Ipso facto clause An ipso facto clause is a contractual provision that allows one party to the contract to terminate or modify the operation of the contract upon the occurrence of a specified insolvency related event (such as the appointment of an administrator, receiver or liquidator) in respect of another party. Examples include: a clause that entitles a landlord to terminate a lease in the event that an administrator is appointed to the tenant; anda…
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The Queensland Subcontractors’ Charges Act 1974 (SCA) has, since 17 December 2018, been replaced by new legislation, albeit in almost identical terms. Unpaid building subcontractors now look to chapter 4 of the Building Industry Fairness (Security of Payment) Act 2017 (Q) (BIFA) which enables subcontractors’ charges to be claimed against amounts owed by parties higher up in the contract chain.
The BIFA creates new offences for failing to respond to requests for information made by subcontractors or to a notice of claim. Under the SCA, these were steps for which there were no immediate consequences for failing to comply.