No Payment Schedule Returned? Here’s What Happens Next Under the Security of Payment Act

You’ve sent your payment claim. You’ve waited. Nothing comes back—no payment schedule, no response, radio silence.

If you’re a subcontractor or tradie in Australia, this is one of the most frustrating positions to be in. But the Security of Payment Act in your state exists precisely because of situations like this. And there are real next steps you can take.

Here’s what happens when a head contractor or principal contractor doesn’t return a payment schedule.

What the Law Says About Payment Schedules

Under the Security of Payment legislation across Australia—whether that’s the NSW SOP Act 1999, the QLD Building Industry Fairness (Security of Payment) Act 2017, the VIC SOP Act 2002, or equivalent Acts in WA, SA, Tasmania and the ACT—a respondent (the person who owes you) has a legal obligation to respond to your payment claim.

They don’t have to pay you immediately. But they do have to either:

• Pay the full amount, or
• Return a payment schedule that sets out what they’re disputing and why, or
• Do nothing—which has serious consequences for them

The timeframe varies slightly by state, but it’s typically 10 business days from the date your claim was served. In NSW, for example, the respondent has 10 business days to issue a payment schedule under the NSW SOP Act 1999. If they don’t, you move into adjudication territory.

When Silence Becomes Your Leverage

This is the critical bit: if the respondent doesn’t return a payment schedule within the required timeframe, they’re in breach of the Act. That’s not something they can ignore.

In practice, this means:

1. You have the right to apply for fast-track adjudication under the Security of Payment Act
2. An adjudicator will be appointed to determine the dispute
3. The adjudicator will assess your claim, usually without a full hearing—mostly on the documents you both provide
4. The adjudicator makes a determination, and the respondent is legally bound to pay within the timeframe set (usually within a few days of the determination)

The respondent can still dispute the claim at adjudication. They can put forward their own case. But they’re fighting from a weaker position because they failed to follow the law in the first place.

Many debtors choose to settle or pay rather than proceed to adjudication, because they know the process is quick, relatively low-cost, and the adjudicator will be assessing their failure to respond as part of the overall picture.

The Practical Steps to Take

If you haven’t received a payment schedule by the deadline, you have options. The first move is to verify your claim was served correctly. If it wasn’t served properly, the clock might not have started. Check your records for proof of service—email receipts, registered post, personal delivery, whatever method you used.

Once you’re certain the deadline has passed, you can move to adjudication. This is where PayClaim comes in handy—instead of hiring a lawyer or trying to navigate the adjudication application yourself, you can file a payment claim and adjudication application through the platform, which automates much of the paperwork and ensures you hit all the statutory requirements for your state. It’s a flat fee of AUD $69, and it gets the process moving without you needing to understand every clause of the Act.

Before you go to adjudication, you might also consider sending a formal letter to the respondent reminding them of their obligation and giving them a final short window (say, 3–5 business days) to respond. Sometimes this prompts payment or a genuine payment schedule. It also creates a paper trail if you do end up in adjudication.

What to Expect in Adjudication

If the respondent still doesn’t budge, adjudication is swift by construction standards. Depending on your state, you’re typically looking at:

• Application lodged → adjudicator appointed within days
• Respondent’s response due → usually 5–7 business days
• Adjudicator’s determination → issued within 10 business days of application (sometimes faster)
• Payment due → respondent must pay within the timeframe in the determination (often 1–5 days)

The whole thing can be done in three to four weeks, which is much faster than court.

The determination is binding and enforceable. If the respondent ignores it, you have legal grounds to pursue debt recovery or court proceedings.

Bottom Line

A missing payment schedule isn’t the end—it’s actually the beginning of your strongest legal position. The Security of Payment Act is designed to protect people in your situation. The fact that the respondent didn’t respond on time works in your favour.

Don’t sit around waiting for them to change their mind. Get moving on adjudication. The sooner you lodge, the sooner you get a determination, and the sooner you get paid.

Owed money? You can start your Letter of Demand here — see the whole letter free, then a flat $69 to issue it. PayClaim is not a law firm; payment outcomes are not guaranteed.