HB881:

Contracts; payment clauses to be included, right to payment of subcontractors.

Bill Summary:

Contracts; payment clauses to be included; right
to payment of subcontractors. Requires contracts awarded by state
or local government agencies or private entities to include a payment
clause that obligates the contractor to be individually liable for
the entire amount owed to any subcontractor with which it contracts
minus any amount that may otherwise be withheld due to the subcontractor's
breach of contract. The bill provides that payment by the party
contracting with the contractor shall not be a condition precedent
to payment to any lower-tier subcontractor.