Archive: Aug 12, 2021, 12:00 AM

Orders made for payment to driver in dispute for outstanding payments

The Road Freight Transport Industry Tribunal has made orders that a hirer pay an owner driver an amount for work performed under an owner-driver contract.

Background

The applicant is engaged in the business of transporting goods in heavy vehicles.

On 12 July 2019, the applicant entered into an oral agreement with the respondent to transport the respondent’s scaffolding.   On 5 August 2019, the applicant entered into a second agreement with the respondent to transport an all-terrain forklift.  On both occasions the work was performed by the applicant for the respondent.  

The applicant provided invoices to the respondent for each delivery. The respondent failed to pay the invoices and did not respond to further written communication from the applicant.

Contentions

 The respondent failed to appear at the hearing.  However, the Tribunal was satisfied the respondent had been duly served with notice of the proceedings and accordingly, proceeded to hear and determine the applicant’s claim.

 The applicant gave evidence that it performed the work as agreed and when request for payment was made, the respondent refused to pay, because the respondent had not been paid by another contractor.  The Tribunal noted that the respondent’s director had previously made contact with both the Registry and the Associate to the Tribunal, to advise that the applicant had not been paid for this reason.

Findings

 The Tribunal concluded that the applicant was an owner-driver for the purposes of the Owner-Drivers (Contracts and Disputes) Act 2007 (WA), and the agreements between the parties were owner-driver contracts.  The Tribunal found that the applicant had performed the services as agreed and that the respondent had failed to pay the applicant for the services.  The Tribunal further concluded that the respondent could not refuse to pay the applicant on the ground of not being paid by another contractor, as such is prohibited under s 9 of the OD Act.

The Tribunal ordered the respondent to pay the debt of $1305.75 and interest amounting to $139.00.

The decision can be read here.