determination affected by a jurisdictional error under section 32A of the Building and Construction Industry Security of Payment Act 2002 (NSW) (SOP Act), and provided guidance on the operation of the section.

Under section 32A of the SOP Act, the Supreme Court is empowered to set aside the whole or part of an adjudicator's determination as part of an adjudication application made under the SOP Act. Before this section came into force in 2019, a finding of jurisdictional error would result in the entire adjudication determination being set aside.

In Ceerose Pty Ltd v A-Civil-Aust Pty Ltd (No 2) [2023] NSWSC 401 the Court set aside part of an adjudication determination which contained jurisdictional errors, and confirmed the portions of the determination that were not affected by those jurisdictional errors.