Purchase Order (National)

  1. TAX INVOICES AND PAYMENT
    1. You may make claims for payment:
      1. in respect of the Goods, after the Goods have been delivered and accepted by us under clause 5(c) once on the last day of that month.
    2. You must submit your payment claim:
      1. with a valid tax invoice, which must state the Purchase Order (PO) number;
      2. based on the value of the Goods supplied or the Services completed; and 
      3. to our Hutchinson Builders’ Accounts Payable (AP) Team by email – ap@hutchinsonbuilders.com.au.
    3. If we dispute the amount you have claimed, we may issue you a payment schedule setting out the amount we think is due and the reasons for the difference within the timeframe governed by the relevant State or Territory legislation after the date on which you gave us a valid payment claim.
    4. Subject to clause 1(c), we must pay to you the value of the Goods determined by us, less any amounts we are entitled to retain or withhold and amounts previously paid.
    5. Subject to any payment which is disputed, amounts payable under clause 1 will be paid within 25 business days or the timeframe required under the Act, whichever is sooner.
    6. In consideration of us making the final payment to you, you release us from all claims and actions and agree that you have no claim whatsoever arising out of or in connection with this PO, the Goods.
  2. SCOPE OF CONTRACT

    You must:
    1. supply the Goods to our satisfaction and in accordance with this PO; 
    2. comply with the directions of our representative given in writing, including by email (but not directions given orally); 
    3. supply and deliver the Goods to us by the Delivery Date; 
    4. comply with our quality management program and requirements; 
    5. obtain and comply with all permits and approvals necessary to supply the Goods (unless this PO expressly says that we will); and
    6. exercise a high standard of skill, care and diligence in relation to the Goods; 
    7. ensure that no Goods supplied by you are ‘Non-Conforming Building Products’ as defined under the relevant National, State or Territory based legislation; and
    8. provide the ‘Required Information’ required by the relevant National, State or Territory legislation and other information prescribed by regulation to us in relation to Goods supplied by you before you deliver the Goods to us.
    9. Unless otherwise specified, the Goods must be in accordance with this Purchase Order, and all relevant standards of the Standards Association of Australia in force at the date of delivery.

      You are responsible for the care of the Goods until we accept them under 5(c).
  3. PRICE
    1. The PO Price is fixed and is not subject to any adjustment on account of any rise or fall whatsoever unless expressly stated. 
    2. If we have not specified a quantity, the Supplier is responsible to supply the quantity of Goods on the documents provided.
    3. If a rate or price is not completed on the PO – prior agreed rates will apply.
  4. DOCUMENTS
    1. The information and documents (including copyright) made available to you by us or on our behalf remain our property.
    2. You have no claim on account of any alleged statement, warranty, representation, information or documents made or provided to you by us or on our behalf.
    3. Ownership of any intellectual property created vests in us. We grant you an irrevocable, transferrable and royalty free licence to use all intellectual property provided in connection with this PO. 
  5. DELIVERIES
    1. You must give our representative reasonable advance notice prior to delivering the Goods to the Site. 
    2. Goods must be delivered during normal Site hours unless you make alternative arrangements with our representative.
    3. Delivery documents must accompany the Goods and be signed for by one of our authorised representatives. 
    4. The Goods are delivered when the Goods are in accordance with this PO and delivery is acknowledged in writing by our representative.
    5. Goods that are not in accordance with this PO are deemed to not have been delivered.
    6. You indemnify us against liability due to late delivery of the subject Goods.
    7. Title to any Goods supplied passes to us on the earlier of delivery of or payment for them.
  6. DELIVERING THE GOODS
    1. You must:
      1. comply with any Site policies or requirements notified to you; 
      2. not cause any harm or damage to the environment or the work of any other contractors; 
      3. prevent nuisance and unreasonable noise and disturbance; and
      4. take all measures to protect people and property (including the Goods) from loss or damage.
    2. If we need to carry out urgent works to protect persons or property which you should have done, we can recover our costs as a debt due and owing from you.
  7. DEFECTS
    1. The Supplier provides a minimum 1 year warranty from the Project's Certificate of Occupancy / Classification.
    2. If there is any defect in anything supplied by you under this PO, we may make a written request that the defect is rectified at your cost and you must comply with the request within the time stated in that request (or if not time is stated within 10 days).
    3. If you do not rectify the defect in accordance with our request the cost of the rectification is a liquidated debt due and owing from you to us.
    4. Your obligation to rectify includes an obligation to replace or re-supply with Goods which are not defective as required by law or as is reasonably necessary.
  8. SECURITY
    1. If this PO indicates ‘Yes’ to retention money, we will withhold from each payment to you made under clause 1 retention money equal to 10% of that payment until we hold a total of 5% of the PO Price. 
    2. We may have recourse to retention money whenever we claim to be entitled to the payment of monies by you under this PO or otherwise.
    3. Subject to us using the retention money, within 14 days after the later of the Delivery Date or the Completion Date (as applicable) we will release to you any retention money.
  9. CANCELLATION

    If the Goods are:
    1. not delivered or completed within forty eight (48) hours after the Delivery Date or the Completion Date (as applicable) or any extended dates agreed to by us in writing; or
    2. determined by us not to comply with this PO, then we may, at our discretion, terminate this PO by notice in writing to you and cancel any undelivered Goods or unperformed Services and shall not be obliged to make any payment thereof or in respect of such cancellation.
  10. WORK HEALTH AND SAFETY

    You must:
    1. maintain appropriate safety precautions and programs so as to prevent injury to persons or damage to property on or near the Site; 
    2. comply with our work health and safety plans and requirements, including any Site specified induction program and the ‘Hutchinson Builders Subcontractor HSE Requirements’; and
    3. promptly notify, provide information and cooperate with us with respect to any reportable incident. 
    4. Goods supplied to site and Site specific work methods, including all Services must meet the requirements of all Work Health and Safety legislation, as well as advisory standards, codes of practice and laws in the State or Territory to which the Goods are provided.
  11. HIRE
    1. If the Agreement is for the hire of any of your equipment, you must:
      1. supply the hired equipment from the date of this PO to the Completion Date (Hire Period); 
      2. not deliver to or remove from the Site the hired equipment without our prior written approval; and
      3. effect and maintain insurance for the hired equipment covering all insurable risks of bodily injury, death or property damage arising from its use for the Hire Period.
    2. Hire equipment supplied by you which is not in accordance with this PO is deemed not to have been delivered.
    3. You warrant that any hired equipment supplied to us is in good working order and will be maintained as such for the Hire Period.
    4. If we are of the opinion that any of the hired equipment supplied by you is not in good working order, we may notify you of this. 
    5. You must rectify any hired equipment that is not in good working order within one hour of receiving notification (or such longer period as agreed between us and you) and you are liable for any costs incurred by us as result of any failure in the hired equipment.
  12. THE AGREEMENT
    1. The conditions and warranties in Chapter 3, Part 3-2 of Schedule 2 of the Competition and Consumer Act 2010 (Cth) expressly apply to the Goods and Services provided by you.
    2. If something is required to be done under the PO on a day which isn’t a business day it must be done on the next business day.
    3. The law of the State or Territory in which the Site is located governs this PO.This PO comprises the whole of the agreement between the parties and any prior representations and other terms are excluded.
    4. This PO comprises the whole of the agreement between the parties and any prior representations and other terms are excluded. 
    5. You will be taken to have accepted the terms of this PO by commencing the supply of the Goods or by confirming (verbally or in writing) that you will supply the Goods.
    6. You indemnify us against any liability to or claim by a third party and all costs, charges, expenses, fines, penalties, losses and damages suffered or incurred by us in connection with any wilful or negligent act or omission or breach of this PO by you.
    7. Without limiting our other rights and remedies, we may at any time(s) deduct from moneys otherwise due to you (including from an amount stated in a payment schedule) any losses, costs, expenses and damages (including for breach of contract) we have or may suffer or claimed to have suffered or incurred as a result of any act or omission by you (including negligence) and for which you may be liable.  
  13. THE BUILDING CODE

    The Code for the Tendering and Performance of Building Work 2016 (available at https://www.legislation.gov.au/Details/F2016L01859) (Building Code) or any State Government issued Guidelines may apply to this PO. You acknowledge that during the advertising, expression of interest and tender process you have been made aware as to whether or not the Building Code or Guidelines apply and where it does apply, by supplying the Goods and carrying out the Services you:
    1. acknowledge that you are subject to the Building Code and/or Guidelines and have reviewed the Building Code and/or Guidelines; and
    2. warrant that you understand and will comply with the Building Code and/or Guidelines.
  14. RIGHT OF SET-OFF
    1. The Contractor may set off against any payment due to the Subcontractor:
      1. any debt due from the Subcontractor to the Contractor; or
      2. any other amount which the Contractor, in its bona fide opinion, believes the Subcontractor is liable to pay (or is likely to become liable to pay) to the Contractor.
    2. This subclause 14 survives termination or expiration of the Subcontract.

PO Terms Effective 01/04/2019

Works Order (QLD / NT)

  1. DEFINITIONS

    Act means:
    1. the building and construction industry security of payments legislation applicable to the jurisdiction in which the Site is located.
    Subcontractor Practical Completion is that stage in the execution of the Works when the Works are complete except for minor defects and/or omissions that do not prevent the Works from being capable of being used for their intended purpose.

    Defects Liability Period means a 12 month period commencing at the Project's Certificate of Occupancy / Classification.

  2. OBLIGATIONS OF THE PARTIES
    1. The Subcontractor warrants that at all times it shall be suitably qualified and experienced, and if necessary licenced to carry out the Works. 
    2. The Subcontractor warrants that it shall carry out and complete the Works:
      1. using employees who can legally work in Australia; 
      2. in a proper and tradesperson like manner; 
      3. in accordance with the Subcontract and the Contractor’s Directions;
      4. in accordance with all legislative requirements including the National Construction Code (‘NCC’) and any relevant Australian Standards (‘AS’) applicable to the Works;
      5. using materials that are new, free of defects and of the highest quality and fit and suitable for the purpose or application required; 
      6. to ensure Practical Completion is achieved by the Date for Practical Completion.
    3. The warranties provided by the Subcontractor under this clause are for a minimum period of 7 years (unless stated otherwise) from the date of Practical Completion. 
    4. The Subcontractor must satisfy itself as to the suitability of the Site, including any natural or artificial subsurface, surface or physical conditions in, on or above the Site, and shall not be entitled to make any claim against the Contractor in relation to the Subcontract or the Site. 
  3. DOCUMENTS & INTELLECTUAL PROPERTY

    The Contractor retains all intellectual property in the documents created for the construction of the Works. The Subcontractor shall not use, copy or reproduce the documents provided by the Contractor for any purpose other than the works. The Subcontractor must keep theses terms
    and the content of all documents provided to it or produced by it in relation to the work under the subcontract, confidential.
  4. VARIATIONS
    1. The Subcontractor shall not vary the Works except in accordance with the Contractor’s written authorisation.
    2. The Subcontractor may request a Variation, however for a Variation for the convenience of the Subcontractor the Subcontractor shall not be entitled to either extra time or costs. 
    3. The Subcontractor shall not be entitled to claim payment for any Variation not authorised in writing by the Contractor. 
    4. The agreed price of any Variation shall be added to or deducted from the Subcontract Sum. If the parties have not agreed upon a price prior to the commencement of any work comprising a Variation then the Contractor will, acting reasonably, determine the value of the Variation.
  5. SECURITY
    1. Security shall be provided in the form specified in the Subcontract Particulars unless box is ticked 'No'. 
    2. The Contractor may have recourse to security:
      1. where an amount due to the Contractor under the Subcontract or otherwise remains unpaid after the time for payment; or 
      2. in respect of any claim to payment (liquidated or otherwise) the Contractor may have or claim to have against the Subcontractor under the Subcontract or otherwise, on the giving of written notice to the Subcontractor. 
    3. The Contractor shall release 50% of security held (less any set-offs in (b) above) within 30 days of the later of:
      1. Practical Completion being achieved; or 
      2. building certification by a third-party building surveyor or certifier. 
    4. Subject to any right under clause 6(b), the balance of any remaining security shall be released by the Contractor within 30 days of the later of:
      1. the issue of the final certificate in clause 8(b); or 
      2. the supply by the Subcontractor to the Contractor of a final defects list which has been approved by the Contractor. 
    5. This clause survives the termination or expiration of this Subcontract.
  6. PAYMENT
    1. From the Date for Commencement and prior to Practical Completion, the Subcontractor shall submit one payment claim per job, per month, on the last business day of the month, and sent to ap@hutchinsonbuilders.com.au.
    2. The claim should be in the form of a tax invoice, quoting this order number.  
    3. All progress claims shall be submitted to the Contractor in a valid individually numbered GST tax invoice format and shall include:
      1. details of the actual cost of work carried out by the Subcontractor up to and including the date the Subcontractor submits its claim;
      2. details of the amounts otherwise due from the Contractor to the Subcontractor or from the Subcontractor to the Contractor; 
      3. details of amounts claimed for Variations which have been authorised by the Contractor in writing; 
      4. evidence of compliance with Industrial Conditions
        as may be required under this Subcontract;
      5. a declaration as to payment of contractors, workers and suppliers in the form required by the Contractor. 
    4. On receipt of a progress claim which is compliant with this clause 6, the Contractor shall:
      1. Pay the claimed amount within 25 business days or the timeframe required under the Act, whichever is sooner; or 
      2. issue a progress certificate assessing the amount owing as required by the Act (‘Scheduled Amount’); and pay the Scheduled Amount to the Subcontractor within 25 business days or the timeframe as required by the Act, whichever is sooner.  
    5. Except for final payment, payment by the Contractor of any progress claim shall be a payment on account only and not evidence that the work has been carried out satisfactorily. 
    6. The Contractor may set-off or deduct from any moneys due to the Subcontractor any debt due from the Subcontractor to the Contractor, or any other amount which the Contractor claims the Subcontractor is liable to pay to the Contractor under the Subcontract. The provisions of this clause 8(e) will survive the termination or expiration of the Subcontract.
  7. PRICE


    1. The WO Price is fixed and is not subject to any adjustment on account of any rise or fall whatsoever unless expressly stated.
    2. If we have not specified a quantity, the Subcontractor is responsible to supply the quantity of Goods on the documents provided. 
    3. If a rate or price is not completed on the WO – prior agreed rates will apply.
  8. FINAL ACCOUNT
    1. When security is required in the Subcontract Particulars, the Subcontractor shall submit its final progress claim within 10 Business Days of the date of expiry of the last Defects Liability Period. In addition to the requirements in clause 7, the final progress claim is to be endorsed “Final Progress Claim” and is to include:
      1. a final defects list setting out all defects which the Subcontractor has been directed to rectify by the Contractor and which the Subcontractor has rectified during the Defects Liability Period; 
      2. a final statement setting out the details of all moneys claimed or owing by the Subcontractor under, or in connection with, the subject matter of the Subcontract. 
    2. The Contractor shall issue a final certificate assessing the claim within 10 Business Days and make payment of the amount assessed within the timeframe required under the Act. 
    3. The final certificate shall be conclusive evidence of accord and satisfaction, and in discharge of each party’s obligations in connection with the subject matter of the Subcontract, except for unresolved issues which have been the subject of a written notice of dispute (including in relation to the final defects list) issued to and received by the other party before the issue of the final certificate.
  9. DEFECTS
    1. The Subcontractor shall rectify at its own cost any part of the Works that is defective (including omitted). 
    2. As soon as reasonably possible after Practical Completion the Subcontractor shall rectify all defects existing at Practical Completion.
    3. At any time prior to the expiration of the Defects Liability Period, the Contractor may give the Subcontractor a Direction to rectify a defect (including a defect in the Materials) within a reasonable time period. The Subcontractor shall carry out rectification as Directed and at times and in a manner causing as little inconvenience to the occupants or users of the Project as is reasonably possible. 
    4. If the rectification is not carried out as Directed, the Contractor may have the rectification carried out by others and the costs incurred shall be a debt due and payable by the Subcontractor to the Contractor.
  10. INDEMNITY & INSURANCE
    1. The Subcontractor indemnifies the Contractor against:
      1. loss or damage to any property and claims in respect of personal injury or death arising out of, connected to, or as a consequence of, the Subcontractor carrying out or failing to carry out the Works or breaching this Subcontract; and
      2. any costs, losses or damages that the Contractor pays or becomes liable to pay under the Head Contract but only to the extent that such payment or liability arises out of the Subcontractor’s failure to comply with the Subcontract.  
    2. The Subcontractor shall effect and maintain the insurance specified in the Subcontract Particulars and each policy of insurance shall be on the terms reasonably satisfactory to the Contractor and, other than workers’ compensation insurance, name the Contractor as an insured. If the Subcontractor fails to effectively maintain the insurance the Contractor may do so and the cost shall be a debt due and payable by the Subcontractor to the Contractor. 
    3. The Contractor may withhold payment in full until such time as satisfactory evidence is given.
  11. CARE OF WORKS

    The Subcontractor is responsible for care of the Works from and including the Date for Commencement until 4:00 pm on the date of Practical Completion. The Contractor may set off any costs it incurs to rectify any damage caused by the Subcontractor.
  12. CLEANING

    The Subcontractor shall keep the whole of the area of the Works clean and tidy and is responsible for the daily removal of all rubbish and materials. If the Subcontractor fails to comply with this requirement, the Contractor have the rectification carried out by others and the costs incurred shall be a debt due and payable by the Subcontractor to the Contractor.
  13. TIME AND PROGRESS
    1. The Subcontractor shall be entitled to make a written claim for an extension of time (“EOT”) if the Subcontractor is, or will be, delayed in achieving Practical Completion by the Date for Practical Completion due to a cause which is not reasonably foreseeable and outside the control of a competent and experienced subcontractor. 
    2. The written claim must identify the cause of the delay, the estimated duration of the delay and overall impact on Practical Completion and be given to the Contractor within 5 Business Days of the Subcontractor becoming aware of the delay. 
    3. If the Subcontractor does not comply strictly with the requirements of this clause, it shall not be entitled to make a Claim, nor be granted an EOT. Notwithstanding that the Subcontractor is not entitled to or has not claimed an EOT, the Contractor may for its own benefit, at its sole and absolute discretion and without being under any obligation to do so, at any time (including after the Date for Practical Completion) extend the Date for Practical Completion.  
    4. Any principle of law or equity (including the ‘prevention principle’) which may otherwise render the Date for Practical Completion unenforceable and render any liquidated damages penal, shall not apply.
  14. LIQUIDATED DAMAGES

    Works do not reach Practical Completion by the Date for Practical Completion, the Contractor is entitled to liquidated damages as specified in the Subcontract Particulars for every day after the Date for Delivery or the Date for Practical Completion, as applicable, up to and including the date of delivery or Practical Completion, termination of the Subcontract or work being taken out of the Subcontractor’s hands. The amount calculated shall be a debt due and payable by the Subcontractor to the Contractor.
  15. COMPLIANCE WITH STATUSES
    1. The Subcontractor shall comply with all legislative requirements relating to the Works, including any direction from a local authority or other body having jurisdiction over the carrying out of the Works.
    2. The Subcontractor indemnifies the Contractor against all loss, damage, expenses or costs incurred or suffered by the Contractor arising out of or in connection with a breach of the Subcontractor’s statutory and contractual obligations under clause 15. 
  16. WORK HEALTH AND SAFETY
    1. In performing the Works, the Subcontractor shall be responsible for ensuring that its employees and/or secondary subcontractors complete the work under the Subcontract safely and in accordance with all legislative requirements. 
    2. The Subcontractor must ensure that:
      1. you comply with our work health and safety plans and requirements, including any Site specified induction program and the ‘Hutchinson Builders Subcontractor HSE Requirements’; and
      2. no person is exposed to risks to their health and safety;
      3. the Subcontract Works are carried out using a safety management system; and
      4. the Subcontractor complies with the Contractor’s safety plan;
      5. the cost of compliance with the requirements of this clause are deemed included in the Subcontract Sum / Rates.
  17. ASSIGNMENT

    The Subcontractor shall not assign the Subcontract or any right, benefit or interest under the Subcontract or subcontract any part of the Works without the Contractor’s written approval, which is not to be unreasonably withheld.
  18. HOURS OF WORK

    Unless stated elsewhere, working hours and working days shall be as notified by the Contractor to the Subcontractor.
  19. DEFAULT AND TERMINATION
    1. If the Subcontractor does not comply with any of its obligations in accordance with this Subcontract and fails to rectify the breach within 5 Business Days after the Contractor has notified the Subcontractor that the Contractor requires the Subcontractor to do so, then without limiting the Contractor’s rights, the Contractor may by giving noticing in writing:
      1. take out of the Subcontractor’s hands the whole or part of the Works remaining to be completed and suspend payment; or 
      2. terminate the Subcontract. 
    2. Where Works are taken out of the Subcontractor’s hands or the Subcontract is terminated and as a result, the Contractor incurs additional costs, those costs shall be a debt due and payable by the Subcontractor to the Contractor.
  20. TERMINATION FOR CONVENIENCE

    The Contractor may terminate the Subcontract for any reason by giving the Subcontractor written notice, after which the Subcontractor shall be entitled to be paid for work carried out up to the Subcontract being terminated (subject to set off by the Contractor) and is not entitled to claim for loss of profit on that part of the Works not carried out. This subclause survives termination of expiration of the Subcontract.
  21. THE AGREEMENT

    This WO comprises the whole of the agreement between the parties and any prior representations and other terms are excluded.
  22. INDUSTRIAL CONDITIONS

    Unless otherwise specified in the Works Order, ensure that all of employees receive wages, allowances and conditions equal to or better than those contained in the J. Hutchinson Pty Ltd and CFMEU Union collective Agreement 2023-2027 (a copy of which is publicly available, has been provided to the Subcontractor during the quotation or tender process prior to execution of the Subcontract or will be made available by the Contractor on request). This applies even if the Subcontractor’s employees engaged on site or in connection with the Subcontract are covered by an award or enterprise agreement, if the rates in the J. Hutchinson Pty Ltd and CFMEU Union collective Agreement 2023-2027 are higher, then pay must be at a higher rate. if any employee of the Subcontractor does not fall within any of the categories of allowances in the appendices to the J. Hutchinson Pty Ltd and CFMEU Union collective Agreement 2023-2027, the Subcontractor must notify the Contractor and confer with the Contractor as to appropriate payments to be made. The Subcontractor must, on request provide within 2 Business Days, evidence of compliance with this clause which will not include any information that is “personal information” within the meaning in the Privacy Act (Cth) 1988, or otherwise allows the identification of individual employees. If the Subcontractor fails to comply with the information request, the Contractor may immediately suspend this Subcontract until compliance is shown and the Subcontractor will have no entitlement to time or cost due to the suspension.
  23. RIGHT OF SET-OFF
    1. The Contractor may set off against any payment due to the Subcontractor:
      1. any debt due from the Subcontractor to the Contractor; or 
      2. any other amount which the Contractor, in its bona fide opinion, believes the Subcontractor is liable to pay (or is likely to become liable to pay) to the Contractor. 
    2. This subclause 23 survives termination or expiration of the Subcontract.

WO Terms Revision 2 / Effective 20/09/2023 / QLD/NT Only

Works Order (NSW / VIC / TAS)

  1. DEFINITIONS

    Act means:
    1. the building and construction industry security of payments legislation applicable to the jurisdiction in which the Site is located.
    Subcontractor Practical Completion is that stage in the execution of the Works when the Works are complete except for minor defects and/or omissions that do not prevent the Works from being capable of being used for their intended purpose.

    Defects Liability Period means a 12 month period commencing at the Project's Certificate of Occupancy / Classification.

  2. OBLIGATIONS OF THE PARTIES
    1. The Subcontractor warrants that at all times it shall be suitably qualified and experienced, and if necessary licenced to carry out the Works. 
    2. The Subcontractor warrants that it shall carry out and complete the Works:
      1. using employees who can legally work in Australia; 
      2. in a proper and tradesperson like manner; 
      3. in accordance with the Subcontract and the Contractor’s Directions;
      4. in accordance with all legislative requirements including the National Construction Code (‘NCC’) and any relevant Australian Standards (‘AS’) applicable to the Works;
      5. using materials that are new, free of defects and of the highest quality and fit and suitable for the purpose or application required; 
      6. to ensure Practical Completion is achieved by the Date for Practical Completion.
    3. The warranties provided by the Subcontractor under this clause are for a minimum period of 7 years (unless stated otherwise) from the date of Practical Completion. 
    4. The Subcontractor must satisfy itself as to the suitability of the Site, including any natural or artificial subsurface, surface or physical conditions in, on or above the Site, and shall not be entitled to make any claim against the Contractor in relation to the Subcontract or the Site. 
  3. DOCUMENTS & INTELLECTUAL PROPERTY

    The Contractor retains all intellectual property in the documents created for the construction of the Works. The Subcontractor shall not use, copy or reproduce the documents provided by the Contractor for any purpose other than the works.
  4. VARIATIONS
    1. The Subcontractor shall not vary the Works except in accordance with the Contractor’s written direction.
    2. The Subcontractor may request a Variation, however for a Variation for the convenience of the Subcontractor the Subcontractor shall not be entitled to either extra time or costs. 
    3. The Subcontractor shall not be entitled to claim payment for any Variation not authorised in writing by the Contractor. 
    4. The agreed price of any Variation shall be added to or deducted from the Subcontract Sum. If the parties have not agreed upon a price prior to the commencement of any work comprising a Variation then the Contractor will, acting reasonably, determine the value of the Variation.
  5. SECURITY
    1. Security shall be provided in the form specified in the Subcontract Particulars unless box is ticked 'No'. 
    2. The Contractor may have recourse to security:
      1. where an amount due to the Contractor under the Subcontract or otherwise remains unpaid after the time for payment; or 
      2. in respect of any claim to payment (liquidated or otherwise) the Contractor may have or claim to have against the Subcontractor under the Subcontract or otherwise, on the giving of written notice to the Subcontractor. 
    3. The Contractor shall release 50% of security held (less any set-offs in (b) above) within 30 days of the later of:
      1. Practical Completion being achieved; or 
      2. building certification by a third-party building surveyor or certifier. 
    4. Subject to any right under clause 6(b), the balance of any remaining security shall be released by the Contractor within 30 days of the later of:
      1. the issue of the final certificate in clause 8(b); or 
      2. the supply by the Subcontractor to the Contractor of a final defects list which has been approved by the Contractor. 
    5. This clause survives the termination or expiration of this Subcontract.
  6. PAYMENT
    1. From the Date for Commencement and prior to Practical Completion, the Subcontractor shall submit one payment claim per job, per month, on the last business day of the month, and sent to ap@hutchinsonbuilders.com.au.
    2. The claim should be in the form of a tax invoice, quoting this order number.  
    3. All progress claims shall be submitted to the Contractor in a valid individually numbered GST tax invoice format and shall include:
      1. details of the actual cost of work carried out by the Subcontractor up to and including the date the Subcontractor submits its claim;
      2. details of the amounts otherwise due from the Contractor to the Subcontractor or from the Subcontractor to the Contractor; 
      3. details of amounts claimed for Variations which have been authorised by the Contractor in writing; 
      4. a declaration as to payment of contractors, workers and suppliers in the form required by the Contractor. 
    4. On receipt of a progress claim which is compliant with this clause 6, the Contractor shall:
      1. Pay the claimed amount within 25 business days or the timeframe required under the Act, whichever is sooner; or 
      2. issue a progress certificate assessing the amount owing as required by the Act (‘Scheduled Amount’); and pay the Scheduled Amount to the Subcontractor within 25 business days or the timeframe as required by the Act, whichever is sooner.  
    5. Except for final payment, payment by the Contractor of any progress claim shall be a payment on account only and not evidence that the work has been carried out satisfactorily. 
    6. The Contractor may set-off or deduct from any moneys due to the Subcontractor any debt due from the Subcontractor to the Contractor, or any other amount which the Contractor claims the Subcontractor is liable to pay to the Contractor under the Subcontract. The provisions of this clause 8(e) will survive the termination or expiration of the Subcontract.
  7. PRICE


    1. The WO Price is fixed and is not subject to any adjustment on account of any rise or fall whatsoever unless expressly stated.
    2. If we have not specified a quantity, the Subcontractor is responsible to supply the quantity of Goods on the documents provided. 
    3. If a rate or price is not completed on the WO – prior agreed rates will apply.
  8. FINAL ACCOUNT
    1. When security is required in the Subcontract Particulars, the Subcontractor shall submit its final progress claim within 10 Business Days of the date of expiry of the last Defects Liability Period. In addition to the requirements in clause 7, the final progress claim is to be endorsed “Final Progress Claim” and is to include:
      1. a final defects list setting out all defects which the Subcontractor has been directed to rectify by the Contractor and which the Subcontractor has rectified during the Defects Liability Period; 
      2. a final statement setting out the details of all moneys claimed or owing by the Subcontractor under, or in connection with, the subject matter of the Subcontract. 
    2. The Contractor shall issue a final certificate assessing the claim within 10 Business Days and make payment of the amount assessed within the timeframe required under the Act. 
    3. The final certificate shall be conclusive evidence of accord and satisfaction, and in discharge of each party’s obligations in connection with the subject matter of the Subcontract, except for unresolved issues which have been the subject of a written notice of dispute (including in relation to the final defects list) issued to and received by the other party before the issue of the final certificate.
  9. DEFECTS
    1. The Subcontractor shall rectify at its own cost any part of the Works that is defective (including omitted). 
    2. As soon as reasonably possible after Practical Completion the Subcontractor shall rectify all defects existing at Practical Completion.
    3. At any time prior to the expiration of the Defects Liability Period, the Contractor may give the Subcontractor a Direction to rectify a defect (including a defect in the Materials) within a reasonable time period. The Subcontractor shall carry out rectification as Directed and at times and in a manner causing as little inconvenience to the occupants or users of the Project as is reasonably possible. 
    4. If the rectification is not carried out as Directed, the Contractor may have the rectification carried out by others and the costs incurred shall be a debt due and payable by the Subcontractor to the Contractor.
  10. INDEMNITY & INSURANCE
    1. The Subcontractor indemnifies the Contractor against:
      1. loss or damage to any property and claims in respect of personal injury or death arising out of, connected to, or as a consequence of, the Subcontractor carrying out or failing to carry out the Works or breaching this Subcontract; and
      2. any costs, losses or damages that the Contractor pays or becomes liable to pay under the Head Contract but only to the extent that such payment or liability arises out of the Subcontractor’s failure to comply with the Subcontract.  
    2. The Subcontractor shall effect and maintain the insurance specified in the Subcontract Particulars and each policy of insurance shall be on the terms reasonably satisfactory to the Contractor and, other than workers’ compensation insurance, name the Contractor as an insured. If the Subcontractor fails to effectively maintain the insurance the Contractor may do so and the cost shall be a debt due and payable by the Subcontractor to the Contractor. 
    3. The Contractor may withhold payment in full until such time as satisfactory evidence is given.
  11. CARE OF WORKS

    The Subcontractor is responsible for care of the Works from and including the Date for Commencement until 4:00 pm on the date of Practical Completion. The Contractor may set off any costs it incurs to rectify any damage caused by the Subcontractor.
  12. CLEANING

    The Subcontractor shall keep the whole of the area of the Works clean and tidy and is responsible for the daily removal of all rubbish and materials. If the Subcontractor fails to comply with this requirement, the Contractor have the rectification carried out by others and the costs incurred shall be a debt due and payable by the Subcontractor to the Contractor.
  13. TIME AND PROGRESS
    1. The Subcontractor shall be entitled to make a written claim for an extension of time (“EOT”) if the Subcontractor is, or will be, delayed in achieving Practical Completion by the Date for Practical Completion due to a cause which is not reasonably foreseeable and outside the control of a competent and experienced subcontractor. 
    2. The written claim must identify the cause of the delay, the estimated duration of the delay and overall impact on Practical Completion and be given to the Contractor within 5 Business Days of the Subcontractor becoming aware of the delay. 
    3. If the Subcontractor does not comply strictly with the requirements of this clause, it shall not be entitled to make a Claim, nor be granted an EOT. Notwithstanding that the Subcontractor is not entitled to or has not claimed an EOT, the Contractor may for its own benefit, at its sole and absolute discretion and without being under any obligation to do so, at any time (including after the Date for Practical Completion) extend the Date for Practical Completion.  
    4. Any principle of law or equity (including the ‘prevention principle’) which may otherwise render the Date for Practical Completion unenforceable and render any liquidated damages penal, shall not apply.
  14. LIQUIDATED DAMAGES

    Works do not reach Practical Completion by the Date for Practical Completion, the Contractor is entitled to liquidated damages as specified in the Subcontract Particulars for every day after the Date for Delivery or the Date for Practical Completion, as applicable, up to and including the date of delivery or Practical Completion, termination of the Subcontract or work being taken out of the Subcontractor’s hands. The amount calculated shall be a debt due and payable by the Subcontractor to the Contractor.
  15. COMPLIANCE WITH STATUSES
    1. The Subcontractor shall comply with all legislative requirements relating to the Works, including any direction from a local authority or other body having jurisdiction over the carrying out of the Works.
    2. The Subcontractor indemnifies the Contractor against all loss, damage, expenses or costs incurred or suffered by the Contractor arising out of or in connection with a breach of the Subcontractor’s statutory and contractual obligations under clause 15. 
  16. WORK HEALTH AND SAFETY
    1. In performing the Works, the Subcontractor shall be responsible for ensuring that its employees and/or secondary subcontractors complete the work under the Subcontract safely and in accordance with all legislative requirements. 
    2. The Subcontractor must ensure that:
      1. you comply with our work health and safety plans and requirements, including any Site specified induction program and the ‘Hutchinson Builders Subcontractor HSE Requirements’; and
      2. no person is exposed to risks to their health and safety;
      3. the Subcontract Works are carried out using a safety management system; and
      4. the Subcontractor complies with the Contractor’s safety plan;
      5. the cost of compliance with the requirements of this clause are deemed included in the Subcontract Sum / Rates.
  17. ASSIGNMENT

    The Subcontractor shall not assign the Subcontract or any right, benefit or interest under the Subcontract or subcontract any part of the Works without the Contractor’s written approval, which is not to be unreasonably withheld.
  18. HOURS OF WORK

    Unless stated elsewhere, working hours and working days shall be as notified by the Contractor to the Subcontractor.
  19. DEFAULT AND TERMINATION
    1. If the Subcontractor does not comply with any of its obligations in accordance with this Subcontract and fails to rectify the breach within 5 Business Days after the Contractor has notified the Subcontractor that the Contractor requires the Subcontractor to do so, then without limiting the Contractor’s rights, the Contractor may by giving noticing in writing:
      1. take out of the Subcontractor’s hands the whole or part of the Works remaining to be completed and suspend payment; or 
      2. terminate the Subcontract. 
    2. Where Works are taken out of the Subcontractor’s hands or the Subcontract is terminated and as a result, the Contractor incurs additional costs, those costs shall be a debt due and payable by the Subcontractor to the Contractor.
  20. TERMINATION FOR CONVENIENCE

    The Contractor may terminate the Subcontract for any reason by giving the Subcontractor written notice, after which the Subcontractor shall be entitled to be paid for work carried out up to the Subcontract being terminated (subject to set off by the Contractor) and is not entitled to claim for loss of profit on that part of the Works not carried out. This subclause survives termination of expiration of the Subcontract.
  21. THE AGREEMENT

    This WO comprises the whole of the agreement between the parties and any prior representations and other terms are excluded.
  22. THE BUILDING CODE

    The Code for the Tendering and Performance of Building Work 2016 (available at https://www.legislation.gov.au/Details/F2016L01859) (Building Code) or any State Government issued Guidelines may apply to this WO. You acknowledge that during the advertising, expression of interest and tender process you have been made aware as to whether or not the Building Code or Guidelines apply and where it does apply, by supplying the Goods and carrying out the Services you:
    1. acknowledge that you are subject to the Building Code and/or Guidelines and have reviewed the Building Code and/or Guidelines; and 
    2. warrant that you understand and will comply with the Building Code and/or Guidelines.
  23. RIGHT OF SET-OFF
    1. The Contractor may set off against any payment due to the Subcontractor:
      1. any debt due from the Subcontractor to the Contractor; or 
      2. any other amount which the Contractor, in its bona fide opinion, believes the Subcontractor is liable to pay (or is likely to become liable to pay) to the Contractor. 
    2. This subclause 23 survives termination or expiration of the Subcontract.

WO Terms Revision 1 / Effective 01/04/2019 / NSW/VIC/TAS Only