David K. Taylor | Construction Executive Many debate the pros, cons and claims of retainage—when one party to a construction contract withholds a percentage (typically 5%-10%) from an otherwise approved contractor pay application, and which typically is not paid until a project is substantially complete. If an owner withholds retainage from a prime contractor, typically… Continue reading Is It Time to Get Rid of Retainage?
Tag: Retainage
New Oregon Law Complicates Retainage on Construction Projects
Antonija Krizanac | Ahead of Schedule If you do not follow the Oregon legislature closely, you may have missed a new law, which went into effect January 1, 2020, that impacts the treatment of retainage on private and public construction projects over $500,000. For private and public construction contracts entered into on or after January 1,… Continue reading New Oregon Law Complicates Retainage on Construction Projects
Do We Still Need Retainage?
David K. Taylor | BuildSmart There have been debates for years about the pros and cons of owners withholding retainage (usually 5% or 10%, depending on each state’s retainage laws or local “industry standard”) from prime contractors. Typically, the primes will, in turn, withhold retainage from all subcontractors. However, in these crazy times, when the… Continue reading Do We Still Need Retainage?