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Construction Contracts Subcontractors New Legislation

Miller Nash LLP

[Webinar] Retainage, Back Charges, and Withholdings—Law and Best Practices in Oregon & Washington - October 24th, 9:00 am - 10:30...

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No matter your tier in the construction contracting chain, understanding the nuanced rules and procedures about retainage, back charges, and other payment withholdings is critical to managing cash flow and protecting your...more

Venable LLP

Even Federal Contractors and Subcontractors Should Pay Heed to State Law on Conditional Payment Clauses

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​​​​​​​The Virginia legislature recently took a broad step toward limiting the use of certain common clauses in construction subcontracts. This new legislation, effective January 1, 2023, amends the state's Prompt Payment Act...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Illinois Governor Signs Bills Expanding Contractors’ Liability for Unpaid Wages of Subcontractors’ Workers

On June 10, 2022, Illinois Governor JB Pritzker signed House Bill 5412 and its trailer bill, House Bill 4600, into law. Both bills amend the Illinois Wage Payment and Collection Act (WPCA) to make certain primary contractors...more

Burr & Forman

Virginia Joins 11 Other States Prohibiting Pay-If-Paid Clauses in Construction Contracts

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Virginia has joined 11 other states that have expressly prohibited “pay if paid” clauses in construction contracts. If you have construction projects in Virginia, then read on. If you want know whether your state prohibits...more

Bradley Arant Boult Cummings LLP

Virginia Is for Lovers… of Strict Contract Language: New Law Prohibits Pay-if-Paid Clauses in Construction Contracts

Virginia has joined the growing number of states that prohibit “pay-if-paid” clauses. The new law, known as Virginia Senate Bill 550, amends Virginia’s Prompt Payment Act (Va. Code § 2.2-4354) and its relatively new (July 1,...more

Miles Mediation & Arbitration

Will General Contractors or Subcontractors Get Hammered by New State Legislation?

There has been a growing trend of states enacting legislation making general contractors jointly and severally liable for the wages, benefits and supplements owed by project subcontractors to that subcontractor’s workers. ...more

Williams Mullen

New Virginia Prompt Payment Statutes Invalidate Most 'Pay When Paid' Clauses

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On April 27, 2022, the Virginia General Assembly passed Senate Bill 550, which makes “pay when paid” and “pay if paid” clauses unenforceable in most circumstances and requires both public and private construction contracts to...more

Proskauer - Law and the Workplace

New York Legislates Joint Wage Liability for Construction Industry Contractors

On September 6, 2021, New York Governor Kathy Hochul signed into law New York Senate Bill S2766, which makes contractors in the construction industry jointly and severally liable for wages owed to employees of its...more

Tucker Arensberg, P.C.

CASPA and COVID-19 – Withholding Payments for Contracting Work

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The Pennsylvania Contractor and Subcontractor Payment Act 73 P.S. § 501, et seq. (“CASPA”) was enacted to protect the right to payment of contractors and subcontractors who perform improvements on real property. CASPA...more

Jones Day

Will Changes Reduce Confusion in New South Wales Security of Payment Laws? - Participants in the NSW construction industry need to...

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On October 21, 2019, significant changes to New South Wales ("NSW") security of payment laws come into effect with the commencement of the Building and Construction Industry Security of Payment Amendment Act 2018 and...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Construction One-Minute Read: Illinois Restricts Retainage on Private Construction Projects

Every private construction project in Illinois will be affected by a new law, effective immediately. The Contractor Prompt Payment Act (815 ILCS 603/1, et seq.) was amended to restrict the use of retainage on construction...more

Bradley Arant Boult Cummings LLP

General Contractors Working in Maryland: Amend Your Subcontract Form Now - Construction and Procurement Law News, Q4 2018

A new Maryland law – Md. Code, Lab & Empl., § 3-507.2 (the “Maryland Wage Payment and Collection Law”) – makes general contractors on public and private projects in Maryland liable for unpaid subcontractor employee wages,...more

Miles & Stockbridge P.C.

New Maryland Law Greatly Expands Contractor Liability Regarding Wage Payment and Collection

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On October 1, 2018, Maryland Senate Bill 853, also known as Maryland’s General Contractor Liability for Unpaid Wages Act, went into effect, expanding the liability of a general contractor on a construction project under the...more

Snell & Wilmer

Subcontractor Wages: Closing the Loopholes

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This year California ushered in a new law effective January 1, 2018 for private works construction contracts, California’s Labor Code section 218.7. The law applies to all direct contractors who make or take the contract in...more

Sheppard Mullin Richter & Hampton LLP

Direct Contractors In California Should Take Steps Now To Reduce Exposure For Unpaid Wages By Subcontractors

As of January 1, 2018, direct contractors in California who make or take a contract “for the erection, construction, alteration, or repair of a building, structure, or other private work” are jointly and severally liable with...more

Williams Mullen

Is the Mechanic’s Lien or Bond Waiver Clause in Your Contract Enforceable in Virginia?

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A new Virginia law invalidates any mechanic’s lien or payment bond waiver signed before work has commenced. The Governor recently signed new legislation into law, effective July 1, 2015, that invalidates waivers of...more

Snell & Wilmer

Arizona State Legislature Expands Prompt Payment to Design Professionals on Public Works Projects

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Arizona law has long protected the rights of contractors, subcontractors and suppliers to prompt payment. However, all such protections have not extended to design professionals. For example, in 2013, the Arizona Court of...more

Robinson & Cole LLP

2014 Connecticut Legislative Summary - September 2014

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The 2014 regular session of the Connecticut General Assembly closed with only a few new laws on the books that will affect the design and construction industry. The summaries below highlight the most significant of these....more

Sheppard Mullin Richter & Hampton LLP

Mechanics Lien Subordination: Illinois Further Limits Construction Lenders’ Ability To Ensure Priority Against Mechanics Liens

On July 16, 2014, Illinois enacted Public Act 98-764 (Senate Bill 3023) (“SB 3023”), which amends the Illinois Mechanics Lien Act (770 ILCS 60/ et seq.) (the “Act”) to prohibit subordination of mechanics liens on Illinois...more

Snell & Wilmer

Summary of California’s Prompt Payment Laws

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The California legislature has enacted a comprehensive series of prompt payment statutes that are designed to ensure the prompt payment of progress payments and retention payments to downstream contractors by imposing harsh...more

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