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How long does a General Contractor have to pay its Subcontractor?

CaliforniaPrevailing Wages

As a Subcontractor to a General Contractor in California potentially working on a prevailing wage City project, how long should it take for the General Contractor to pay the Subcontractor? I was under the understanding, once the General is paid by the City, they have 10 days to pay the Subcontractor? I am getting a bit of push back on a job we are bidding wth the General stating they want 60 day terms and we dont get paid until they get paid. Any help or reference you can provide would be appreciated. Thank you Joel

2 replies

Jan 17, 2022
The Prime contractor has to pay the subcontractors within 7 days of receipt of the progress payment for which subcontractors' invoice was paid. See Business and Professions Code Section 7108.5. The 10-day rule applies to Retentions, see Civil Code Section 8814.
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Jan 17, 2022
Brion, Thank you for the quick response.
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