What is the Security of Payments Act (SOPA)?

The Security of Payments Act (SOPA) is legislation that protects contractors, subcontractors, and suppliers in the construction industry by ensuring they are paid promptly for the work they perform or materials they provide. It establishes strict timeframes for issuing progress payment claims and requires respondents to provide timely payment schedules if they intend to pay less than the claimed amount. If a dispute arises or payment is delayed, SOPA provides a fast and cost-effective adjudication process, helping maintain cash flow, reduce conflict, and promote fairness and accountability across construction projects.