Guide
Notes on CIPAA 2012
These notes follow the questions ordinarily raised before instructions are taken. They describe the Act and the manner in which a reference is conducted. They are not an opinion on a particular contract.
- 01CIPAA 2012The Construction Industry Payment and Adjudication Act 2012 provides statutory adjudication of construction payment disputes in Malaysia.
- 02The purpose of CIPAACIPAA provides a working-day timetable for construction payment disputes, and renders conditional payment clauses void.
- 03When CIPAA appliesCIPAA covers written construction contracts for work carried out wholly or partly in Malaysia, with important exceptions.
- 04Is CIPAA compulsory?An unpaid party does not have to start CIPAA. A non-paying party cannot opt out of it, or refuse to take part in order to stall payment.
- 05Cash flowCIPAA is directed at non-payment in the construction industry, where a withheld sum affects labour, materials and completion.
- 06The remedy under CIPAAA payment claim, a response, an adjudicator, and a decision capable of enforcement in the High Court.
- 07Matters commonly referredUnpaid progress claims and final accounts, set-off, certification, retention, liquidated damages and termination.
- 08Construction adjudicationStatutory adjudication under CIPAA is how a construction payment dispute in Malaysia is decided on a fixed timetable.
- 09Enforcing an adjudication decisionA CIPAA decision can be enforced as a High Court judgment, and then executed. Setting aside and stay applications are limited.
- 10Construction consultancyContract advice for construction parties in Malaysia: payment, time, termination, and the documents that decide them.