To Suspend, or Not to Suspend: The Risks of Suspending Works
In the fast-paced world of construction, cash flow is king. But what happens when your client stops paying? Or they’re causing endless delays? For many contractors and subcontractors, the idea of suspending work seems like the obvious way to protect yourself. But pulling the pin too soon can backfire badly. Here’s why you need to […]
Keep the Cash Flowing – Tradie Tips to Get Paid – Part 1
Cashflow is king for any contractor — yet late payments, unclear terms, or clients who don’t pay at all can cripple your business. A good contract is your first line of defence. Here are practical tips to help you lock in better contract terms and get paid on time, every time 1. Always Get It […]
Court Issues Warning to Directors Who Misuse Retentions
We can now expect to see summary judgment applications against directors of failed construction companies who misuse retention funds. The High Court has adopted the Canadian position that a director is deemed to have known of any statutory or trust requirements and will be personally liable to restore any missing retention money that should have […]
Insolvent and Indifferent: A Director’s Missteps and a Warning to Homeowners
A recent High Court decision, Batley v MacDonald [2025] NZHC 974, has sent another clear warning to company directors across New Zealand: when a business starts to sink, misusing funds to keep the ship afloat while topping up your own interests is not an option. It is also a reminder to homeowners to take care when providing […]
Retentions Must Be Returned – The High Court Confirms
Retentions under a subcontract are held on trust by the head contractor for the benefit of the subcontractor. If retentions are withheld, contingent on anything other than the subcontractor’s performance, they must be released immediately, as this is considered void and unenforceable. In Stevensons Structural Engineers 1978 Ltd (in liq) v McMillan & Lockwood (PN) Ltd & […]