Baxbex Pty Ltd v Bickle

Case [2009] QSC 194


SUPREME COURT OF QUEENSLAND

CITATION:

Baxbex Pty Ltd v Bickle [2009] QSC 194

PARTIES:

BAXBEX PTY LTD
(applicant)
v
BICKLE
(respondent)

FILE NO:

5471 of 2009

DIVISION:

Trial Division

PROCEEDING:

Application

ORIGINATING COURT:

Supreme Court of Queensland

DELIVERED ON:

28 July 2009

DELIVERED AT:

Brisbane

HEARING DATE:

17 June 2009

JUDGE:

Daubney J

ORDER:

1.    The application be dismissed;

2.     The payment claim dated 27 April 2009 be set aside; and

3.    The applicant pay the respondent’s costs of and incidental to the application, to be assessed.

CATCHWORDS:

CONTRACT – BUILDING, ENGINEERING AND RELATED CONTRACT – REMUNERATION – STATUTORY REGULATION OF ENTITLEMENT TO AND RECOVERY OF PROGRESS PAYMENTS – where the applicant served on the respondent a payment claim pursuant to s17 of the Building and Construction Payments Act 2004 – where the respondent did not file a payment schedule within 10 days of receiving the payment claim or at all – where applicant claimed in those circumstances the respondent became liable to pay the amount claimed – whether there was a valid payment claim – whether part of the payment claim was not for construction work or for related goods or services.

Building and Construction Industry Payments Act 2004 (Qld)

Austruct Qld Pty Ltd v Independent Pub Group Pty Ltd [2009] QSC 1, applied
Brodyn Pty Ltd t/a Time Cost and Quality v Davenport (2004) 61 NSWLR 421, applied
F.K. Gardner & Sons Pty Lt v Dimin Pty Ltd [2006] 1 Qd R 10, applied
Isis Projects v Clarence Street [2004] NSWSC 714, considered
Nepean Engineering Pty Ltd v Total Process Services Pty Ltd (In Liq) (2005) 64 NSWLR 462, considered

COUNSEL:

M D Martin for the applicant
C J Carrigan for the respondent

SOLICITORS:

R B Lawyers for the applicant
Quinlan Miller & Treston for the respondent

  1. On 23 April 2007, the applicant and the respondent entered into a commercial building contract for the construction by the applicant of two 3 storey buildings.  It was a “cost plus 10%” contract, with invoices to be sent for progress claims on Friday of each week.

  1. By letter dated 27 April 2009 the applicant served on the respondent a payment claim pursuant to s 17 of the Building and Construction Industry Payments Act 2004 (Qld) (“BCIPA”), claiming the sum of $148,819.10.  In this claim it was said:

“In accordance with s 17 of the Act we advise:-

(a)        the construction work and/or goods and services to which our client’s progress claim relates is as particularised in the schedule hereto;

(b)        the amount of the progress claim that the Plaintiff claims to be payable is $148,819.10; and

(c)        the claim is made in accordance with the Act.”

  1. The respondent did not file a payment schedule within 10 days of receiving the payment claim or at all.  It was submitted by the applicant that in those circumstances the respondent became liable to pay the amount claimed.[1] Accordingly, the applicant has applied for judgment in the…

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Details
AGLC
Baxbex Pty Ltd v Bickle [2009] QSC 194
Case
[2009] QSC 194
Decision Date

CaseChat Overview and Summary

Baxbex Pty Ltd, the applicant, filed an application against Bickle, the respondent, in the Supreme Court of New South Wales, seeking a declaration that the respondent was liable to pay the amount claimed in a payment claim dated 27 April 2009, which the applicant had served on the respondent under section 17 of the Building and Construction Payments Act 2004. The respondent did not file a payment schedule within 10 days of receiving the payment claim. The applicant contended that the respondent, by not filing a payment schedule, became liable to pay the amount claimed. The dispute centred on whether the payment claim was valid and whether it included amounts for construction work or related goods or services.

The court had to determine whether the payment claim was valid and whether it included amounts for construction work or related goods or services. The court found that the payment claim was not valid because it included amounts that were not for construction work or related goods or services, and therefore, the respondent was not liable to pay the amount claimed. The court held that the applicant's payment claim was invalid as it included amounts for costs that were not directly related to the construction work or goods or services provided. This finding was significant as it meant that the respondent was not obligated to pay the amount claimed by the applicant.

The court dismissed the application and set aside the payment claim dated 27 April 2009. The court also ordered that the applicant pay the respondent’s costs of and incidental to the application, to be assessed. The dismissal of the application and the setting aside of the payment claim meant that the respondent was not liable to pay the amount claimed by the applicant. The order for the applicant to pay the respondent’s costs of and incidental to the application further emphasised the court's view that the applicant's application was without merit.

Orders

Orders of the court

1. The application be dismissed;

2. The payment claim dated 27 April 2009 be set aside; and

3. The applicant pay the respondent’s costs of and incidental to the application, to be assessed.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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