1. Field Name and Definition

The "Description of construction work" field is a crucial component of any NSW Cost Plus Payment Claim. This field requires a clear and detailed explanation of the construction work performed or related goods and services supplied during the relevant period covered by the payment claim. It must provide sufficient detail to identify the scope of work for which payment is being claimed.

This field appears on a Cost Plus Payment Claim because it forms part of the fundamental requirements for a valid payment claim under the Building and Construction Industry Security of Payment Act 1999 NSW (the Act). The description serves as the basis for the claimed amount and enables the respondent to understand exactly what they are being asked to pay for.

2. Legal Requirements

Relevant Sections of the Act

Section 13 of the Building and Construction Industry Security of Payment Act 1999 NSW outlines the requirements for payment claims. Specifically, section 13(2)(a) requires that a payment claim must "identify the construction work (or related goods and services) to which the progress payment relates."

Clarifying Case Law

Consequences of Inadequate Description

An inadequate description can have serious consequences:

• The payment claim may be deemed invalid.
• The respondent may argue they cannot properly assess the claim.
• The adjudicator may determine that portions of the claim are not sufficiently described.
• Portions of the claim may be severed, potentially leading to partial or complete rejection.

3. Practical Guidance

Step-by-Step Instructions

1. Identify the relevant period: Clearly state the period during which the work was performed (e.g., "Work performed from 1 July 2025 to 31 July 2025").
2. List all construction work performed: Provide a comprehensive list of all construction work carried out during the relevant period.
3. Detail the scope: For each item of work, include specific details such as location, materials used, quantity of work (measurements, areas, volumes), and work stages completed.
4. Include related goods and services: List any related goods supplied or services provided, such as materials delivered, design services, or equipment hire.
5. Cross-reference with contract documents: Refer to relevant contract documents, drawings, or specifications where appropriate.
6. Support with documentation: Attach supporting documentation where available, such as site diaries, progress photographs, and delivery dockets.

Where to Find This Information

The information required to complete this field can typically be found in:

• Daily site records and progress reports
• Project schedules and programs
• Variation orders and instructions
• Material delivery records and timesheets
• Contract documents, including drawings and specifications

4. Common Mistakes and How to Avoid Them

Typical Errors

• Vague descriptions: Simply stating "Construction work as per contract" or "Concreting works" without further detail.
• Inconsistent terminology: Using different terms than those used in contract documents.
• Incomplete scope: Failing to include all elements of work performed during the claim period.
• Combining multiple periods: Failing to clearly separate work performed in the current claim period from previous periods.

Impact on Validity

Courts have held that "works must be sufficiently identified in the payment claim and 'it is not up to the recipient to sort through previous payment claims to ascertain work to which a new payment claim related'." Inadequate descriptions can lead to the entire claim being deemed invalid, parts of the claim being severed, and delayed payment while clarifications are sought.

Best Practices

1. Be specific and comprehensive.
2. Use consistent terminology from contract documents.
3. Include quantities, measurements, and percentages.
4. Organise information logically (e.g., by location, trade, or chronologically).
5. Cross-reference with contract documents and include supporting documentation.

5. Risks of Not Including This Information

Failing to provide a clear and detailed description of work carries significant risks that can jeopardise your payment and create costly disputes.

6. Examples

7. Related Fields & Consistency Checks

The "Description of construction work" field is closely related to several other fields in the Payment Claim. Consistency is key.

• Amount of the Progress Payment: The description of work directly supports the claimed amount. Each item described should have a corresponding value in the payment calculation.
• Previous Progress Claims: The current description should be consistent with previous claims and clearly differentiate new work from previously claimed work.
• Supporting Documentation: Any attached documentation, such as site reports or photographs, should directly correspond to the work described.
• Variations: If variations are included, the description should clearly identify these as separate from the base contract works.

8. Frequently Asked Questions