Public WorksQuestion 122 of 1605

An unpaid subcontractor on a public works project can compel the public agency to withhold project funds by serving:

a.A stop payment notice
b.A mechanics' lien
c.A cease and desist letter
d.A Cal/OSHA complaint

Explanation

Since public property cannot be liened, an unpaid claimant on a public works project serves a stop payment notice on the public agency, which must then withhold enough project funds to cover the claim.

Law Reference: Civil Code §9350

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Reviewed by Abraham Chen Licensed California General Contractor (CSLB License #1101856 verify)
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