Contracts & ExecutionQuestion 199 of 1632

An AIA-style "Application and Certificate for Payment" (commonly G702/G703) is used to:

a.Certify substantial completion and release all retention held
b.List the subcontractors and suppliers in a bid package
c.Request a progress payment against the schedule of values
d.Record a mechanics' lien claim with the county recorder

Explanation

The G702 application and certificate for payment, with its G703 continuation sheet, itemizes the schedule of values and the percentage of each line item completed — that is how a progress payment is requested and certified. Substantial completion is certified on a separate form and does not by itself release retention. Subcontractor and supplier listings belong to the bid documents, not the payment application. And a mechanics' lien is a statutory claim recorded with the county, not an AIA payment form.

Law Reference: AIA G702/G703 (industry practice); Civil Code §8412 (lien recording)

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