Western Australian Current Acts

BUILDING AND CONSTRUCTION INDUSTRY (SECURITY OF PAYMENT) ACT 2021 - SECT 70

70 .         Construction contracts to which Part applies

        (1)         This Part applies to a construction contract to which this Act applies, except —

            (a)         if the party to the contract for whom construction work is to be carried out, or to whom related goods and services are to be supplied, under the contract is a government party; or

            (b)         if the value of the contract at the time it is first entered into, and at any later time following any variation of the contract or of estimates used to value the contract, does not exceed the amount prescribed by the regulations for the purposes of this paragraph (the prescribed retention money threshold ); or

            (c)         if the contract is for home building work of a kind that is excluded from this Part by subsection (2); or

            (d)         if the contract is of a kind excluded from this Part by the regulations.

        (2)         A construction contract for home building work the value of which exceeds the amount referred to in section 10(1)(c) is excluded from this Part, unless —

            (a)         the principal is a corporation; or

            (b)         the work is carried out in relation to multiple dwellings or for the purposes of a residential development business of the principal; or

            (c)         the contract —

                  (i)         is between a head contractor and a subcontractor, or between 2 subcontractors, in relation to the carrying out of the work; and

                  (ii)         is not of a kind excluded from this Part by regulations made for the purposes of subsection (1)(d).

        (3)         If a construction contract is excluded from this Part because its value does not exceed the prescribed retention money threshold at the time it is first entered into, but later ceases to be so excluded because its value exceeds the prescribed retention money threshold at that later time, this Part applies only in relation to retention money retained after the contract becomes subject to this Part.

        (4)         If a construction contract, at the time it is first entered into or at a later time, is subject to this Part because its value exceeds the prescribed retention money threshold at the relevant time, the contract does not cease to be subject to this Part because its value does not exceed the prescribed retention money threshold at a later time.