|Posted:||February 16, 2017 10:41 AM|
|From:||Representative James R. Santora and Rep. Michael J. Driscoll|
|To:||All House members|
|Subject:||Co-sponsor- Contractor and Subcontractor Payment|
|I am preparing to introduce legislation that will amend the Contractor and Subcontractor Payment Act (Act 7 of 1994). The Contractor and Subcontractor Payment Act was originally passed to provide a means for contractors/subcontractors involved in construction work to resolve contract disputes. The problem is that these disputes are still happening. In fact, it has led to more contractors/subcontractors leaning more toward filing mechanic’s liens to resolve payment disputes. We need to reduce reliance on the Mechanic’s Lien Law.
With that said, I plan on introducing legislation that would allow for suspension of work if payment is not received by a contractor or a subcontractor in accordance with the terms of their construction contract. Specifically, if the contractor/subcontractor is not paid under the contract terms, the following would apply before suspension of work could occur:
Introduced as HB566