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Construction Industry

Dáil Éireann Debate, Tuesday - 13 November 2018

Tuesday, 13 November 2018

Questions (295)

John Curran

Question:

295. Deputy John Curran asked the Minister for Business, Enterprise and Innovation if she will review the workings and effectiveness of the Construction Contracts Act 2013; if she is satisfied that subcontractors are aware of and proactive in enforcing their entitlements with a contractor for payments that are due; her plans to increase awareness of this provision in the Act; and if she will make a statement on the matter. [46977/18]

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Written answers

The Construction Contracts Act, 2013 came into force for certain construction contracts entered into after the 25th July 2016. In advance of commencement, the Department engaged in a national information campaign. The Act applies to both written and oral construction contracts, although some do not fall within its remit, for example, if the value of a contract is not more than €10,000. It also introduced a statutory entitlement to adjudication for parties to a relevant construction contract in circumstances where a payment dispute subsequently arises.

The Act provides important statutory protections for subcontractors in the construction industry. It imposes minimum contractual provisions in relation to payments, particularly the timing of payments and the parties to a relevant construction contract cannot opt out of the provisions of the legislation.

Comprehensive information on the Act is available on the website of the Department at www.dbei.gov.ie. It is important that subcontractors exercise their rights under the legislation to ensure that payment is received for work carried out under a construction contract. Due to the private nature of such contractual arrangements however, it is not possible to accurately assess the extent to which subcontractors are exercising their rights under the legislation.

The Department will continue both to monitor the effectiveness of the legislation and to consult with key construction sector stakeholders as to its ongoing impact.

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