You have gone through the CIPAA adjudication process and the Adjudicator has delivered the decision. What happens next? Whether the decision is in your favour or against you, it is important to understand your rights and obligations at this stage.
If the Decision is in Your Favour
Congratulations — the Adjudicator has ordered the Respondent to pay you. Here is what happens next:
Step 1 — Wait for Payment
The Adjudication Decision will specify a timeframe within which the Respondent must pay. This is typically within a short period after the decision is delivered. Check the decision carefully for the exact deadline.
Step 2 — If the Respondent Pays
If the Respondent pays within the specified timeframe, the matter is resolved. Make sure you receive the full amount ordered — including any costs awarded to you.
Step 3 — If the Respondent Refuses to Pay
Unfortunately, some Respondents refuse to comply with the Adjudication Decision despite being ordered to pay. If this happens, you have several powerful enforcement options available under CIPAA 2012:
Option A — Enforce Through the High Court
You can apply to the High Court to enforce the Adjudication Decision as if it were a court judgment. This is a relatively straightforward process and the court will generally enforce a valid Adjudication Decision without re-examining the merits of the case.
Option B — Request Direct Payment from the Principal
This is one of the most powerful features of CIPAA 2012. Under Section 30, if the Respondent fails to pay, you can write to the Principal — the party directly above the Respondent in the contractual chain — and request that they pay you directly from any money they owe to the Respondent.
For example, if your main contractor refuses to pay you, you can request the developer to pay you directly from the progress payments due to the main contractor.
Option C — Suspend or Reduce Work
Under Section 32 of CIPAA 2012, if the Respondent fails to pay the adjudicated amount, you have the right to suspend or reduce the rate of performance of your construction work — without being liable for breach of contract. This is a powerful leverage tool to pressure the Respondent into paying.
You must give the Respondent at least two working days’ written notice before suspending work.
If the Decision is Against You
If the Adjudicator rules in favour of the Respondent, you must comply with the decision. However, this does not mean the matter is permanently closed.
Your Options After an Unfavourable Decision:
Option 1 — Pay and Challenge Later
Under the “Pay Now, Argue Later” principle of CIPAA 2012, if you are ordered to pay, you must do so. However you may still challenge the decision in court through arbitration or litigation if you believe the decision was wrong.
Option 2 — Set Aside the Decision
You may apply to the High Court to set aside the Adjudication Decision if there are grounds to do so — such as a breach of natural justice, the Adjudicator exceeding their jurisdiction, or fraud. However, setting aside applications have a high threshold and are not guaranteed to succeed.
Option 3 — Review Your Contractual Position
Even after an unfavourable decision, review your overall contractual position carefully. There may be other claims or defences available to you in subsequent proceedings.
Key Lessons for Future Projects
Whether you won or lost your CIPAA case, here are the most important lessons to carry forward:
- Always insist on a written contract before starting work
- Keep detailed records of all work done — photos, delivery orders, site instructions
- Submit progress claims regularly and on time as specified in your contract
- Respond promptly to any Payment Response or deduction notice
- Seek professional advice early — do not wait until the situation becomes critical
- Engage a professional consultant to manage your preventive measures throughout the project
Prevention is Better Than Cure
At WE Project Management PLT, we do not just help you after a dispute arises. We also provide on-going retainer advisory services to help sub-contractors manage their payment claims, documentation, and contractual obligations throughout the project — significantly reducing the risk of disputes in the first place.
If you have just received an Adjudication Decision and need advice on your next steps — whether to enforce, challenge, or comply — contact us for a free initial consultation. We will advise you clearly and honestly on the best course of action.
With over 800 CIPAA cases handled and a 90% success rate, we have the experience to guide you through every stage of the process.