Mark a payment clause that depends on payment further up the chain
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- Mark each sentence that makes payment further up the chain a condition of payment to a subcontractor, and list the Virginia limit that matches the regime the lawyer names. Include the private-contract insolvency and bankruptcy exception when the lawyer names § 11-4.6. The lawyer writes any replacement clause. Write no clause text.
- What the lawyer must review
- The operative clause is yours to write. The tool only marks the upstream-payment sentence and lists the limit in the statute you name. Under Virginia Code § 11-4.6, for a private owner who is not a public body, payment by the party contracting with the contractor is not a condition precedent to payment to any subcontractor unless that party is insolvent or a debtor in bankruptcy as defined in § 50-73.79, and a provision contrary to the section is unenforceable. Under Virginia Code § 2.2-4354, for a state-agency contract or a local-government contract awarded in accordance with § 2.2-4352, payment by the party contracting with the contractor is not a condition precedent to payment to any lower-tier subcontractor, and a provision in a construction contract contrary to the section is unenforceable. You choose the statute, you decide whether an insolvency or bankruptcy exception is in play, and you write the words that go into the contract.
- Written for / version
- United States versionUS
Who does what
| Role | What they do |
|---|---|
| Assistance | Potential support includes preparing preliminary structure or wording. 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.
- Verify the applicable jurisdiction and the version of each relevant law, rule or instrument in force at the material time.
- 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.