Western Australian Current Acts

BUILDING AND CONSTRUCTION INDUSTRY (SECURITY OF PAYMENT) ACT 2021 - SECT 19

19 .         Valuation of construction work and related goods and services

        (1)         Construction work carried out or undertaken to be carried out under a construction contract must be valued for the purposes of a progress payment —

            (a)         if the contract provides for the matter — in accordance with the contract; or

            (b)         if the contract does not provide for the matter — having regard to each of the following —

                  (i)         the contract price for the work;

                  (ii)         any other rates or prices set out in the contract;

                  (iii)         any variation agreed to by the parties to the contract by which the contract price, or any other rate or price set out in the contract, is to be adjusted by a stated amount;

                  (iv)         if any of the work is defective — the estimated cost of rectifying the defect.

        (2)         Related goods and services supplied or undertaken to be supplied under a construction contract must be valued for the purposes of a progress payment —

            (a)         if the contract provides for the matter — in accordance with the contract; or

            (b)         if the contract does not provide for the matter — having regard to each of the following —

                  (i)         the contract price for the goods and services;

                  (ii)         any other rates or prices set out in the contract;

                  (iii)         any variation agreed to by the parties to the contract by which the contract price, or any other rate or price set out in the contract, is to be adjusted by a stated amount;

                  (iv)         if any of the goods are defective — the estimated cost of rectifying the defect.

        (3)         In the case of materials and components that are to form part of any building, structure, work or other thing resulting from construction work, the only materials and components to be included in the valuation for the purposes of subsection (2)(b) are those that have become or, on payment, will become the property of the party or other person for whom the construction work is being carried out.