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The five diseases / Missed claims

What are missed claims in construction?

A missed claim is money or time the contract entitled you to that you never got: a variation claimed late or never, an extension of time outside its window, wet days nobody recorded, or retention nobody chased. On 67 Australian public infrastructure projects, approved changes alone came to 10.6% of contract value. That is the pot a missed claim comes out of.

How it shows up on a job

The extra work was real, or it rained for four days. Both notices went in late.

  • The extra work was built before the variation was claimed: 28 days from the direction under AS 4000 cl 41 and GC21 cl 68, 20 business days under the TMR Transport Infrastructure Contract cl 46.1.
  • A delay started and the extension of time claim went in after its window: 28 days under AS 4000 cl 34 and GC21 cl 50.3, 14 days under the Main Roads WA Minor Works conditions GCC 9.6.
  • It rained for four days and nobody recorded the wet days against the programme (TfNSW G2-C2 cl 43).
  • The defects period ended and the retention was never chased. In Queensland the QBCC Act gives 12 months from that date to recover it (ss 67NA, 67NB).

What it costs

What we don't know. No study measures the share of variations or claims a contractor never recovers. The size of the pot is measured; the size of the leak is not.

Why the published figures disagree

These figures measure the pot, not the leak. Variations and retention are money the contract allows, and no study measures how much of it contractors never claim. The nearest thing to a leak is procedure: over a third of the money claimed in 246 Queensland adjudication decisions was dismissed without a decision on its merits, on grounds such as timing or form.

FigureWhat it countsSampleSource
10.6%Client-approved change orders, of original contract value67 Australian public infrastructure projects, one contractor, 2011-2014Love, Irani, Smith, Regan & Liu, 2017
9%Contract variations, of project costQueensland Government projects examined by the state auditorQueensland Audit Office, 2022
4.9%Retention held until the defects period ends419 clients and 508 contractors, UKPye Tait Consulting for BEIS, 2017
36.9%Of the amount claimed, dismissed for no jurisdiction rather than on the merits246 Queensland adjudication decisions, 2022-23Adjudicate Today, 2023
0.35% to 0.81%Site overhead on 20 wet days nobody claimed: a worked example, not a measurementInputs from 30 senior Australian estimatorsO'Leary & Vaz-Serra, 2025

Every published figure on missed claims, with its sample and confidence grade: missed claims statistics. Every figure, worked through one $5 million job: what the five diseases cost a $5 million job. The full evidence, with every caveat: why the diseases are in this order.

The law behind it, state by state: Security of Payment Act.

How Demiton catches missed claims

When the instruction arrives or the rain starts, the clock starts. The notice is drafted and waiting before the window shuts, while the ground is still wet.

Your systems stay where they are. Demiton reads them into registers, and these are the ones that watch for missed claims:

Common questions

What is a missed claim in construction?

Money or time the contract entitled you to that was never recovered, because the notice, the claim or the record was not in on time. The usual four: a variation claimed late, an extension of time claimed outside its window, wet days not recorded against the programme, and retention not chased at the end of the defects period.

What is a time bar in a construction contract?

A clause that limits or removes your right to claim when the notice is late. The standard Australian forms set short windows: a variation claim within 28 days of the direction under AS 4000 cl 41 and GC21 cl 68, an extension of time within 28 days of the delay starting under AS 4000 cl 34 and GC21 cl 50.3, and 20 business days under the TMR Transport Infrastructure Contract. Whether a late claim is lost outright depends on the clause and the contract's amendments.

How much money is in variations on a civil job?

On 67 Australian public infrastructure projects, client-approved change orders averaged 10.6% of the original contract value: $530,000 on a $5 million job. Queensland's auditor found variations at 9% of project cost on the state projects it examined. Both figures are the pot. No study measures how much of it contractors fail to claim.

Can you claim wet weather on a construction job?

It depends on the contract and its amendments. The Transport for NSW major contracts specification prices in 20 wet-weather days a year, and pays delay costs only when the time for completion exceeds 52 weeks, at 50% of a rate it sets. Any wet day beyond the allowance has to be recorded against the programme to be claimed (TfNSW G2-C2 cl 43).

How long do you have to recover retention?

In Queensland, the QBCC Act gives 12 months from the end of the defects liability period (ss 67NA, 67NB). The risk of leaving it is measured in the UK: smaller contractors never got their retention back at all on 13.1% of contracts.

How does Demiton catch missed claims?

When the instruction arrives or the rain starts, the clock starts. The notice is drafted and waiting before the window shuts, while the ground is still wet. It reads the systems you already run, so nothing is replaced.