Queensland Consolidated Acts

BUILDING INDUSTRY FAIRNESS (SECURITY OF PAYMENT) ACT 2017 - SECT 73

73 Due date for payment

(1) A progress payment under a construction contract becomes payable—

(a) if the contract provides for the matter—on the day on which the payment becomes payable under the contract; or

Notes—

1 A ‘pay when paid’ provision in a construction contract has no effect, see section 74 .

2 A provision in a construction management trade contract or subcontract providing for payment of a progress payment later than 25 business days is void, see the Queensland Building and Construction Commission Act 1991 , section 67U .

3 A provision in a commercial building contract providing for payment of a progress payment later than 15 business days is void, see the Queensland Building and Construction Commission Act 1991 , section 67W .

(b) if the contract does not provide for the matter—on the day that is 10 business days after the day a payment claim for the progress payment is made under part 3 .

(2) Interest for a construction contract is payable on the unpaid amount of a progress payment that has become payable at the greater of the following rates—

(a) the rate stated in the contract;

(b) the rate prescribed under the Civil Proceedings Act 2011 , section 59 (3) for a money order debt.

(3) However, for a construction contract to which the Queensland Building and Construction Commission Act 1991 , section 67P applies because it is a building contract, interest is payable at the penalty rate under that section.

(4) Each of the following construction contracts are taken to be a contract to which subsection (1) (b) applies—

(a) a construction contract that includes a ‘pay when paid’ provision;

(b) a construction management trade contract or subcontract mentioned in the Queensland Building and Construction Commission Act 1991 , section 67U ;

(c) a commercial building contract mentioned in the Queensland Building and Construction Commission Act 1991 , section 67W .

(5) In this section—

"‘pay when paid’ provision" , of a construction contract, see section 74 .