Nevada Retainage Requirements
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5% Retainage Limit
Retainage cannot exceed 5%.
Not specified in statute.
There's No Process to Recover
Not Held In Escrow
In Nevada, contractors and owners do not need to hold retainage funds in a separate escrow account.
Public entity must retain 5% prior to 50% completion. A contractor or subcontractor may retain no more than 5% of any partial payment due under a subcontract prior to 50% completion.
Once 50% completion has been reached, and if the performance is satisfactory, the public entity may pay any retainage amount previously withheld.
There is a Process to Recover
Yes, written request can be made to public entity regarding retainage payments.
Retainage serves two general purposes: (1) To provide an incentive to the contractor or subcontractor to complete the project; and (2) To give the owner some protection against problems like liens, contractual defaults, delays, and more. In most states, laws exist to regulate how the parties use the retainage concept, mostly protecting some parties against abuse of the tool from others. The following are resources, legal information, and frequently asked questions about Nevada’s retainage requirements. The Nevada retainage statutes are reproduced below on this page.