New laws

Adjudication process

The Building Industry Fairness (Security of Payment) Act 2017 (BIF Act) introduced a number of key changes to the adjudication process:

These changes include the following:

  • Longer timeframes for a claimant to submit an adjudication application.
  • Simpler processes for adjudication of payment disputes for building and construction work.
  • You no longer have a ‘second chance’ to respond with a payment schedule. If a payment schedule is not given within the response period, you can proceed straight to adjudication without further notice.
  • If you fail to give a payment schedule, you are precluded from submitting an adjudication response (if an adjudication application is lodged), regardless of the value of the claim. 

Timeframes for lodgement of an adjudication application.

Claim type  Old BCIPA process Current process
Failure to give a payment schedule or pay in full by the due date Within 10 business days after payment schedule due date Within 30 business days after the due date for payment or payment schedule due date (whichever is later)
Failure to pay the full amount stated in the payment schedule Within 20 business day after the due date No change
Amount proposed to be paid in payment schedule is less than the claimed amount Within 10 business days after receiving the payment schedule Within 30 business days after receiving the payment schedule