Tag: adjudicated sum

Construction Industry Payment and Adjudication Act 2012

Tag: adjudicated sum

CIPAA Consulting News & Update Background

CASE UPDATE: Adjudicator has Power to Grant Pre-Award Interest in CIPAA

Milsonland Development Sdn Bhd v Macro Resources Sdn Bhd [2017] 8 MLJ 708

In this case, the High Court clarifies that an Adjudicator has the power to grant pre-award interest pursuant to Section 25(O) of CIPAA.

For completion, pre-award Interest, as the name suggests, refers to the interest calculated from the date of the supposed due date of payment until the date of Adjudication Decision.

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Enforcement of CIPAA Adjudication Decision

Under the Part IV of Construction Industry Payment and Adjudication Act 2012, there are 3 methods of enforcement which can be exercised concurrently:-

Section 28: Enforcement of Adjudication Decision as Judgment

Section 29: Suspension or reduction of rate of progress of Performance

Section 30: Direct Payment from Principal

Winding up Proceeding: The winning party may also seek to enforce the Adjudication Decision by issuing a Statutory Demand under Section 466 of Company Act 2016. If the losing party fails to meet the demanded Adjudicated Sum within 21 days, the winning party may proceed to wind up the losing party and liquidate its assets to meet the debt.

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