How do I make a South Australian security of payment claim?

Check the Act applies first

The Act applies to written or oral construction contracts. It excludes domestic building work on premises where the client resides or intends to reside, work outside South Australia and other listed cases. If your job is a home renovation for an owner-occupier, do not assume this process is available.

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What the claim must contain and when it can be made

The right to a progress payment arises on a reference date. The contract can set reference dates and the Act supplies a default where it does not. A claim must identify the construction work, goods or services, state the amount claimed and state that it is made under the Act.

You can make one claim for each reference date, and it can include earlier amounts. It must be made within the later of the period in the contract or 6 months after the last work or supply.

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Schedule date and payment due date are different

The respondent's payment schedule is due by the earlier of the time in the contract or 15 business days after service. Payment itself is due on the date the contract sets or, where the contract has no express provision, 15 business days after the claim. Record both dates separately.

The Act's business day excludes weekends, public holidays and 27 to 31 December. Count them that way and do not mix them with calendar days.

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Working draft you can copy

This is our working draft for checking the contents, not a statutory form and not a guarantee that a claim is valid. Valid service and your deadlines depend on your contract and facts, so get advice on those before you rely on it.

PAYMENT CLAIM
This is a payment claim made under the Building and Construction Industry Security of Payment Act 2009 (SA).

To: [respondent name and address for service]
From: [your business name, ABN]
Contract: [contract reference and date]
Reference date: [DD/MM/YYYY or contract clause]

Construction work, goods or services claimed:
[Describe the work, the site and the period it relates to]

Amount claimed: $[amount]
Includes amounts from earlier claims: [yes / no, which]

Date: [DD/MM/YYYY]
Signed: [name]

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What this guide does not cover

This guide does not cover valid service, suspending work or adjudication timing. Those depend on your contract and facts, so get timely advice. If the Act does not apply to your job, a contractual process or a letter of demand may be the route to look at instead.

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Common questions

What is a security of payment claim?

In South Australia it is a written claim for a progress payment for construction work under the Act. It must identify the work, goods or services, state the amount claimed and state that it is made under the Act.[1]