
Dispute about Dry Hire Agreement
We acted for a crane company (Owner) that was engaged by another crane company (Hirer) under a dry hire arrangement.
The hire agreement continued for a number of years.
A dispute arose about unpaid hire charges and damage to the crane. The Owner promptly recovered the crane but was unable to put the crane back on hire immediately.
The contract contained a term which allowed the Owner to continue charging hire charges until the crane was in an onsite hire condition.
We assisted our client in applying for adjudication under the Building Industry Fairness (Security of Payment) Act 2017 (Queensland SOPA legislation). We obtained a favourable adjudication determination for the Owner which included both:
- the unpaid hire charges; and
- the hire charges that accrued between recovery and the crane being back in an onsite hire condition.
Lesson: contractual terms determine your rights and obligations under a contract. Ensure your contract is specifically drafted for the way you trade.

Dispute with Joinery Contractor
We acted for a residential builder that had been engaged by a homeowner to build a luxury house in Melbourne.
Our client engaged a joinery subcontractor.
The joinery subcontractor was recommended by the homeowner and the homeowner agreed to pay the joinery subcontractor directly. However, there was a contract between the joinery subcontractor and the residential builder.
When the works were completed, a payment dispute arose between the residential builder and the homeowner.
Over six months after the joinery works were completed, the joinery subcontractor alleged that the homeowner had not made any payments for the joinery works.
The joinery subcontractor applied for adjudication under the Building and Construction Industry Security of Payment Act 2002 (VIC) (Victorian SOPA Legislation) against our client, the residential builder.
We successfully argued that there was no reference date because no work had been completed under the joinery contract for more than three months.
Lesson Learnt:
- there is a strict time limit for pursuing debts under the Security of Payment legislation. Those seeking to use the legislation must act promptly.
- If collateral (or side/handshake) agreements are made, seek legal advice and ensure they are correctly documented.