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Contractors rights to recover payment from a builder
Getting paid on time is critical to the success of any contracting business. If a builder fails to pay for materials supplied or services performed, contractors in Victoria have several options available to protect their interests and pursue outstanding amounts.
This article outlines the key pathways for recovering unpaid debts, including retention of title clauses, PPSR registration, Security of Payment claims, letters of demand and dispute resolution through the Victorian Small Business Commission. Understanding these options can help contractors act quickly and preserve their rights.
Learn when each option may be appropriate, the advantages and limitations of each approach, and when professional legal assistance may be required. Whether you're dealing with a payment dispute, builder insolvency or a long-overdue invoice, this guide provides a practical overview of the recovery tools available in Victoria.
Didn’t find what you were looking for?
What does it include?
- Option 1: Retention of title and registering on the PPSR
- Option 2: Security of payments
- Option 3: Letter of demand
- Option 4: Dispute resolution at the Victorian Small Business Commission (VSBC).
- Option 5: Going to court or tribunals.