The Act came into operation on 15 April 2014. It addresses non-payment in the construction industry, where work has been carried out and payment has not followed. It is available to contractors, subcontractors, suppliers and consultants.
An unpaid party serves a payment claim. If the dispute remains, it may be referred to an adjudicator, who determines it within a prescribed timetable. The decision is binding unless and until it is set aside, settled, or finally determined in arbitration or court. The sum is not left outstanding pending that final determination.
The scheme is commonly described as “pay now, argue later”. The decision is enforceable so that work on site is not held up. It is not the final determination of every issue between the parties.
These notes describe the legislation and the scope of our usual instructions. They are not advice on a particular contract. A consultation may be arranged here.