Can contractors withhold payment on federal jobs? The answer is ultimately "yes", but retainage must be treated very differently when a federal job is in play.
Retainage rules rank among the most frustrating over-complifications in the industry, but they're also some of the most important. When your customer refuses to let go of those retention payments that you've rightfully earned - how can you fight to get ahold of what's yours?
For those who provide construction labor or materials to California public jobs, the state's Little Miller Act ensures that payment will be made. Like every other state's Little Miller Act, California's requires that the prime contractor secures a payment bond for the benefit of their subcontractors and suppliers.
There are a number of things contractors must consider when working on public projects - not the least of which are prevailing wage laws. If a contractor finds themselves in violation of these laws, serious penalties could apply.
In Texas a general contractor is generally not required to give any preliminary notice. However, when a project is residential, a GC must provide a Residential Disclosure Statement, among other information. Let's break it down...