If the Respondent contests that the amount claimed is due and payable then it shall deliver a response (also known as a withholding notice) not later than 21 days after the “payment claim date” setting out details including the amount proposed to be paid; the reasons for the difference and the basis of the calculations.
If the reasons for the different amount include a claim for damages arising from a breach of contract by the Claimant or any other claim against the Claimant then the response should also specify details such as when the loss was incurred, the particulars of the loss and the proportion attributable to each particular of loss.
If the matter is not settled by the day on which the amount is due the Respondent shall pay the amount proposed in the withholding notice to the Claimant not later than on that day (Section 4(3)(b)).
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