Glazing and facade subcontracts in New South Wales: what to check before you sign
In New South Wales, a facade subcontract is read alongside the Building and Construction Industry Security of Payment Act 1999 (NSW), which caps subcontract payment terms at 20 business days. The contract itself still decides the risks that cost glazing, facade and cladding subcontractors most: performance and compliance warranties; procurement and supply delay; access and scaffold dependencies.
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.
New South Wales rules that override your contract
Statute: Building and Construction Industry Security of Payment Act 1999 (NSW)
- Payment terms for subcontractors are capped at 20 business days after the payment claim. A longer term in the contract doesn't change that.
- If the builder disputes a payment claim, it has to answer with a payment schedule within 10 business days (or any shorter period in the contract).
- Head contractors must pay subcontractors within 20 business days of the claim, retention money on larger projects must be held in trust, and work can lawfully be suspended after non-payment on two business days' notice.
- Adjudication: typically 10 business days from receiving a payment schedule that disputes the claim, through a private authorised nominating authority.
- Retention on larger projects must be held in trust.
Where glazing, facade and cladding subcontractors lose money
Performance and compliance warranties
Facades carry warranties on water tightness, structural performance and material compliance. Check exactly what you are warranting and for how long, and whether design responsibility sits with you or the consultant.
Procurement and supply delay
Imported glass and framing can have long lead times. Without an extension of time for supply delays outside your control, shipping delays become your liquidated damages.
Access and scaffold dependencies
Installation depends on scaffold, cranes or hoists usually provided by the builder. Interruptions should be delay events with costs, not your risk.
Long retention and warranty periods
Facade warranties often run longer than other trades. Make sure retention release does not wait for the end of every warranty period.
Three things to push for in your departures schedule
- Design responsibility and warranties defined precisely, with a time limit
- Extension of time for supply delays outside your control
- Builder-provided access interruptions treated as delay with costs
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 2 glazing and facade contracts so far, under the 10-contract threshold, so these are national figures across all trades. Nothing under 10 contracts is ever shown.
Glazing and facade subcontracts in other states
Glazing and facade subcontracts in NSW: common questions
How long does a builder in NSW have to pay a glazing and facade subcontractor?
No more than 20 business days after your payment claim, whatever the contract says. If the builder disputes the claim, it has 10 business days to answer with a payment schedule giving its reasons.
What should a facade subcontractor check in the warranty clause?
What is being warranted (design, materials, workmanship or performance), for how long, and whether the warranty mirrors the head contract. A warranty broader than your scope or longer than your suppliers' cover leaves you carrying risk you can't pass on.
Where do NSW glazing and facade payment disputes go?
Authorised Nominating Authorities (NSW Fair Trading maintains the list). Timing: typically 10 business days from receiving a payment schedule that disputes the claim, through a private authorised nominating authority.
Is this legal advice?
No. It is general information about common subcontract risks and the state's payment law as recorded in our registry. Statutory details change; check the current Act, and take the scanner's report to a construction lawyer for decisions with legal consequences.
General information, not legal advice. Statutory details are taken from our state law registry and change over time; verify them against the current Building and Construction Industry Security of Payment Act 1999 (NSW) before relying on them. Built by Mat Kennedy, Founder, The Construction Contracts Co.
