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Tricks of Your Trade

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25.01.2022 #subcontractors if your #builder is asking you to amend your tax invoice to match his #payment schedule before he will pay, you need to watch this video. #tricksofyourtrade #securityofpayment #construction #building #buildingconstruction #constructionindustry

24.01.2022 Tip 3 of 5 for #subcontractors to stop #builders from using aggressive, abusive and bullying behaviour and language towards you without upsetting the apple cart. #tricksofyourtrade #construction #building #securityofpayment #constructionindustry #buildingconstruction

24.01.2022 #subcontractors is your #builder in the habit of amending his Payment Schedule after giving one during the 10/15 business day period he has available to him to give it??? If YES - read this Great question from a client today: can a payment schedule be amended? Short answer is NO.... A Builder can only give a Payment Schedule in response to a Payment Claim. (Ie: ONE) So you can’t amend your claim and he can’t amend his schedule. If your builder is in the habit of doing this to string you out on payment or to kick the can down the road on assessing your varys you need to keep a close eye on timeframes - particularly if it’s a Final Claim. If you don’t enforce your payment claim waiting for a builder to live up to his word you could lose your right to use #securityofpayment laws to enforce your right to payment (and die of old age in the meantime)!!! #tricksofyourtrade #constructionindustry #buildingconstruction #builders #construction #building

22.01.2022 I’ve never heard of anyone going for a hair cut and saying to the hairdresser hey, if I like the way you cut it today I’ll pay next time. So why do people expect professional services consultants to work for free? To have their brains picked... This month, for the first time ever, I’ve had nasty reactions from out of the blue enquirers who are shocked and outraged that I charge a fee for my services.... I find this ridiculously ironic, given they’re coming to me for help to...GET PAID !!! I know for a fact that my fee is on average less than 1/4 of what a debt collector charges, and I’m well under 1/3 of a lawyer’s hourly rate. I’m actually a giver by nature - gift giving is my love language, so I’m generous with my time...if I like you. So it sucks the joy right out of it for me when someone expects me to work for free, and gets pissed off when I won’t. Maybe they look at it another way - they feel they’ve been wronged and shouldn’t have to pay for a solution. To me, that’s just an empty rationalisation for them to ask me to subsidise their problem. And the punch line - the poetic twist, is that they should have bugger all confidence engaging someone to get them paid if that person was too dumb to firm up their own fee for the service. #securityofpayment

22.01.2022 Not all #builders are created equal. #subcontractors might be interested to know that 90% of the views of my posts are by Builder’s CAs, PMs and Construction Managers. A lot of them lurk but don’t comment. ... Every now and then I’ll hear from someone from a building company with a word of encouragement or a genuine question about how to do things the right way. I realise that a lot of my posts paint builders in a shady light. The reality is that the bulk of what I see isn’t good bloke stuff, but the bad can be attributed to the rotten apples. There are good builders in the industry. There are people with real integrity and know how. The message below is one I received earlier this month.

20.01.2022 Love this! Negotiation on equal ground, in a respectful way, egos left at the door. Desired outcome the focus of the priority. Some of you are doing it with home owners, now to get you all doing it with your #builders. #subcontractors #tricksofyourtrade #thesiteshed #constructionindustry #buildingconstruction #construction #building

20.01.2022 #subcontractors if you are sending your #paymentclaims to #builders in excel or any native file format: read this. You’ll probably be just fine doing this until one day you don’t get paid. The type of file itself won’t invalidate your claim. ... The problem is, you risk not providing a true copy of your payment claim to an Adjudicator in your adjudication application. When you print or PDF your claim, inevitability you’ll need to change some column sizes to print it nicely on the page, you risk losing some data. You might have hidden columns that you don’t think are important, maybe you don’t include every worksheet. It is difficult to prove exactly what the file was when it was sent to the builder. There is some case law floating around that the payment claim needs to be ‘a copy of’ what was sent, and the lawyers for the builder will argue that you didn’t give a true copy in your application. Avoid the time, worry and money having this fight by just PDF’ing your payment claim before you send it to the builder. #securityofpayment #tricksofyourtrade #constructionindustry #building #buildingconstruction

19.01.2022 Another weekend post but I had an INSANELY interesting call with a #subcontractors wife yesterday about licensing and contracts and I had to share. Shout out to the #TWAGs out there, this one is for you . She says to me: ... Michelle, why does this have to be so complicated? All we want to do is comply!!! I’ve been to so many training sessions on Contracts and Security of Payment run by [other industry mobs] and I can’t understand how they talk. It’s all gobbly-gook you forget straight away! Then she said this, which blew my mind: Us wives literally have our husband’s licenses in our hands. They trust us with all of the contracts and invoicing while they drive the site work and if we get it wrong we could completely ruin their ability to do what they do! I felt dumb for not empathising with our TWAGs in this way until now, but it is absolutely true. The thirst for knowledge about this stuff is stronger than I’ve ever seen it, and I’m going to do backflips to contribute in any way I can to make a real difference in this space. #tricksofyourtrade #securityofpayment #constructionindustry #buildingconstruction #construction #building

19.01.2022 Another day, another money grab strategy from Tier 2 commercial builders. These guys are obviously really feeling the pinch and the conduct is undeniably premeditated. #subcontractors, have you spotted this one in your scope of works yet?... #buildingconstruction #tricksofyourtrade #securityofpayment

18.01.2022 #subcontractors... is the mug offering you the carrot to win the job in the first place the same guy holding the stick if he cocks it all up? When I was a very green CA working for a Tier 2 #builder, I learnt the hard way that the most costly mistake I could make was forgetting to write something in a Subbie's scope of works. #Builders call it "un-let scope".... If I did, I had to fess up to the boss man that my trade letting budget for that trade was cactus and I had to find the money elsewhere. Getting Subbies paid for varys on those jobs was pushing $hit up a hill. No lie. There were times where I simply did not have the authority to get my guys paid and I'm ashamed to say that some Subbies got ripped off on my projects. That kind of thing follows you around, in conscience AND in reputation in this small-big industry that we work in. I can see this behavior in a builder a mile away now, because I lived through it myself. If a CA promises you something but you don't it get squared away under the Contract, I can promise you that he/she probably doesn't have the authority to make good on that promise, even if they mean it at the time. #tricksofyourtrade #securityofpayment #constructionindustry #buildingconstruction #building #construction #builders

15.01.2022 #subcontractors: if #builders want you to comply with the head #contract so desperately, why do they get their knickers all twisted when you give them a Notice of Delay? Or an EOT claim? Or a compliant Notice of Variation, and a Notice of Delay with it while you twiddle your thumbs waiting for the Builder’s written direction??... Why do they have three part notice provisions for an EOT claim (if you’re lucky it’s only 3 steps) and the last step requires you to give notices of ongoing delay every 2 business days, in a circular process that triggers more and more paperwork for everyone? And when you give these notices, the Foreman phones you and says Mate can you stop sending contractual notices, you’re pissing off the CA. (Exact words to a Client of mine last week) Oh and classic, every time you give one you can bet your bum you get a reply that says your notice didn’t comply with the clause, so you’re not entitled to an EOT. We all know #builders aren’t that dumb! It’s not an accident that it is so hard for you to formally issue this information under the contract. So let’s call it what it is: It’s all about upholding rights to Liquidated Damages and avoiding paying for varys. #tricksofyourtrade #securityofpayment #buildingconstruction #constructionindustry

15.01.2022 This has been brewing for a while. A word about the subbie flogging mentality in our industry, and why I'm willing to put my reputation and my career on the line to build awareness. #tricksofyourtrade #constructionindustry #discrimination #securityofpayment

12.01.2022 A celebration post for the Client who won his Adjudication but the Builder didn't pay - he got his money (finally). If anyone has ever been through an Adjudication and won, you'll understand the emotional rollercoaster ride. To still not be paid ... is just devastating. Our Client kept his cool and his wits about him and got there in the end.... #securityofpayment #subcontractors #tricksofyourtrade #buildingindustry #constructionindustry #building #builders #construction

11.01.2022 Ever wonder what is wrong with the #construction industry? We have some thoughts about why things go pear shaped so often between #builders and #subcontractors #tricksofyourtrade #securityofpayment #constructionindustry #building #Payment #buildingconstruction

09.01.2022 I've been a tiny bit quiet for the best part of a week because I've been working like a crazy person on some pretty amazing stuff. I'll post a video tomorrow with my tip #2 on how #subcontractors can stand up to their #builders without upsetting the apple cart. In the meantime, if you're interested, take a sneak peek at my COVID pivot project which I'm unleashing on the world 30 September. (*eeek!)... https://www.tricksofyourtrade.com.au/toolbox #tricksofyourtrade #securityofpayment #building #construction #buildingindustry #constructionindustry

09.01.2022 #subcontractors sending invoices to #builders directly from your accounting software, heed this warning: #tricksofyourtrade #securityofpayment #construction #Building #buildingconstruction #constructionindustry

09.01.2022 Heads up, this one is a bit rough around the edges. Here is the first of six ways for Subbies might respond to subbie flogging language and behavior from #builders. This is a follow up from my video earlier this week about discrimination against #subcontractors and why it needs to stop. #tricksofyourtrade #securityofpayment #discrimination #constructionindustry #buidingindustry #building #construction

08.01.2022 I recently had a great chat with a very talented construction lawyer who made a point about #builders and #unfair #contract terms that stopped me in my tracks. He said often times the builders need these clauses in their #subcontracts because the head contract has them. I get it, and I take this on board in light of my comments about why #builders include them in their contracts.... BUT, here’s the thing: 1) if a builder takes on a risk at a head contract level, that doesn’t automatically make it ‘fair’ because he is passing it down the chain to his #subcontractors. Particularly if he is doing it on a take it or leave it basis. 2) Did the builder have his lawyer review the Head Contract? And was the lawyer’s advice to mitigate by back-to-backing the Subcontract terms? The thing that gets me is the antics around it. Builder stitches Subbie’s into the Head Contract but won’t even give the Subbie a COPY. Instead they make it available to be viewed at the Builder’s head office. All this tells me is that this Head Contract risk is just a bullshit excuse, because if the Builder REALLY wanted their Subbies to comply with the Head Contract, they would make it EASY. #tricksofyourtrade #securityofpayment #constructionindustry #buildingconstruction #building

05.01.2022 #subcontractors print this #unfair #contract term number 4 out and stick it to your forehead because I want to make sure you know it when you see it! You should never never never sign up to this clause. It makes my skin crawl to imagine how the conversation around the boardroom table went down when these #builders asked to have this clause included in their #subcontract document.... In essence - these builders want the right to take work out of your scope (which could include all of the remaining work in your scope) and because you're a nice guy, you agree to let him keep your materials, plant and machinery for as long as he needs it in order to complete the taken out work, at a cost worn by you. If you're a #rigging company, how long can you pay for someone else's crane before you go broke? Stay tuned for unfair contract term number 4 Part 2 which I'll be posting on Monday - if you're not already annoyed at this slimy clause you wait till you see how these builders want to value the credit you need to give them for the privilege of having them take the work out of your Subcontract in the first place. #tricksofyourtrade #securityofpayment #constructionindustry #construction #buidingindustry #building #builders

04.01.2022 #subcontractors as promised, here is the second (of 5) ways you can respond to any #builder that is using derogatory language or bullying tactics towards you without upsetting the apple cart. #tricksofyourtrade #constructionindustry #buildingconstruction #construction #building #securityofpayment #discrimination #bluecollardiscrimination

02.01.2022 The bottom up has more feet for new direction! #Construction disputes aren't just costly, they're detrimental to the psychological well-being of those involved from both sides of the fence. I can tell you from experience that even if you're on the #builders side, this stuff hurts you as a human. ... Most who choose the #constructionindustry for their career don't start out dreaming of #contracts and #backcharges and #delays and #disputes. We are usually inspired by the idea of being part of bricks and mortar construction and icon projects - stuff that is tangible and real and grand. I recently completed an Advanced Mediation course at #QUT and I was really surprised and happy to see three other construction professionals doing the same course, for the same reason: To help people achieve better outcomes for both parties in construction disputes than going legal. Two worked for Tier 1 Main Contractors. They genuinely care about relationship management with #subcontractors and avoiding dispute. One works in Government and was looking to improve communication for all parties to captial works contracts. Do you know what this tells me? The PEOPLE on both sides are ready for change, and are willing to DRIVE it. #securityofpayment #tricksofyourtrade #building

01.01.2022 #subcontractors this is #unfair #contract term number 4 (Part 2) - Valuation for work taken out of your scope. If you didn't catch Part 1 it is still on my profile. This clause states how a builder calculates the credit you have to give them for taking work out of your contract if he alleges you breach.... Issues: 1: Builder engages others (price out of your control) & deducts that cost from the remainder of what he owes you. Builder has no incentive to get fair market rates and EVERY incentive to pay more to throw extra resources at it to pick up time. 2: if, after that, you owe him money, he can keep or sell your plant and equipment. The legal fraternity on my first post say this is fair, because the Subbie substantially breached the contract. So I've included the clause that lists the substantial breaches, you tell me if you think it's fair. My issue here is that there are so often allegations of construction program departure, not diligently completing work, defects (not proven or substantiated) and I think those things should be decided before someone sells your plant & equipment to pay for alleged general damages. What do you think? #tricksofyourtrade #securityofpayment #constructionindustry #buildingconstruction #building #construction