Can the Language of a Payment Bond Limit its Duration?
A payment bond provided by the general contractor is a valuable asset to any subcontractor or supplier on that project. Payment is assured by the bond—a subcontractor or supplier will get paid even if the general contractor doesn’t make payment. While there are certain hurdles to perfecting your bond rights that get a lot of attention, such as the Notice to Owner Requirement, there is one possibly critical question that has been largely ignored: What is the effective duration of the payment bond? In other words, does the work have to be provided during a certain time period in order for payment to be covered by the bond?
Copy and paste this URL into your WordPress site to embed
Copy and paste this code into your site to embed