Trades / Civil and earthworks

Civil and earthworks subcontracts: the risks and what to negotiate

Civil and earthworks packages carry ground risk, weather and large quantity swings, often with plant on hire every day the job stalls. Latent conditions, remeasurement and standing time are the clauses that decide the margin.

AI risk report, not legal advice. The scanner gives general information about the risks in a document. It is not a lawyer, does not know your circumstances, and can be wrong. For decisions with legal consequences, get advice from a construction lawyer.

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Where civil and earthworks subcontractors lose money

Latent conditions

Rock, contamination and services that weren't in the investigation reports can transform the cost of the job. A clause that puts all ground risk on you, regardless of the information provided, is one of the most expensive in civil work.

Quantities and remeasurement

Lump sums on uncertain quantities shift the risk to you. Schedule of rates or remeasure for bulk items protects against swings.

Standing time for plant and crews

When the builder or another party stops the work, your plant still costs money. Make sure stand-downs caused by others are paid.

Weather and wet ground

Wet ground can stop earthworks for days after rain stops. Extension of time and cost for weather should reflect that.

Three things to push for in your departures schedule

Latent conditions shared, with relief where conditions differ from the reports
Schedule of rates or remeasure for uncertain quantities
Standing time paid when others stop the works

The free scanner finds these clauses in your actual contract in about two minutes and writes the departures schedule for you.

What the Index says

Live figures from the Australian Subcontract Index, 90 real subcontracts. The Index holds only 3 civil and earthworks contracts so far, under the 10-contract threshold, so these are national figures across all trades. Nothing under 10 contracts is ever shown.

100%have time bars that kill the claim entirely (66 of 66, all trades)

97%let the builder set off without notice (75 of 77, all trades)

78%have liquidated damages with no cap (31 of 40, all trades)

25 daysmedian payment terms (n=75, all trades)

5%median retention (n=65, all trades)

5 daysmedian notice window for variations (n=60, all trades)

See the full live Index →

Civil and earthworks subcontracts by state

Queensland →Payment capped at 25 business days; payment schedule due in 15.

New South Wales →Payment capped at 20 business days; payment schedule due in 10.

Victoria →Payment capped at 20 business days; payment schedule due in 10.

Western Australia →Payment capped at 25 business days; payment schedule due in 15.

South Australia →Payment schedule due within 15 business days of your claim.

Tasmania →Payment schedule due within 10 business days of your claim.

Australian Capital Territory →Payment schedule due within 10 business days of your claim.

Northern Territory →No payment schedule step: a dispute arises when a claim is rejected or unpaid, then 90 days to apply.

Civil and earthworks subcontracts: common questions

Who carries latent condition risk in a civil subcontract?

Whoever the contract puts it on. Many builder subcontracts push all ground risk to the subcontractor. A fairer position gives relief where conditions differ materially from the information provided at tender.

Do civil and earthworks subcontractors have payment rights that override the contract?

Yes. Every state and territory has a Security of Payment Act that lets you make a payment claim and get to adjudication quickly, and several states cap how long payment terms can be. The state pages below set out each one.

Is the scanner free?

Yes. No account, no card. Upload the subcontract and the full report appears in about two minutes. General information, not legal advice.

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