Substative Defence

This is a challenge against the veracity and substance against the CIPAA Claim.

Technical Objection

Technical objection may be in the form of jurisdictional challenge or when there has been a procedural defects or non-compliance of time.

Set-off / Deduction

The Non-Paying Party / Respondent may also seek to 'zerorise' the CIPAA claim by way of counterclaim or set-off in the LAD, rectification cost, retention sum and etc.

What should you do next?

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Received a CIPAA Payment Claim? What should you do?

What should you really do if you receive a CIPAA Payment Claim, alleging that there is outstanding payment being due and payable? What should you do under the circumstance if you wish to challenge the claim?

This article explores the steps ought to be taken by a Non-Paying Party upon the receipt of a CIPAA Payment Claim (Form 5).

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CIPAA 101 | Construction Industry Payment and Adjudication Act 2012
Defending Against a CIPAA Claim

Given the high success rate of a CIPAA claim against the non-paying parties / Respondent, it naturally places enormous pressure and stress on the Respondent upon the receipt of a CIPAA claim.

In this article, we set out to explain the defences a Respondent may put up to defeat a CIPAA claim.

There are 3 types of defences a Respondent may raise: 1. Substantive Challenge 2. Technical Objection 3. Counterclaim / Set-Off

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Procedure for CIPAA Adjudication Proceeding

CIPAA Adjudication Proceeding offers a quick and efficient procedure to this problem as the Adjudication Decision can be rendered within 80 – 95 working days and the Winning Party may then enforce the Adjudication Decision and recover the outstanding payment or professional fees.

In this article, we will set out the procedure and the complete guide of the CIPAA Adjudication Proceeding from A – Z: 1. Payment Claim 2. Payment Response, 3. Notice of Adjudication 4. Adjudication Claim, 5. Adjudication Response, 6. Adjudication Reply, 7. Adjudication Decision.

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We understand the enormous financial pressure faced in the construction industry in Malaysia ranging from the Developer, Contractor to the Consultant. As such, our first consultation is completely free of charge. 

There is no obligations on your part and you are free to walk away if you decide not to engage us as your representative.

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