Security Of Payment Act Payment Claim
Preparing and serving a payment claim under the Security Of Payment Act is neither simple or easy.
Preparing a Payment Claim under the Security Of Payment Act
This part of the process begins with having regard for the construction contract.
A claimants rights to, the detail of, and the amount of, their entitlement flows from the construction contract. In the absence of comprehensive provisions in a construction contract, the provisions contained within the Security Of Payment Act legislation apply by default. Likewise any provision within a construction contract that operates in such a way that it seeks to deprive a claimant of the basic rights set out in the Security Of Payment Act Legislation is in itself outlawed by the Act.
This means that the better the agreement is between the two parties, the less room there is for dispute about what a claimant is entitled to. This is important when it comes time to make a claim. If there is little if any dispute about the contents of a claim that will help the claim get paid quicker, and if it is clear between the parties what prices and or rates are and should be charged that is even better.
Of course it goes without saying that your claim needs to be addressed to the correct entity.
The requirements for endorsing your claim as a payment claim made under the Security Of Payment Act varies from state to state.
Serving a Payment Claim under the Security Of Payment Act
This is a critical part of the process.
You are only allowed to serve one payment claim per month and it must be served on a specific day and not before.
The Security Of Payment Act legislation is very strict on the method and place of service and these requirements also vary from state to state.
Need it be said that if you cant prove that you have effected valid service under the Security Of Payment Act you may as well not served it.