Contracts & ExecutionQuestion 211 of 690

A contractor stops work on a project for two weeks because the owner has not made an undisputed progress payment that is clearly due. This work stoppage is:

a.Always abandonment, regardless of the reason
b.A criminal offense in every case
c.Only allowed on public works projects
d.Generally a lawful suspension, not abandonment, because there is legal justification

Explanation

Abandonment requires departing the work without legal excuse. Stopping work because the owner failed to make a clearly due, undisputed payment is generally a justified suspension, not unlawful abandonment.

Law Reference: Bus. & Prof. Code §7107

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