Part 4: Management of public contracts Terms implied into public contracts Section 68: Implied payment terms in public contracts
This section sets out terms to be implied into all public contracts concerning the prompt payment of valid, undisputed invoices.
	Subsection (1) provides that concession contracts, utilities contracts awarded by private utilities, and contracts awarded by schools are exempt from the obligations in this section, which imply payment terms into public contracts.
	Subsection (2) describes the implied term; that payments due under a public contract must be paid within 30 days from either the day the invoice is received by the contracting authority or if later, by a specified payment date as set out on the invoice.
	Subsection (3) pauses the obligation to pay within 30 days where the invoice is invalid or in dispute.
	Subsection (4) requires the contracting authority to notify the payee promptly if it considers that the invoice is invalid or disputes the invoice.
	Subsection (5) permits a contracting authority to rely on a payment made by a third party to satisfy the implied term in section 68, but only if such an arrangement is agreed by the payee.
	Subsection (6) sets out that these terms cannot be restricted or overridden by express contractual terms.
	Subsection (7) clarifies that public contracts may contain shorter payment terms where agreed between the parties or where required by statute.
	Subsection (8) defines a valid invoice as one issued in a required electronic format or containing the minimum level of required information and meeting any other requirements set out in the contract. The required electronic format has the same meaning as that in section 67(3).
	Subsection (9) sets out the minimum level of information required for an invoice to be valid, including the name of the invoicing party, a description of the goods, services or works supplied, the sum requested, and a unique identification number.
	Subsection (10) provides a power for an appropriate authority to change the payment days under subsection (2), providing the payment period does not exceed 30 days.
	Subsection (11) sets out the definitions used in this section. It explains the meaning of "payee" and explains that references to a contracting authority receiving an invoice includes an invoice being delivered to an address, or through an electronic invoicing system, as set out for that purpose in the contract.