August 2, 2024
Welcome to the August edition of Projects & Construction Monthly.
This edition addresses:
- Recent Construction News;
- Building Industry Fairness (Security of Payment) Act 2017 Amendments;
- LPC Lawyers’ recently completed ‘Over the Line’ series;
- LPC Lawyers’ recently completed ‘The Role of Side Deeds in Construction’ series; and
- Opportunities to join the LPC Lawyers’ team.
Recent Construction News
Sunshine Coast Indoor Sports Centre
Expressions of Interest are now being taken for the Managing Contractor and Principal Consultant for the new Sunshine Cost Indoor Sports Centre. This new $142 million facility is set to host preliminary Olympic basketball games during the Brisbane 2032 Olympic and Paralympic games and is expected to have a capacity of at least 6,000 people.
Construction is expected to commence in late 2025 with the new centre anticipated to be ready for community use in late 2027.
Kangaroo Point Bridge
The Kangaroo Point Bridge reaches 90% completion, with the recent finalisation of all major structural elements.
This $299 million project is a joint venture between the Australian Government and Brisbane City Council and is one of the first projects to be delivered under the landmark South East Queensland City Deal. This pedestrian and walking bridge is 13 metres above the river’s 60-metre wide boating channel and will be divided into separate pedestrian and cycling sections.
The bridge is expected to be completed and open to the public by late 2024.
Waraba Development
Construction is underway for the development of the new city of Waraba, west of Caboolture.
The Lilywood Landings neighbourhood is the first cab off the rank with earthworks, retaining walls and water and sewer infrastructure underway. Lilywood will include 228 residential lots, as well as a childcare centre and a service station. It is expected that about 30,000 homes for approximately 68,000 people are expected to be built in Waraba over the next four decades.
It is expected that residents will be able to move in by mid-2025.
Building Industry Fairness (Security of Payment) Act 2017 Amendments
The Queensland Government has recently enacted amendments to the Building Industry Fairness (Security of Payment) Act 2017 (BIF Act). Mostly notably, there is a new Part 8D of the BIF Act, which seeks to clarify what document/s constitute an adjudication application and to retrospectively remedy jurisdictional issues that have arisen from making online adjudication applications.
QBCC’s Online Adjudication Application
Typically, after a claimant submits an online adjudication application with the QBCC, a document is generated by the Adjudication Registry (Document) and sent to the claimant as a record of the submitted application (which can then be served on the respondent).
Critically, in Iris Broadbeach Business Pty Ltd v Descon Group Australia Pty Ltd [2023] QSC 290 (Iris), it was found that the Document was not the ‘approved form’ which meant that applications were not being properly served. Consequently, there was a failure to meet an essential element for an adjudicator’s jurisdiction and therefore decisions made would be void. This has ultimately meant that majority of electronically lodged adjudication applications are unlikely to have been served on the respondent in strict compliance with s79 of the BIF Act.
BIF Act Amendments – Part 8D
In light of this, the BIF Act has been amended to include a new Part 8D, which:
- clearly provides that a copy of an adjudication application includes the Document;
- deems the use of the Document to constitute valid service of an adjudication application;
- validates any earlier decisions of an adjudicator despite only the Document being served (that is, any court declarations that an adjudication decision was void because the Document was served has no effect- for example, the Iris case);
- where an adjudication decision was declared void by a court due to service issues with the Document and the court provided for payment of an adjudication amount, then the respondent is deemed to have received the decision 30 business days after the commencement of Part 8D and must pay in accordance with the Act; and
- where an adjudicator decided they did not have jurisdiction because the Document was used, that decision is void and the application process is deemed to start again.
LPC Lawyers’ ‘Over the Line’ Series
LPC Lawyers has recently completed its three-part series exploring the process for resolving crane overhang disputes. As previously noted in the July edition of Projects and Construction Monthly, in Parts 1 and 2 of this series, we explored the rights and obligations of both parties to a crane dispute and settling such disputes by way of a crane overhang deed. Read Part 1 here and Part 2 here.
Part 3 – Court Applications
In the third instalment of the series, we look at an additional mechanism for contractors to explore to obtain the right to use an adjoining owner’s airspace. Specifically, we look at the requirements for a contractor to be granted a right to use the airspace by way of s180 of the Property Law Act 1974. Read the full article here.
LPC Lawyers’ ‘The Role of Side Deeds in Construction’ Series
The construction industry has seen a steady rise in projects required to be backed by funding, and subsequently, there has been an increase in the number of third-party agreements entered into (known as a builder’s side deed or a tripartite deed). LPC Lawyers’ recently completed article series explores what a builder’s side deed is, when it is typically used, key provisions and the risks for a builder to consider when required to enter into a third party agreement.
Part 1 – Overview
Part 1 explores what a builder’s side deed is and why it should be entered into. Read the full article here.
Part 2 – Key Provisions
Part 2 briefly explores the key provisions that are typically included by a financier within a Builder’s Side Deed. Read the full article here.
Part 3 – Builders Beware
The final instalment explores some of the risks builders should be vigilant about and offer strategies for mitigating potential issues. Read the full article here.
Stay tuned for the first instalment of the next article series which will be available on 5 August 2024.
LPC Lawyers’ Continued Expansion
LPC Lawyers is looking to hire with opportunities for growth in our expanding practice.
Litigation Lawyers (1-3 years PAE)
Working closely with an ex-top tier partner, this role is ideal for a candidate who is highly motivated and has experience in drafting correspondence, simple pleadings, briefs for Counsel, and some client advisory work.
For more information about our current opportunities visit our website here or to apply, please email your resume and cover letter to Manaia at [email protected].