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Do I have any protection if I file a California Bond Claim late as a material supplier?

I am several days past the period when I would have needed to have filed a bond claim. I have not filed any other documents on this project such as a preliminary notice or a notice of completion . The hiring party is the General contractor and I am a material supplier. This is a state/county job.

1 reply

Jan 11, 2018

Under § 9300(b(2) of the California Little Miller Act, a claimant that has a direct contractual relationship with a direct contractor is not required to give preliminary notice. So the failure to send preliminary notice when contracting with the direct contractor will not preclude a bond claim. Also, the time to make a claim on a payment bond is a little confusing- so let's go into more detail there. Under § 9558, "A claimant may commence an action to enforce the liability on the bond at any time after the claimant ceases to provide work, but not later than six months after the period in which a stop payment notice may be given under Section 9356." A stop payment notice under § 9356 may be given "(a) If a notice of completion, acceptance, or cessation is recorded, 30 days after that recordation. (b) If a notice of completion, acceptance, or cessation is not recorded, 90 days after cessation or completion." So, to determine the time period for commencing an action on the payment bond, add 6 months to whichever subsection of § 9356 applies. If the time to make a bond claim has indeed passed, other recovery options will still be available - such as filing suit. However, litigation is typically much riskier and more expensive.

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