Construction Law Blog

Blog Disclaimer: The content provided on this website is for informational purposes only and is not legal advice. Transmission of this information is not intended to create, and receipt does not constitute, an attorney-client relationship. The information provided is intended for general information which may or may not reflect the most current developments. Read More

- OR -

Subcontractors on Washington Public Projects Can Now Get Their Retainage Money Sooner

Date: July 20, 2017  /  Author: Brett M. Hill  /  Categories: Out of the Ordinary, Government Contracts, Contracting, Construction News and Notes, Memorable Quotes, Rants and Raves, Recent Legislation, Claims  /  Keywords: SUBCONTRACTORS ON WASHINGTON PUBLIC PROJECTS CAN NOW GET THEIR RETAINAGE MONEY SOONER 1  /  Comments (0)

Subcontractors on public projects in Washington State will no longer be required to wait until final acceptance of the project to get their retainage money. A new statute, which goes into effect on July 23, 2017 and applies only to Washington public projects, will allow subcontractors to get their retainage sooner.

Under prior law, a subcontractor could only get its retainage prior to final acceptance if the general contractor provided a retainage bond to the public owner to secure a release of the general contractor’s retainage and the subcontractor then provided a similar retainage bond to the general contractor in the amount of its own retainage. If the general contractor decided to not provide a retainage bond to the owner, the subcontractor would be forced to wait until final acceptance of the project before it could get paid its retainage.