News & Analysis as of

Pay if Paid Contractors Construction Industry

Troutman Pepper

Virginia Bans Pay-If-Paid Clauses to Protect Construction Subcontractors

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Virginia has joined the ranks of states that ban “pay-if-paid” clauses. Contingent payment clauses, like “pay-if-paid” and “pay-when-paid” clauses, protect contractors: A contractor need not pay its subcontractors or...more

Maynard Nexsen

Virginia Joins North Carolina and South Carolina in Prohibiting Pay-if-Paid Clauses

Maynard Nexsen on

Imagine you are an electrical subcontractor working in Virginia for a general contractor on a commercial project. Because you perform electrical work, much of your scope falls after framing and roofing, and after the envelope...more

Woods Rogers

Virginia’s New Construction Payment Terms (Part 2)

Woods Rogers on

This article is a continuation of Monday’s article, and we will be discussing in detail the new payment terms for all construction contracts in Virginia....more

Bradley Arant Boult Cummings LLP

Pay IF Paid: It Means What it Says - Construction and Procurement Law News, Q1 2018

Pay when paid clauses are common in the construction industry. A typical pay when paid clause sounds something like this: “Prime Contractor will not pay Subcontractor until Prime Contractor receives payment from Owner.” ...more

Baker Donelson

Louisiana First Circuit Holds that Private Works Act Surety Cannot Raise Pay-if-Paid Defense

Baker Donelson on

The Louisiana First Circuit recently held that a Private Works Act payment bond surety cannot raise a pay-if-paid provision in its principal's contract as a defense to a claim against the bond. Bear Industries, Inc. v....more

Robinson+Cole Construction Law Zone

Limitations of Liability – Scenario 3: Pay if Paid and Flow Through Clauses

I suppose that it is apropos that I have been delayed in writing this final piece in the four-part Limitations of Liability series, relating to subcontract pay if paid and flow through clauses. Being more than one step...more

Robinson+Cole Construction Law Zone

Limitations of Liability – The Elephant in the Room

This is the first post in the four-part series “Limitations of liability—The Elephant in the Room.” One or more of the following scenarios takes place in my office virtually every day...more

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