What law protects subcontractors in the ACT?
The Building and Construction Industry (Security of Payment) Act 2009 gives anyone who carries out construction work or supplies related goods and services in the ACT a statutory right to progress payments. It sets deadlines for the builder to respond and pay, gives you adjudication, and lets you stop work safely when you are not paid. ACT Planning publishes the official guidance.
The Building and Construction Legislation Amendment Act 2023 made the most recent substantive changes, in force from 11 March 2024:
- Monthly claims replaced reference dates.
- Claims on termination are allowed from the day the contract ends.
- Payment is capped at 15 business days after the claim, even where the contract names a later date.
Am I covered if I work for a builder on a house?
Yes. The Act does not apply to residential building work where a resident owner is a party to the contract, unless the work is under an owner builder licence. That exclusion only catches the contract the homeowner signs, not your subcontract with the builder. ACT guidance confirms the Act covers you even if the contract is not written, and s 42 makes any contract term that tries to exclude it void.
How do I make a valid payment claim in the ACT?
A payment claim under s 15 must identify the work, state the amount claimed, and state that it is made under the Act. Use this wording: "This is a payment claim made under the Building and Construction Industry (Security of Payment) Act 2009 (ACT)." Since 11 March 2024 you can claim on or after the last day of each month in which you did work, or an earlier day the contract sets.
When and how often you can claim:
- Monthly (s 10), from the last day of the month in which you first did work.
- On termination, from the day the contract is terminated.
- Time limit (s 15(5)): within the period in the contract or 12 months after you last did work, whichever is later.
- Serve it in a way you can prove, by email to the address in the contract.
What must the builder do, and by when?
If the builder will pay less than you claimed, they must give you a payment schedule within the time in the contract or 10 business days, whichever is earlier (s 16). The schedule must identify your claim, state the amount they will pay, and give every reason for paying less. If no schedule arrives in time, the builder is liable for the full claimed amount (s 16 and s 17).
When payment falls due:
- The cap (s 13): the earlier of 15 business days after the claim or the date the contract sets. A contract cannot push payment later.
- Pay when paid and pay if paid clauses have no effect (s 14).
What can I do if the builder still does not pay?
You choose between adjudication and court. Adjudication runs through an authorised nominating authority: an adjudicator decides within 10 business days of the response, and the decision is filed in court as a judgment debt. Or you sue for the unpaid amount as a debt (s 17), where the builder cannot bring a cross claim or raise a defence arising under the contract.
Adjudication deadlines under s 19:
- Schedule for less than you claimed: apply within 10 business days after you receive it.
- Schedule given but the amount not paid: apply within 20 business days after the due date.
- No schedule at all: notify the builder of your intention to apply within 20 business days after the due date, giving them 5 business days to provide a schedule. Then apply within 10 business days after those 5 days end.
How it runs from there:
- The builder can respond only if they gave a schedule in time, within the later of 7 business days after receiving the application and 5 business days after the adjudicator accepts (s 22).
- They cannot add reasons that were not in the schedule (s 22(4)).
- The adjudicator decides as soon as possible, and no later than 10 business days after the response is received or due.
- If the builder still does not pay, obtain an adjudication certificate (s 26) and file it in court as a judgment debt (s 27). To challenge that judgment, the builder must first pay the amount into court.
Can I stop work until I am paid?
Yes, under s 29. If the amount owed is not paid, give the builder written notice that you intend to suspend work under the Act. You can stop 2 business days after the notice and stay off the job until 3 business days after you are paid. ACT guidance confirms you are not liable for the builder's loss caused by a lawful suspension.
Never simply stop turning up. Stopping without the notice can be treated as abandoning the contract.
What extra protections apply in the ACT?
The ACT has no statutory retention trust, project trust account or head contractor supporting statement, so the payment process and its 15 business day cap are the main protections. Your contract governs retention, so negotiate its amount and release date in writing before you start.
Business days exclude weekends and public holidays. If a deadline runs over Christmas, check the Act's current definition before you rely on it.
What should I do today if I have not been paid?
Work the steps in order and keep a dated record of each one. The ACT's 15 business day cap is one of the shortest in the country, which means a builder who is late is late quickly and you can move quickly too.
- Serve a payment claim by email with the work itemised, the amount, and the statement that it is made under the Act.
- Diary the schedule deadline (10 business days) and the due date (no later than 15 business days).
- If the due date passes unpaid, serve written notice of intention to suspend under s 29.
- Apply for adjudication inside the window that applies to you, or sue for the debt.
- For large or disputed amounts, have an ACT construction lawyer check the paperwork before you lodge.
The businesses that rarely end up here run it as a system rather than a fight: every monthly claim carries the statutory wording, and an AI agent tracks each claim's dates so the notice goes out the day a deadline is missed.
Where is this in the legislation?
- Building and Construction Industry (Security of Payment) Act 2009 (ACT): s 10 (when claims can be made), s 13 (due date and cap), s 14 (pay when paid), s 15 (payment claims), s 16 and s 17 (payment schedules, consequences, debt recovery), s 19 to s 27 (adjudication and enforcement), s 29 (suspension), s 42 (no contracting out).
- Building and Construction Legislation Amendment Act 2023 (ACT)
- ACT Planning: security of payments
- ACT Government: Security of Payment Act information sheet
This is general information about the law as at 16 October 2026, not legal advice. Deadlines depend on your contract and the facts, so get advice from an ACT construction lawyer before relying on it for a large or disputed claim.
