Security of Payment Legislation (SOPA)
The Building and Construction Industry is now impacted by SOPA across Australia. Whether you are an employee / employer, contractor, or principal contractor in the building industry you should become familiar with this legislation.
The primary purpose of SOPA is to provide fairness and protection for contractors in the construction industry. It provides a legal framework to ensure contractors can be paid their outstanding debts. SOPA has now been enacted in the following states:
- Australian Capital Territory
- NSW
- Queensland
- South Australia
- Tasmania
- Victoria
… and now we await WA to soon follow suit.
The construction industry is fragile when a crisis hits – like the Global Financial Crisis. So it’s particularly important that in these difficult times such schemes are available to contractors, or subcontractors, who have valid concerns about the solvency of the main contractor or building company they are contracting to.
There have been a number of cases, particularly in NSW, that have established legal precedents for the SOPA legislation.
To stay up to date with this important function and legislation within the building and construction industry please use the following links to the respective state bodies who manage SOPA at the local level. If you are a contractor who has not been paid for work performed then seek out legal advice and find out what your entitlements are.
ACT
Building and Construction Industry (Security of Payment) Bill 2009
NSW
Building and Construction Industry Security of Payment Act 1999 No 46
QLD
Building and Construction Industry Payments Act 2004
VIC
Building and Construction Industry Security of Payment Act 2002
SA
Building and Construction Industry Security of Payment Act 2009
TAS
Building and Construction Industry Security of Payment Bill 2009
Filed Under: Featured • Industry News • Legislation • Trade Administration
About the Author: 