Common use of SECURITY OF PAYMENT Clause in Contracts

SECURITY OF PAYMENT. This clause 7 will apply only to the extent that the Supply is one to which the SOP Act would apply. The Supplier must give Council a copy of any notice given to the Supplier, or to any party engaged in the Supply (including any supplier or secondary subcontractor) that relates to the Supply, under the relevant SOP Act on the day on which it is received by the person to whom it is addressed. If Council becomes aware that any party engaged in the Supply is, or will be entitled to, suspend work forming part of the Supply under a SOP Act then Council may (in its absolute discretion and without having any obligation to do either): pay the party giving the notice such money; or provide such security to the party giving the notice, as will bring to an end that party's right to suspend work under the relevant SOP Act. The amount of money paid will be a debt due from the Supplier to Council. The Supplier indemnifies Council against all claims and costs suffered, including any financial losses and the actual amount of legal or other consultant fees, arising out of: any suspension by a party engaged in the Supply (other than the Supplier); a breach of this clause; receipt of any notice pursuant to this clause or the relevant SOP Act; any lien or charge claimed over unfixed plant or equipment forming part of the work under the Agreement under the relevant SOP Act by a subcontractor; and a payment withholding request being served on the 'principal' (as that term is defined in the relevant SOP Act) under the relevant SOP Act in respect of money that is or may become payable by the 'principal' to Council for work under any head works contract.

SECURITY OF PAYMENT. 7.1 This clause 7 will apply only to the extent that the Supply is one to which the SOP Act would apply. apply.‌ 7.2 The Supplier must give Council a copy of any notice given to the Supplier, or to any party engaged in the Supply (including any supplier or secondary subcontractor) that relates to the Supply, under the relevant SOP Act on the day on which it is received by the person to whom it is addressed. . 7.3 If Council becomes aware that any party engaged in the Supply is, or will be entitled to, suspend work forming part of the Supply under a SOP Act then Council may (in its absolute discretion and without having any obligation to do either): ): (a) pay the party giving the notice such money; or or (b) provide such security to the party giving the notice, as will bring to an end that party's right to suspend work under the relevant SOP Act. . 7.4 The amount of money paid will be a debt due from the Supplier to Council. Council.‌ 7.5 The Supplier indemnifies Council against all claims and costs suffered, including any financial losses and the actual amount of legal or other consultant fees, arising out of: : (a) any suspension by a party engaged in the Supply (other than the Supplier); ; (b) a breach of this clause; clause;‌ (c) receipt of any notice pursuant to this clause or the relevant SOP Act; ; (d) any lien or charge claimed over unfixed plant or equipment forming part of the work under the Agreement under the relevant SOP Act by a subcontractor; and and (e) a payment withholding request being served on the 'principal' (as that term is defined in the relevant SOP Act) under the relevant SOP Act in respect of money that is or may become payable by the 'principal' to Council for work under any head works contract.contract.‌‌

SECURITY OF PAYMENT. 7.1 This clause 7 will apply only to the extent that the Supply is one to which the SOP Act would apply. . 7.2 The Supplier must give Council a copy of any notice given to the Supplier, or to any party engaged in the Supply (including any supplier or secondary subcontractor) that relates to the Supply, under the relevant SOP Act on the day on which it is received by the person to whom it is addressed. . 7.3 If Council becomes aware that any party engaged in the Supply is, or will be entitled to, suspend work forming part of the Supply under a SOP Act then Council may (in its absolute discretion and without having any obligation to do either): ): (a) pay the party giving the notice such money; or or (b) provide such security to the party giving the notice, as will bring to an end that party's right to suspend work under the relevant SOP Act. . 7.4 The amount of money paid will be a debt due from the Supplier to Council. . 7.5 The Supplier indemnifies Council against all claims and costs suffered, including any financial losses and the actual amount of legal or other consultant fees, arising out of: : (a) any suspension by a party engaged in the Supply (other than the Supplier); ; (b) a breach of this clause; ; (c) receipt of any notice pursuant to this clause or the relevant SOP Act; ; (d) any lien or charge claimed over unfixed plant or equipment forming part of the work under the Agreement under the relevant SOP Act by a subcontractor; and and (e) a payment withholding request being served on the 'principal' (as that term is defined in the relevant SOP Act) under the relevant SOP Act in respect of money that is or may become payable by the 'principal' to Council for work under any head works contract.