The payment regime sets out a procedure for each interim period, as follows. Shortly after each ‘due date’ (the date at which the works must be valued), the party seeking payment must serve a payment application setting out the amount it considers it is entitled to for that period. At a prescribed period after that, the paying party must serve a payment notice in which it states the sum due at the due date. Thereafter, the paying party must serve a ‘pay less notice’ in which it sets out any sums it is intending to deduct from the sum due. The sum due (adjusted as set out in the pay less notice) must be paid on or before the final date for payment; if not, the party seeking payment can recover it in an adjudication. Regardless of the reasons for non-payment, the adjudicator will order the paying party to make payment and if the party refuses to pay, the courts will enforce the adjudicator’s decision.
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