Event and Time
Event Description
- Parties Involved: J Hutchinson Pty Ltd (Head Contractor) and Transcend Plumbing and Gasfitting Pty Ltd (Subcontractor).
- Date of Subcontract: 4 March 2021.
- Location: Construction of secondary schools in Clyde North and Greenvale, Victoria.
- Key Legislation: Building and Construction Industry Security of Payment Act 2002 (Vic) (‘SOP Act’).
- Payment Claims Date: April 2022.
Application and Claims
- Head Contractor's Claim:
- Payment claims made by the Subcontractor were not supported by valid reference dates as they were made after the practical completion of works. - Seeks quashing of adjudicator's determination.
- Subcontractor's Claim:
- Claims that practical completion had not been achieved as no certificate had been issued; however, the adjudicator correctly concluded valid reference dates arose due to continuous accrual under the Subcontract clause 37(a)(a).
Judicial Decisions
- The adjudicator determined:
- Practical completion had been reached (indicated by the release of Practical Completion retentions). - No certificates of practical completion had been issued. - Reference dates continued to accrue under clause 37(a)(a) of the Subcontract.
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Dispute Points and Legal Basis
Dispute Points
- Head Contractor's Arguments:
- Asserted that the adjudicator misinterpreted the meaning of "practical completion." - Claimed that valid monthly reference dates ceased once practical completion had been achieved, which should render the April Payment Claims invalid.