Introduction This article aims to provide a full and comprehensive guide to the Malaysia CIPAA (Construction Industry Payment and Adjudication
Construction Industry Payment and Adjudication Act 2012
Tag: CIPAA 101
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).
Before resorting to mount a CIPAA claim under Construction Industry Payment and Adjudication Act 2012 (CIPAA), one would understandably also want to fully appreciate the costs typically involved in the CIPAA Proceedings.
This article sets out the costs typically involved in CIPAA and explains whether the costs of CIPAA can be recovered by the winning party.
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.
CIPAA (Construction Industry Payment and Adjudication Act 2012) is a legislation enacted on 15th April 2014 by the Parliament of Malaysia to resolve the construction payment dispute and alleviate the cash flow in the construction industry through the statutory CIPAA adjudication process.
The mechanism of CIPAA offers ‘rough justice’ to the Claimant and it is often described as ‘pay now, argue later’. This is evident from the statistic provided by AIAC in 2017 that a whooping 89.28% of the CIPAA Adjudication Decision is awarded in favour of the Claimant.
But what are the requirements to launch a CIPAA claim?
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