Victorian construction payment changes: scope and records

In effect: 15 April 2026

The BPC explains that Security of Payment amendments took effect on 15 April 2026 and can affect existing construction contracts, subject to transitions. Covered contracts face restrictions on payment terms extending beyond 20 business days after a qualifying claim. Most domestic building contracts are excluded, so this is not a blanket payment rule for every homeowner’s demolition agreement.

What this means for your project

For a commercial project, ask a suitably qualified adviser whether the Act applies before reusing a template. As practical project administration, keep the agreed scope, variation approvals, progress records and claim correspondence together. Separate the demolition work package from later construction packages and identify the person authorised to approve changes. These habits help explain what was ordered and performed; they do not determine a party’s statutory rights or replace advice on a claim.

Questions before you commit

• Is this contract covered, and which transitional provisions matter?
• Who receives claims and who approves scope variations?
• Do the payment provisions need professional review before signing?

Bring these questions to your appointed project team. Exccell can discuss the demolition boundary and inspection scope; the responsible professionals must confirm the design, approvals and specialist work for your address.