In 2013, the QBCC Act was amended to provide that the section 42 authorization requirement does not predicae the Section 42 authorization requirement if you have completed commercial work without a licence, but you assign an authorized agency to carry out the work. This exemption has broadened the scope of companies to which contracts and outsourcing of commercial work could be allocated. The most important change is the result of feedback from members. Under the new PSC, the outsourcing price can be either a lump-price (for example. B on an offer), or on the basis of an agreed price plan. The COPS is valid for an agreed period, for example. B per year, with an employment contract to be carried out by the subcontractor for each set of work. This new regulation provides the parties with the flexibility to cover a large number of agreements that may occur during the duration of the COPS. It is important to note that these are only the minimum requirements to comply with the legislation.
If you are developing your own outsourcing instead of using one of the standard forms created by QBCC or a large professional organization, it is recommended that you hire a lawyer to make sure it complies, and you should discuss with them the additional clauses you need to meet your respective business practices and requirements. If construction costs exceed $3,300 (including GST), they must be covered by a regulated construction contract. However, regardless of the value of the work, a written contract is always preferred to an oral agreement. A commercial contract should not be used in place of subcontracting. We see many contracts (including subcontracting) that do not meet the requirements of Part 4A of the QBCC Act. It is a crime for a contractor not to comply with these requirements. In most cases, non-compliance with Part 4A will result in a maximum penalty of 80 penalty units (four (4) demorit and/or a total fine of $10,676). A variant could also be a hazard if it unintentionally offered you construction work that could ultimately infect your payment right under the overall contract – not just for variation. If you are not licensed, be sure to do the work you are doing or to contract. In the case of subcontracting, the maximum payment period is 25 working days after the payment request is filed. Given the importance of, it is therefore recommended that payment clauses be developed diligently.
The subcontract for the deadline is suitable for the participation of subcontractors working regularly for the same contractor. It can be used for subcontractors employed by contractors and for subcontractors contracted by subcontractors. This contract can be used for both commercial and residential projects.