§ 511. Contractor’s and subcontractor’s withholding of payment for good faith claims
Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 73 P.S. Trade and CommerceEffective: October 10, 2018
Effective: October 10, 2018
73 P.S. § 511
§ 511. Contractor’s and subcontractor’s withholding of payment for good faith claims
(a) Authority to withhold.--The contractor or subcontractor may withhold payment from any subcontractor responsible for a deficiency item. The contractor or subcontractor shall pay any subcontractor according to the provisions of this act for any item which appears on the invoice and has been satisfactorily completed.
(1) Except as provided under section 9,1 if a contractor or subcontractor withholds payment from a subcontractor for a deficiency item, the contractor or subcontractor withholding payment must notify the subcontractor and the owner in writing of the good faith reason for the withholding within the time period specified in the construction contract or 14 calendar days of the date after receipt of the notice of the deficiency item.
(c) Amount of withholding.--If a contractor or subcontractor withholds payment from a subcontractor for a deficiency item, the contractor or subcontractor withholding payment shall remit payment to the subcontractor for each other item that has been satisfactorily completed under the construction contract.
Credits
1994, Feb. 17, P.L. 73, No. 7, § 11, effective in 60 days. Amended 2018, June 12, P.L. 131, No. 27, § 4, effective in 120 days [Oct. 10, 2018].
Footnotes
73 P.S. § 509.
73 P.S. § 511, PA ST 73 P.S. § 511
Current through Act 4 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
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