Gregory Sandmann and Coathurst Pty Ltd v Dune Holdings Pty Ltd

In the Supreme Court of Victoria, Gregory Sandmann and Coathurst Pty Ltd (the applicants) sought to enforce an architect's charge against Dune Holdings Pty Ltd (the respondent). The dispute concerned the respondent's alleged failure to pay for architectural services rendered by the applicants. The applicants had served a payment claim and subsequently an architect's charge under the *Building and Construction Industry Security of Payment Act 2002* (Vic) (the Act). The respondent had failed to respond to the payment claim within the prescribed time, and had also failed to lodge an adjudication application.

The primary legal issue before the Court was whether the applicants were entitled to enforce the architect's charge as a debt due and payable, notwithstanding the respondent's contention that the charge was invalid. Specifically, the Court had to determine if the applicants had complied with the procedural requirements of the Act in serving the payment claim and architect's charge, and whether the respondent's failure to respond or seek adjudication rendered the charge automatically enforceable. The Court also considered the implications of the respondent's argument that the services provided were not "construction work" as defined by the Act.

Justice Wilson found that the applicants had properly served the payment claim and the architect's charge in accordance with the Act. The Court held that the respondent's failure to lodge an adjudication application within the time permitted by the Act meant that the amount claimed in the payment claim became a debt due and payable. Consequently, the architect's charge was validly served and enforceable. The Court rejected the respondent's argument that the services did not constitute "construction work," finding that the architectural services provided fell within the broad definition of construction work under the Act.

The Court ordered that the applicants were entitled to enforce the architect's charge against the respondent for the amount claimed.