Free construction-payment educationA word in
the right context.
A few terms you will meet in construction payment. Definitions are starting points; the applicable statute supplies the legal meaning.
- Proper invoice
- A written request for payment that satisfies the governing statutory definition, including applicable contractual information and any deeming rules.
- Notice of non-payment
- The notice a payer gives under the applicable regime to identify withheld payment and the reasons, within the required window.
- Adjudication
- A statutory process for deciding eligible construction disputes, with procedure and legal effect that depend on the jurisdiction.
- Holdback
- An amount retained under construction legislation; it should be distinguished from any additional contractual retention.
- Receipt date
- The evidenced date a document or payment is received. It may trigger a deadline and can differ from the document’s printed date.
- Payment cascade
- The sequence of payment obligations down the contracting chain, with distinct events, parties and windows at each tier.
- Transition rule
- A provision that determines which version or regime applies when the law changes, often using contract or procurement facts.
- Preservation
- The step required to maintain a statutory right, such as a lien; payment negotiations do not automatically perform that step.