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Construction contracts guide

Construction contracts

What do AS 4000, AS 4902 and GC21 make you notify?

A construction contract decides which claims survive through its notice clauses. AS 4000 wants a variation claim's particulars within 28 days (cl 41.1-41.3). AS 2124 bars a claim not notified within 28 days (cl 46.1). GC21 bars any claim left out of the Final Payment Claim, due 91 days after Completion (cl 61.1).

Three notices, form by form

Read across: each row is a published Australian form, each column a notice the form starts on its own clock. Each cell is the window, the duty, the clause and what missing it costs. Where the library has not read that clause, the cell says so: GC21 Ed 2 (ACT), TfNSW C2-GC21, Main Roads WA Major Works and Main Roads WA Minor Works hold no variation row, and AS 2124-1992, AS 4000-1997, TfNSW C2-GC21, TfNSW C41, TMR TIC, Main Roads WA Major Works and Main Roads WA Minor Works hold no final claim row.

ContractVariation notice or claimLatent condition noticeFinal claim
AS 2124-199228 daysGive written notice of a claim within 28 dayscl 46.1If missed: the claim is barrednone setNotify a latent condition as soon as it is foundcl 12.2, 12.4If missed: the costs cannot be recoverednot held in the library
AS 4000-199728 daysClaim a variation in writing within 28 days of the directioncl 41.1-41.3If missed: damages onlynone setNotify a latent condition as soon as it is foundcl 25.2, 25.3If missed: the costs cannot be recoverednot held in the library
AS 4902-200028 daysNotify a claim as soon as practicable and give its particulars within 28 days of the noticecl 41.1-41.3If missed: damages onlynone setNotify a latent condition promptly, and before disturbing it where possiblecl 25.2, 25.3If missed: the costs cannot be recovered28 daysGive the Final Payment Claim within 28 days after the last defects liability period expirescl 37.4If missed: the claim is barred
GC21 Ed 2 (ACT)not held in the librarynot held in the library91 daysLodge the final claim within 91 days of practical completioncll 33.3, 61, 67.1 (read in ACT v1.8)If missed: the claim is barred
GC21 Ed 2 (NSW)28 daysClaim a variation in writing within 28 days of the directioncl 68.1-68.3If missed: damages only7 daysNotify a change in Statutory Requirements that changes the work within 7 days of becoming aware of itcl 49.1, 49.4If missed: the claim is barred7 daysNotify an unordered variation within 7 dayscl 48.7If missed: the claim is barred7 daysNotify a latent condition as soon as it is foundcl 37.3, 37.8If missed: the costs cannot be recovered91 daysSubmit the Final Payment Claim, with every unpaid Claim, within 13 weeks after Completioncl 61.1If missed: the claim is barred
TfNSW C2-GC21not held in the librarynot held in the librarynot held in the library
TfNSW C417 daysWrite to the RMS Representative, before complying where possible and within 7 days of the direction, setting out why a direction that is not stated to be a variation direction is onecl 9.2If missed: the claim is barrednot held in the librarynot held in the library
TMR TIC20 business daysGive the prescribed notice for a variation claim within 20 business dayscl 46.1If missed: the costs cannot be recovered1 business dayNotify a latent condition as soon as it is foundcl 12.2, 12.4If missed: the costs cannot be recoverednot held in the library
Main Roads WA Major Worksnot held in the library28 daysNotify a latent condition as soon as it is foundSCC 10 (replaces cl 12)If missed: the costs cannot be recoverednot held in the library
Main Roads WA Minor Worksnot held in the librarynot held in the librarynot held in the library

What a late notice costs

The 49 duties the library holds across these forms, counted by what missing one costs:

  • The claim is barred: 15
  • The costs cannot be recovered: 7
  • Reduced for each day late: 2
  • Damages only: 3
  • A breach of contract: 18
  • No penalty stated: 4

Every one of them, clause by clause, worst first: time bars.

Delay has its own clause

The delay notice and the extension of time claim are the forms' best-known clocks, and they have a guide of their own: AS 2124-1992, AS 4000-1997, AS 4902-2000, GC21 Ed 2 (NSW), TfNSW C41, TMR TIC and Main Roads WA Minor Works each hold a delay row, on extension of time.

In this guide

Related

A claim lost to a late notice is one of the signs of missed claims, the disease Demiton watches for on every job. New Zealand's form is on NZS 3910. Each contract's own page lists every duty the library holds for it: contracts and standards.

What this page is, and is not

It is the clause, window and consequence this library holds for each published contract form. It is not legal advice, and it is not your contract: a principal's special conditions can change any window and any consequence here, so read the contract you signed.

No library of law is complete, and Demiton never says this one is. An obligation the library does not hold, and you did not add, is not protected. You can add your own to any job.

Clauses read from the obligation library, release v19, last checked against the source on .

Common questions

What notices does AS 4000 require?

The library holds 3 AS 4000 duties: claim an extension of time within 28 days of the delay starting, notify a latent condition as soon as it is found and claim a variation in writing within 28 days of the direction. For a variation, notice as soon as practicable (no number); particulars within 28 days (cl 41.1-41.3), and a late one costs damages only: cl 41.2: 'shall neither bar nor invalidate the claim'.

What is the difference between AS 4000 and AS 4902?

AS 4000 is the construct-only form; AS 4902 is the design and construct form. Their variation clauses read alike: particulars within 28 days, and a late notice costs damages only. AS 4902 adds a final claim row the library holds: 28 days after the last defects liability period (cl 37.4).

Is a late variation claim barred under GC21?

No, under the NSW edition: a claim made later than 28 days after the direction (cl 68.1-68.3) is recorded as damages only, because NSW consequence is 'interest only'. The ACT version instead bars the claim if not included in the final payment claim.

What is a time bar in a construction contract?

A clause that removes a claim when its notice or claim is late. Of the 49 duties the library holds across 10 Australian contract forms, 15 are recorded as the claim is barred.

Do special conditions change these windows?

Often. The library reads the published form. Principals' amendments can add one (e.g. a 5 Business Day variation notice, 20 Business Day claims). The contract you signed is the one that counts.