Subcontractor Payment Disputes

Payment claim notices, the right to suspend, 28-day adjudication, retention recovery — statutory teeth most subcontractors never bite with.

Irish subcontracting ran for generations on an ugly convention: the smallest firms on the job financed the largest, waiting months for money already earned. The Construction Contracts Act 2013 was written to end that — and for subcontractors who use it, it does. Payment claims with statutory force, conditional-payment excuses abolished, suspension as lawful leverage, and adjudication delivering a binding decision in 28 days. The Act’s only weakness is that too few of its intended beneficiaries know it exists.

The Statutory Toolkit

  • Payment claim notices: claims delivered to the contract’s payment schedule, stating amount and basis — the paperwork that converts “he owes me” into an enforceable position: payment claim notices explained;
  • Pay-when-paid abolished: conditional payment provisions ineffective save in defined insolvency circumstances up the chain;
  • The right to suspend: after proper notice, down tools lawfully — leverage that must be exercised strictly by the book: the unpaid subcontractor’s remedies;
  • Adjudication: the 28-day decision, binding and High-Court enforceable — the full adjudication practice;
  • Retention recovery: release triggers enforced, aged retention pursued in batches: recovering retention.

The Escalation Ladder

Most arrears resolve below the top rung. The account audit: claims, certificates and payments reconciled — you cannot enforce a number you cannot prove. The letter: a solicitor’s demand that cites the Act, prices the next step and sets a date — a striking share of arrears pays here, because finance directors read statutory references differently to reminder emails. Suspension notice where cash flow demands it and the contract position supports it. Adjudication where it doesn’t pay — 28 days later, a binding decision. Court proceedings and insolvency-adjacent remedies stay available for the cases that need them (and when the payer goes bust, a different playbook entirely).

Fix the Paperwork Before the Next Job

The subcontractors who never call us twice are the ones who let us fix their documents once: payment-claim templates aligned to the Act, terms that protect retention and variations, records that make every future adjudication a formality. An hour of prevention on contract review outperforms every recovery service we offer.

Carrying Someone Else's Cash Flow?

Bring the account. We will tell you what is enforceable, what one letter might collect, and what adjudication would cost and win.

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Subcontractor Payment - FAQs

Mostly not anymore. The Construction Contracts Act 2013 renders pay-when-paid and similar conditional payment provisions ineffective, save in defined insolvency circumstances further up the chain. If the works are done and the payment claim is properly made, “waiting on the employer” is an excuse, not a defence - and adjudication prices that excuse at 28 days.