Guide
The Section 17(2) Notice: A Second Chance When No Payment Schedule Arrives
If a respondent misses the payment schedule deadline entirely, claimants have an extra step available before going to adjudication. Here's how it works.
Where no payment schedule is served at all, a claimant who wants to adjudicate must first give the respondent a further opportunity to provide one, via a written notice, before an adjudication application can be made.
Most claimants assume that if a respondent misses the payment schedule deadline, they can go straight to adjudication. Where no payment schedule has been served at all, the Act requires an extra step first: a written notice giving the respondent a further, final opportunity to provide one.
What the notice does
Where a respondent fails to provide a payment schedule and fails to pay the claimed amount by the due date, the claimant may choose to proceed to adjudication, but before doing so must give the respondent written notice of the intention to apply, and a further opportunity, of at least the minimum period set by the Act, to provide a payment schedule.
Why this extra step exists
It gives a respondent who has genuinely missed the deadline, rather than deliberately ignored the claim, one last chance to engage before the claimant can seek an adjudicated determination. Skipping this notice where it's required can mean an adjudication application is invalid.
What happens after the notice is served
If the respondent still doesn't provide a payment schedule within the further period, the claimant can proceed to adjudication. Because a payment schedule was never served, the respondent generally cannot lodge an adjudication response either, which puts the claimant in a strong position.
How this applies across NSW
Sydney metro
On projects around Campbelltown and the Hills district, this notice is most often needed where a respondent has simply gone quiet on a claim rather than actively disputing it. For our broader construction law services in these areas, see Archer Lawyers' Campbelltown and Hills district pages.
Regional NSW
On regional projects around Wollongong and the Central Coast, we see this scenario often where a smaller respondent doesn't have in-house processes for tracking statutory deadlines at all. For our broader construction law services in these areas, see Archer Lawyers' Wollongong and Central Coast pages.
Frequently asked questions
Do I always need to serve this notice before adjudicating?
Only where no payment schedule was served at all. If a payment schedule was provided but you dispute it, a different process applies and this notice isn't required.
Is there a strict form for the notice?
It must be in writing and clearly state your intention to apply for adjudication if a payment schedule isn't provided within the further period. Getting the content and timing right matters.
What if the respondent still ignores it?
You can proceed to adjudication, generally without the respondent being able to lodge a response, since no payment schedule was ever served.
Is there a time limit on serving this notice?
Yes, it must be served within a specific window after the payment schedule deadline passed. Missing that window can affect your options.
Can the respondent still pay after receiving the notice?
Yes, and if they pay the claimed amount in full, the matter is resolved without needing to proceed further.
If a respondent has missed your payment schedule deadline entirely, get the next step right. Contact our team for a free assessment.