A 'pay-if-paid' clause in a subcontract attempts to make the general contractor's receipt of payment from the owner a:

Giải thích

A pay-if-paid clause seeks to make the owner's payment to the general contractor a condition precedent to the general's duty to pay the subcontractor, so that if the owner never pays, the general arguably owes the sub nothing. Such clauses are strictly construed and, in some jurisdictions and circumstances, limited by law or public policy. It is not a 24-hour payment guarantee, is not merely a lien waiver, and does not eliminate the need for a subcontract.