Prompt Payments: How CASPA and Other State Laws Afford Contractors Protections
On 11 July 2025, the Hong Kong Government gazetted the Construction Industry Security of Payment Rules (“Rules”). The Rules, made by the Chief Judge of the High Court under section 50 of the Construction Industry...more
Like they warned us on Schoolhouse Rock, it is no easy feat for a bill to become enacted into law. Just ask the proposed “Prompt Pay” legislation that currently languishes in Michigan. By way of background, “Prompt Pay”...more
On November 17, 2023, Governor Kathy Hochul signed a bill into law amending Sections 756-a and 756-c of the New York State Prompt Payment Act (N.Y. Gen. Bus. Law §756 (McKinney 2009)) governing restrictions on retainage and...more
No matter your tier in the construction contracting chain, understanding the nuanced rules and procedures about retainage, back charges, and other payment withholdings is critical to managing cash flow and protecting your...more
The Virginia legislature recently took a broad step toward limiting the use of certain common clauses in construction subcontracts. This new legislation, effective January 1, 2023, amends the state's Prompt Payment Act...more
The Pennsylvania Contractor and Subcontractor Payment Act 73 P.S. § 501, et seq. (“CASPA”) was enacted to protect the right to payment of contractors and subcontractors who perform improvements on real property. CASPA...more
The Tennessee legislature recently passed the Construction Industry Payment Protection Act (“CIPPA”), SB2681/HB2706, which offers significant changes to the Tennessee construction industry. Not only does the act amend...more
Every private construction project in Illinois will be affected by a new law, effective immediately. The Contractor Prompt Payment Act (815 ILCS 603/1, et seq.) was amended to restrict the use of retainage on construction...more
In December 2017, the Ontario Legislature passed the Construction Lien Amendment Act, 2017 (the "Act"). The Act introduces significant changes to Ontario’s construction lien regime and is intended to reduce delays in...more
The California legislature has enacted a comprehensive series of prompt payment statutes that are designed to ensure the prompt payment of progress payments and retention payments to downstream contractors by imposing harsh...more