(1)This section applies in a case where, in relation to any payment provided for by a construction contract—
(a)the contract requires the payer or a specified person to give the payee a notice complying with section 110A(2) not later than five days after the payment due date, but
(b)notice is not given as so required.
(2)Subject to subsection (4), the payee may give to the payer a notice complying with section 110A(3) at any time after the date on which the notice referred to in subsection (1)(a) was required by the contract to be given.
(3)Where pursuant to subsection (2) the payee gives a notice complying with section 110A(3), the final date for payment of the sum specified in the notice shall for all purposes be regarded as postponed by the same number of days as the number of days after the date referred to in subsection (2) that the notice was given.
(4)If—
(a)the contract permits or requires the payee, before the date on which the notice referred to in subsection (1)(a) is required by the contract to be given, to notify the payer or a specified person of—
(i)the sum that the payee considers will become due on the payment due date in respect of the payment, and
(ii)the basis on which that sum is calculated, and
(b)the payee gives such notification in accordance with the contract,
that notification is to be regarded as a notice complying with section 110A(3) given pursuant to subsection (2) (and the payee may not give another such notice pursuant to that subsection).]
Textual Amendments
F1Ss. 110A, 110B inserted (1.10.2011 for E.W., 1.11.2011 for S.) by Local Democracy, Economic Development and Construction Act 2009 (c. 20), ss. 143(3), 148(8), 149 (with s. 149(3)(4)); S.I. 2011/1582, art. 2; S.I. 2011/1597, arts. 2, 3, S.S.I. 2011/291, art. 2