FACTS
Bright Days (the Principal) engaged ATG (the Contractor) to design and construct a childcare centre under a contract valued at $11 million. ATG served a payment claim for approximately $1.32 million. The Superintendent certified $782,738, while Bright Days’ payment schedule proposed only $71,158. ATG lodged an adjudication application under the Building Industry Fairness (Security of Payment) Act 2017 (Qld) (BIF Act).
After the first adjudicator declined to proceed due to a potential conflict, the Registrar appointed a second adjudicator, who awarded ATG just over $1 million. Bright Days challenged the decision, arguing jurisdictional error on two grounds:
ISSUE
Was the second adjudicator’s decision affected by jurisdictional error due to (a) an invalid referral, or (b) failure to consider mandatory submissions?
FINDING…
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