Payment
Frequently Asked Questions

© Daniel Atkinson 2001 04 November 2001

 

Right to Payment
Rights to Withhold Payment
Payment for Variations
Claims for Additional Payment
Remedies for Late or Non-Payment
  
RTN MAIN FAQ

 

A. THE RIGHT TO PAYMENT
  1. What are the Purchaser's Obligations as to Payment?
  2. If There is No Contract, Is There a Right to Payment?
  3. Is There a Right to Interim Payment?
  4. Can a Pay When Paid Clause Prevent Payment?
  5. Can the Failure of A/E to Issue a Payment Certificate Prevent Payment?
  6. What is the Effect of a Final Certificate on the Right to Payment?
  7. Has the Contractor a Right to Payment for Material on Site but not Fixed?
  8. Is the Contractor Under and Obligation to Pay the Sub-Contractor, If the Employer is Insolvent?
  9. When is Payment Made?

 

B. THE RIGHT TO WITHHOLD PAYMENT
  1. Can an Amount Paid in a Past Certificate, be Deducted from a Later Certificate/Payment?
  2. Is the Purchaser Required to Place Retention in a Separate Bank Account?
  3. What Grounds Are There for Withholding Payment?
  4. Can the Purchaser Set-Off from Payments Due on One Contract, Sums Recoverable on Another?

 

C. PAYMENT FOR VARIATIONS
  1. When is the Purchaser Entitled to Vary the Works?
  2. How Are Variations Valued?
  3. How is Omitted Work to be Valued?
  4. Is a Contractor Quotation for Extra Work Binding if Accepted?

 

D. CLAIMS FOR ADDITIONAL PAYMENT
  1. What is the Measure of Damages for Breach of Contract?
  2. What is the Measure of Damages for Defective Work?
  3. Is a Settled Final Account Binding?
  4. What is the Relevance of Settlement of SubContractor Claims in the Measure of Contractor's Damages for Breach of Contract?
  5. Can the Contractor Recover the Cost of Preparing a Claim?
  6. If the Contractor Fails to Give Notice of a Qualifying Event at the Right Time, Does He have a Right to Payment?
  7. Can a Contractor Recover Damages from and A/E for Failure to Administer the Contract Properly?

 

E. REMEDIES FOR LATE OR NON-PAYMENT
  1. Can the Contractor Recover Finance Charges and Interest for Late Payment?
  2. Where an A/E Under Certifies, is the Contractor entitled to Interest?
  3. Can the Contractor Suspend Performance for Failure to Pay?
  4. Does the Contractor Lose the SubContract Discount on Late Payment?