Payment disputes in the construction industry have become a common problem in Malaysia and in most countries, especially in developing countries. About 50% of Malaysia construction projects experience Under Payment, Late Payment and/or Non-Payment issues which causes complication to the projects to the extent that some of the projects are abandoned wherein innocent third party purchasers become victims of delayed and abandoned projects.
Therefore, the construction payment dispute requires to be dealt with at worst, a cheaper, quicker, simpler, legal binding and enforceable resolution enabled by an adjudication proceeding, which is what CIPAA has specially drafted to resolve the issues with provisions such as PROHIBITION of Conditional Payment, to STREAMLINE payment procedures and provide REMEDIES for the recovery of payment.
The relevant bodies in the construction industry, namely the Construction Industry Development Board (CIDB) and Master Builders Association Malaysia (MBAM), IEM, BEM, PAM are in support of CIPAA and are making efforts to promote its smooth application and enforcement.
More often than not, we are misunderstood by many as a licensed debt collector agency specialized to collect construction payment debt for the contractors. However, this is far from the truth.
We are proud to say that CIPAACT SOLUTION SDN BHD is a legitimate establishment solely for advisory, consultancy and solution regarding construction payment disputes including CIPAA Adjudication which requires strict compliance of the CIPAA 2012 as implemented by the Parliament.
Unlike the usually claimed licensed debt collector agencies, we let the paper do the talking. We comprise a strong team of professionals i.e. arbitrator, adjudicators, engineers, quantity surveyors and in-house legal counsels specialized in construction and legal industry dedicated to resolve the construction payment dispute faced by many construction players in Malaysia.