Build a payment and retention register for a federal agency construction contract
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- From the subcontract and the payment records, list each progress payment, the percentage the subcontract says may be retained, the amount withheld, and the date the agency payment and the subcontract payment are shown. Do not certify that the statute is satisfied.
- What the lawyer must review
- 31 U.S.C. § 3905(b) requires each construction contract awarded by an agency to include a clause obligating the prime contractor to pay a subcontractor for satisfactory performance within 7 days out of such amounts as are paid to the prime by the agency, and an interest-penalty clause for payments not made in accordance with that clause. The same section permits the prime or a subcontractor to retain, without cause, a specified percentage of each progress payment otherwise due for satisfactory performance, without incurring a late-payment interest penalty, on terms the parties to the subcontract agree, giving such recognition as they deem appropriate to the ability of a subcontractor to furnish a performance bond and a payment bond. A payment dispute between contractor and subcontractor under those clauses is not a dispute to which the United States is a party. The lawyer decides whether this contract is an agency construction contract. Formal Opinion 512: the figures are checked against the ledger.
- Written for / version
- United States versionUS
Who does what
| Role | What they do |
|---|---|
| Assistance | Potential support includes organising research leads. Confirm the tool’s capability and permitted scope. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Trace every relied-on figure to its source, confirm dates and assumptions, and independently recalculate totals or derived amounts.
- Review operative clauses in the complete document, including definitions, cross-references, schedules and inconsistencies with the instructions.
- Confirm that the actual tool, feature and processing terms permit use of this information, including access, retention, training and disclosure conditions.
- Obtain and inspect the relevant current official register or search result. Confirm identities, interests and the date and scope of the search.
- Confirm the output against the client’s instructions and the complete relevant source material, including omissions or contradictions.
- Resolve exceptions and record the responsible lawyer’s approval of the exact output and intended use.