King & Wood Mallesons

Asia-Pacific 100 position: 3

Follow-up: owners and head contractors beware. Any claim can be a SOP claim

The Building and Construction Industry Security of Payment Amendment Bill 2013, which will amend the Building and Construction Industry Security of Payment Act 1999, has now been passed and will come into effect on a day to be appointed by proclamation.

Since King & Wood Mallesons’ last free issue, there has been one amendment to the bill. A new section 12A allows for the regulations to provide for retention moneys held by a head contractor to be held in a trust account. The regulations may include procedures for payments out of any trust account and the resolution of disputes regarding the operation of trust accounts. They may also specify bodies that may offer trust accounts. Any breach of any such regulation may be punishable by a penalty up to $22,000 (£12,400).

No regulations have been put forward yet but the earlier New South Wales government response to the Collins Report gives some inkling of what may be in store…

If you are registered and logged in to the site, click on the link below to read the rest of the King & Wood Mallesons briefing. If not, please register or sign in with your details below.

Briefings from King & Wood Mallesons

View more briefings from King & Wood Mallesons

Analysis from The Lawyer

View more analysis from The Lawyer

Overview

Level 61, Governor Phillip Tower
1 Farrer Place
Sydney
NSW 2000
Australia
http://www.kwm.com

Jurisdiction: PRC/Australia
No. of offices: 20
No. of qualified lawyers: 1,252

Jobs