Check a construction contract payment period against the statutory due date

Key facts

Human involvement
YellowClose supervision
How AI is used
From the contract and the date of the payment claim, classify the payment as principal to head contractor, payment to a subcontractor, or a payment under an exempt residential construction contract, and calculate the statutory date and any earlier date the contract states. Do not decide that a clause is ineffective.
What the lawyer must review
The lawyer confirms the class of contract, the claim date, and whether a clause that sets a later date has no effect.
Written for / version
US

Open a jurisdiction version of this task to see which instruments apply: US

Who does what

Who does what
RoleWhat they do
AssistanceFrom the contract and the date of the payment claim, classify the payment as principal to head contractor, payment to a subcontractor, or a payment under an exempt residential construction contract, and calculate the statutory date and any earlier date the contract states. Do not decide that a clause is ineffective.
LawyerSet the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output.

Checklist

  1. A progress payment by a principal to a head contractor, other than under an exempt residential construction contract, is due 15 business days after a payment claim, or on an earlier date the contract provides.
  2. A progress payment to a subcontractor, other than under an exempt residential construction contract, is due 20 business days after a payment claim, or on an earlier date the contract provides.
  3. A provision that allows payment later than the date under those two rules has no effect. That rule does not, on the section, extend to an exempt residential construction contract.
  4. A progress payment under an exempt residential construction contract is due on the date the contract provides, or, if the contract makes no express provision, 10 business days after the payment claim.

Sources

These are suggested working checks. Confirm the required checking with the responsible lawyer before work starts; the checking approach does not establish permission to use AI.

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