Payment Claims are formal demands for payment made under the Act and include progress claims and final claims.
Under section 20 of the Act, a payee (the party to a construction contract who is entitled to a progress payment) is entitled to serve payment claims on the payer (the party to a construction contract who is liable for that payment) for payments, including any single or final payment under the contract. In order to benefit from the default payment entitlements under the Act, a payee must first serve a valid payment claim on the payer. A valid payment claim must comply with the following mandatory requirements:
- be in writing;
- contain sufficient details to identify the construction contract to which the payment relates;
- identify the construction work and the relevant period to which the payment relates;
- state a claimed amount and the due date for payment;
- indicate the manner in which the payee calculated the claimed amount; and
- state that it is made under the Act.
A payment claim must be accompanied by a written notice outlining the process for responding to the claim and explaining the consequences of not responding if payment of the claimed amount in full is not made by the due date for payment.
Download a sample payment claim here
, which includes the accompanying written notice.