Who Jungle » 67P interest

How to claim

In progress claims

The most obvious way to claim 67P interest is in subsequent progress claims.

For example, if progress claim no.2 is paid late, you would calculate the interest due on that payment and claim it in progress claim no.3. If the due date for submitting progress claim no.3 has passed by the time progress claim no.3 is due to be submitted you would claim the interest on progress claim no.2 in progress claim no.4 and so on.

If the entity you wish to claim interest against is one that is likely to make life difficult during the course of the project, you can always avail your self of one of the post project options below.

The final claim

There is nothing to stop you claiming the interest on previous late payments in the final claim.

Upon completion of work

Remember that a payment claim under the BIF can be made within 6 months of the last date work was performed under the contract.

There is nothing to stop you making a claim for each late payment by that process.

Just remember not to sign away all of your rights when it comes to "signing off".

However, there are some recent court decisions that touch upon the subject of interest only claims. You should ensure that the claim for interest also includes a component for work performed.

Claims for variations

There is a culture in the building industry of treating payments for variations as something outside the payment process and paying only when the variation work is complete.

The reality is that variation work is work under the contract and each portion that is completed should be claimed on progress claims or payment claims.

Interest on variations that are not paid as they should be can be significant.

Claims for prolongation costs

The same situation occurs with respect to delays and prolongation. Particularly in the case of the costs of moving from one place on site to another because of delays in making part of the site ready for you.

These costs should be claimed progressively in progress or payment claims.

Interest on late payment of delay or prolongation costs can also be very significant due to the endless amounts of time superintendents believe they have to deal with them at leisure.

Adjudication applications

There is nothing to stop you claiming 67P interest from the date the original progress claim was due for payment to the date the amount was eventually paid due to the adjudication decision. Talk to your lawyer.

QCAT

The Tribunal has the jurisdiction to award 67P interest if asked. Talk to your lawyer.

Court proceedings

67P interest is claimable right up to the time that money is paid pursuant to a judgment. Talk to your lawyer.