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What is the next step for filling on a bond.

TexasBond Claims

We have filed the 2 month and third month notices. They have not paid yet (past 90 days). However we had extended them 90 day terms. If we need to file a claim, what are the parameters. Invoiced for material in April 2020. Have not received any payments to date. Project is a two year project for the contractor. We are working with the general contractor. We are still expecting to get paid however I wanted to know the limits as to when we can file a claim on the Bond

1 reply

Aug 6, 2020
As you may know, 3rd month notices on Texas public projects are sent both to the GC and to their surety. That 3rd month notice, when sent to the surety, actually acts as a claim against the payment bond that's been provided on the job. So, every time a 3rd month notice is sent, as required, a claim is made against the payment bond. More on that here: (1) How to Make a Texas Payment Bond Claim; and (2) Texas Bond Claim Guide and FAQs. If payment woes continue and you need to escalate the matter, reaching out to the surety and inquiring about their evaluation of the claim might be useful. Or, ensuring that they understand you're making a claim and expect to be paid by them may be a good step. And, if need be, threatening to file a lawsuit to enforce the bond claim can show both the GC and the surety that you're serious about being paid and willing to do what it takes to make sure that happens. If you're being slow paid, other claims may be on the table too - like breach of contract or a claim under the TX prompt payment laws. So, sending a more thorough payment demand letter might be a good option, too. Finally, proceeding with an enforcement suit against their bond, or with other legal claims, can get the job done. If that becomes necessary, it'd be wise to find the right TX construction lawyer for your situation - and you can begin that search here: Find a Texas Construction Lawyer.
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