Can an owner withhold general conractor's final payment if they haven't received our unconditional final waiver?
CaliforniaWe are a plumbing sub, waiting for our final retention payment from the GC. The GC states the owner is withholding the final payment until they have received our unconditional final waiver. I have already given them an unconditional progress waiver for our previous invoice, a conditional final waiver for our retention owed and uncond. finals from our suppliers... I can't provide an unconditional final waiver if I haven't received our final payment, right?
2 replies
Good morning! You are correct and you should not be bullied into providing a unconditional waiver and release in advance of your verification that the payment has cleared the bank. There is a reason why we have 4 waiver and release forms including the 2 conditional waiver and release forms. Trust your instincts here and if they continue to refuse, get a construction lawyer involved to help push the issue. And don't forget to protect your mechanics lien, stop payment notice, and/or bond rights as the case may be.
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Correct. Give them an unconditional after you've been paid. A conditional waiver before you've been paid. You may want to propose an in person meeting where you trade an unconditional waiver for a cashier's or certififed check for your money.
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