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Construction Contracts Act 2002

The Construction Contracts Act 2002 provides a process for dealing with payments and disputes under a construction contract, including requirements for withholding retention money from subcontractors.

The Construction Contracts Act:

  • protects retention money withheld under commercial construction contracts
  • helps to ensure a fair, balanced and timely payment regime
  • provides a fast and cost-effective adjudication process for people with disputes
  • provides enforcement mechanisms to recover any unmade payments.

This information is published by the Ministry of Business, Innovation and Employment’s Chief Executive. It is a general guide only and, if used, does not relieve any person of the obligation to consider any matter to which the information relates according to the circumstances of the particular case. Expert advice may be required in specific circumstances. Where this information relates to assisting people: