John Greenhall and Lisa Wampler | Cohen Seglias Pallas Greenhall & Furman Recent Massachusetts decisions provide an important reminder that prompt pay statutes are often enforced strictly, and seemingly minor deficiencies in payment-rejection notices can have significant financial consequences. Under the Massachusetts Prompt Pay Act (“PPA”), a contractor’s payment application may be deemed approved if… Continue reading Massachusetts Courts Continue Strict Enforcement of Prompt Pay Requirements: Lessons for Construction Industry Participants Nationwide
Tag: Prompt Payment
California’s Fair Payment Act: What Every Owner, Developer, and Contractor Should Know About SB 440
Matthew DeVries | Best Practices Construction Law While most states have enacted various forms of prompt payment laws for construction projects, California Senate Bill 440, known as the Private Works Change Order Fair Payment Act, marks a pivotal change in how payment obligations related to change orders are handled on private construction projects. Signed into law on October… Continue reading California’s Fair Payment Act: What Every Owner, Developer, and Contractor Should Know About SB 440
Changes to the Timing for Prompt Payment on All Connecticut State Contracts are Coming – Be Prepared
Jared Cohane and Luke Conrad | Hinckley Allen Connecticut’s prompt payment requirements for state contracts are about to change. The Connecticut General Assembly approved the new state budget bill (House Bill 7287), which includes a significant change to Connecticut’s Prompt Payment requirements for state contracts, Conn. Gen. Stat. §49-41c. The bill, which Governor Ned Lamont… Continue reading Changes to the Timing for Prompt Payment on All Connecticut State Contracts are Coming – Be Prepared
New Amendments to Virginia’s “Prompt Payment” Law take effect July 1, 2023
W. Alexander Burnett and Christopher McDonald | Williams Mullen In 2022, the General Assembly enacted significant changes to Virginia Code §§ 2.2-4347, 2.2-4354 and 11-4.6 that mandated prompt payment by owners, contractors and subcontractors on public and private construction projects and invalidated “pay if paid” clauses (the Prompt Payment law). That Prompt Payment law became effective as of January 1,… Continue reading New Amendments to Virginia’s “Prompt Payment” Law take effect July 1, 2023
Important Update to DC’s Construction Prompt Payment Act
Jake Mitchell and Jackson Nichols | Construction Law Now Blog Most jurisdictions have prompt payment statutes requiring timely payments to contractors on construction projects. Washington, DC enacted its own statute in 2013 and recently updated it to clarify the common practice of setoff (which we addressed in our September 2022 post). As stated in that post, “[i]n the… Continue reading Important Update to DC’s Construction Prompt Payment Act