US Lawyer Database

For Lawyer-Seekers

YOU DESERVE THE BEST LAWYER

Home » US Law » 2021 Tennessee Code » Title 66 - Property » Chapter 34 - Prompt Pay Act » Part 3 - Prime Contractor/remote Contractor Payment

§ 66-34-303. Withholding of Payment or Retainage by Prime Contractor

This chapter does not prevent the prime contractor from reasonably withholding payment or a portion of payment to the remote contractor, as long as the withheld payment is in accordance with the written contract between the prime contractor and the remote contractor. The prime contractor may also withhold a reasonable amount of retainage as specified […]

§ 66-34-304. Payments to Be Held in Trust by Prime Contractor

Any sums received by the prime contractor as payment for work, services, equipment, and materials supplied by the remote contractor for improvements to real property must be held by the prime contractor in trust for the benefit and use of the remote contractor, and are subject to all legal and equitable remedies.