CONSTRUCTION Alert: Building And Construction Industry Payments Act 2004 (Qld) Review – Parliamentary Consultation Process Extended

15 August 2014


In our previous alerts, available here and here, we have kept you up-to-date in relation to the Government’s review of the Building and Construction Industry Payments Act 2004 (Qld) (BCIP Act).

The proposed changes, which represent the most far-reaching (and the most respondent-friendly) amendments to the BCIP Act since it came into operation in 2004, were expected to come into effect on 1 September 2014.

However, the Transport, Housing and Local Government Parliamentary Committee (Committee), has advised that as the consultation process in relation to the review has been extended, the proposed changes to the BCIP Act will no longer come into effect on 1 September 2014.

Perhaps most notably, preliminary indications are that the definition of a ‘complex claim’, which was originally proposed to mean a payment claim for more than $750,000 or which involves claims for latent conditions or time-related costs, will be limited only to claims of more than $750,000.  If that is the case, much of the concern surrounding the previously-ambiguous definition of a complex claim will be alleviated.

The Committee has further advised that whilst a specific date has not yet been determined, any changes to the BCIP Act will be implemented by the end of 2014.

We will keep you updated as the Committee provides us with more information.