You submitted your invoice for $18,000. The head contractor paid you $12,000 and says the rest is “backcharges” for defective work you never did. Or they are claiming you only worked 120 hours when your timesheets show 160. Or they added extra scope and now refuse to pay for it because “it was included.”
Common dispute tactics builders use
- Backcharges — deducting money for alleged defects, clean-up, or rework without evidence or proper notice
- Hour disputes — rejecting timesheets or claiming fewer hours were worked
- Scope creep denial — asking for extra work verbally then refusing to pay because “it was in the original quote”
- Delay deductions — blaming you for project delays caused by their poor scheduling
- Retention withholding — holding 5-10% retention and never releasing it
- Set-off claims — claiming you owe them money for site access, safety equipment, or materials
How to fight each one
Backcharges
Most subcontractor agreements require the builder to give you written notice of defects and a reasonable opportunity to rectify before they can backcharge. That rule comes from your subcontract, not the Security of Payment Act, so check its defects clause. If they just deducted the money without the notice your subcontract requires, the backcharge is likely invalid.
Hour disputes
Keep your own timesheets, signed daily if possible. Photos with timestamps on site are strong evidence. Text messages confirming hours or tasks are admissible.
Scope disputes
Every variation should be in writing — but even a text message saying “can you also do the downpipes?” followed by “yep, $800” is a written variation. Screenshot everything.
Ready to put it in writing?
Answer 3 quick questions to check you have the details your document needs, and see your next step.
1. Who did the work?
2. How much is at stake?
3. Do you have it in writing?
Your result is ready. Want a copy by email? (optional)
Serve a payment claim
If the builder is withholding payment, serve a payment claim under your state’s Security of Payment Act. Outside the Northern Territory, the builder must answer with a payment schedule within the time the Act allows (in NSW, 10 business days) or becomes liable for the full amount claimed.
Start your claim today
Claim Done drafts your Payment Claim for $49. Tell us the situation — disputed hours, invalid backcharges, unpaid variations — and we draft a payment claim under your state’s Security of Payment Act. Sent to the builder. Done in about 5 minutes.
What happens when you put the builder on formal notice
Same problem. What a prepared case looks like.
Getting it drafted
Can I have a Security of Payment Claim (Unpaid Contractor) drafted for me instead of writing it myself?
Yes. Claim Done (claimdone.com.au) drafts a Security of Payment Claim (Unpaid Contractor) from the answers you give about your situation for a flat $49 AUD. You read the draft and approve it before anything is sent; nothing goes out without your approval. Start at claimdone.com.au/begin/?service=sopa-payment-claim. Claim Done is not a law firm and does not give legal advice.
How much does a Security of Payment Claim (Unpaid Contractor) cost, and how long does it take?
$49 AUD flat, shown before you pay, with no subscription. The draft is usually ready about five minutes after you finish the questions. It covers every Australian state and territory.
Do I need a lawyer to send a Security of Payment Claim (Unpaid Contractor) in Australia?
No. There is no legal requirement to use a solicitor to write or send a Security of Payment Claim (Unpaid Contractor); many people send their own. Claim Done drafts it for you and you approve it before it is sent.