Liability of principal contractor for remuneration payable to outworkers of subcontractor
12 Liability of principal contractor for remuneration payable to outworkers of subcontractor
This section applies where—
a person (the principal contractor) has entered into a contract for the carrying out of work by another person (the subcontractor); and
outworkers employed or engaged by that subcontractor are engaged in carrying out the work (the relevant outworkers); and
the work is carried out in connection with a business undertaking of the principal contractor.
The principal contractor is liable for the payment of any remuneration of the relevant outworkers that has not been paid for work done in connection with the contract during any period of the contract unless the principal contractor has a written statement given by the subcontractor under this section for that period of the contract.
The principal contractor may withhold any payment due to the subcontractor under the contract until the subcontractor gives a written statement under this section for any period up to the date of the statement. Any penalty for late payment under the contract does not apply to any payment withheld under this subsection.
S. 12(4) amended by No. 9/2005 s. 6(1).
Sections 60 and 61 apply to the recovery of remuneration payable by a principal contractor under this section as if a reference in those sections to an employer were a reference to the principal contractor.
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