Security of Payment South Australia

Building and Construction Industry Security of Payment Act 2009 (SA)

The Building and Construction Industry Security of Payment Act 2009 (SA) commenced in operation in South Australia on 10 December 2011.

Who and what does the new Act apply to?

The Act affects virtually everyone involved in the construction industry – participants and users alike – whether they are owners, government, councils, developers, architects, superintendents, head contractors, subcontractors, suppliers or consultants.

The Act applies to all contracts or other arrangements for construction work or the supply of any goods and services related to construction work entered into after 10 December 2011.

What are the changes?

The Act introduces a system of rapid adjudication to ensure that payment claims in the construction industry are resolved quickly.

The Act will have a significant effect on construction contracts, in particular, by providing a statutory right to progress claims, by making “pay when paid” clauses ineffective and by introducing maximum time frames within which payment claims must be responded to – and paid.

Whilst the provisions of the Act are relatively straightforward, they are also prescriptive and unforgiving. It is vital that industry participants understand the legislation and its ramifications for the way they do business.

When did the Act commence?

The Building and Construction Industry Security of Payment Act 2009 commenced on 10 December 2011.

Training for your business

Lynch Meyer Lawyers has conducted numerous training seminars for their clients, industry groups and their members. Please contact us if you would like to discuss training for you or your business.

Contact Us

Lynch Meyer Lawyer’s construction team has unrivalled understanding of the Building and Construction Industry Security of Payment Act 2009. If you need assistance to understand the Act or require advice on its impacts for your business or contracts, please contact us.