Australia, Aug. 23 -- New South Wales Land and Environment Court issued text of the following judgement on July 23:

1. Hammerschlag CJ in Eq: This is an expedited appeal from a judgment of the Commercial, Technology and Construction List judge, Stevenson J (the Primary Judge) determining that the respondent (Sharvain) is entitled to judgment against the appellant (Roberts) for $3,207,999.03 (including interest, $3,278,043.27) by dint of the operation of ss 14(4) and 15(2)(a)(i) of the Building and Construction Industry Security of Payment Act 1999 (NSW) (the Act): Sharvain Facades Pty Ltd (Administrators Appointed) v Roberts Co (NSW) Pty Ltd [2025] NSWSC 606.

2. Unless otherwise stated or the context indicates differently, references to:

1) sections are to sections of the Act; and

2) clauses are to clauses in the construction contract between the parties dated 1 February 2023 under which Roberts engaged Sharvain to carry out design, construction and facade works for the paediatric services building at Westmead Hospital (the Contract).

The Act

3. At the outset, a brief synopsis of the objects and operation of the Act might be useful.

4. Section 3 states the objects of the Act, which is to ensure that any person who undertakes to carry out construction work (or who undertakes to supply related goods and services) under a construction contract is entitled to receive, and is able to recover, progress payments in relation to the carrying out of that work and the supplying of those goods and services. The Act provides an expeditious procedure for the resolution of contested claims.

5. Section 4 provides, relevantly, that a business day means any day other than a Saturday, Sunday or public holiday, or 27, 28, 29, 30 or 31 December.

6. Section 11 provides that a progress payment to be made under a construction contract is payable in accordance with the applicable terms of the contract.

7. Section 13 provides for a claimant to make a payment claim for a progress payment on the person who, under a construction contract, is or may be liable to make the payment.

8. Section 14 provides that the respondent to a claim may reply by providing a payment schedule, which must indicate the amount of the payment (if any) that the respondent proposes to make.

9. Section 14(4) provides:

(4) If-

(a) a claimant serves a payment claim on a respondent, and

(b) the respondent does not provide a payment schedule to the claimant-

(i) within the time required by the relevant construction contract, or

(ii) within 10 business days after the payment claim is served,

whichever time expires earlier,

the respondent becomes liable to pay the claimed amount to the claimant on the due date for the progress payment to which the payment claim relates.

10. Section 15 provides that, where no payment schedule is served, the claimant may recover the unpaid portion of the claimed amount as a debt due in a court of competent jurisdiction, or make an adjudication application in relation to the claim.

*Rest of the document can be viewed at: (https://www.caselaw.nsw.gov.au/decision/19830abdd8dc3c458d79c426)

Disclaimer: Curated by HT Syndication.