A subcontractor on a private project completes its work and the prime contractor withholds 5% retention. The owner has accepted the project and released all retention to the prime. Under Civil Code §8814, the prime must release the sub's retention within how many days?
Explanation
Civil Code §8814 requires a prime contractor to release retention withheld from a subcontractor within 10 days after receiving the retention from the owner (a). Wrongful withholding triggers a 2% per month penalty under Civil Code §8818, plus costs and attorney fees to the prevailing party. (b) 30 days and (c) 60 days are contract terms, not the statute's; 60 days is the Public Contract Code §7107 window for a public agency, a different project type. (d) invents a condition — no subcontractor's acceptance gates another's retention. The retention percentage itself is capped at 5% by Civil Code §8811 for contracts entered into on or after January 1, 2026.
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