How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 110550
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
Type Your Business Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

New to business so trying to find the best way to request

Customer Question

New to business so trying to find the best way to request payment from contractor without suspending work.
JA: OK. The Corporate Lawyer will need to help you with this. Have you consulted a lawyer yet?
Customer: no
JA: Please give me a bit more information, so we can help you best.
Customer: We are a subcontractor for a commercial project. We submitted our invoice for January to the general contractor and have yet to be paid. The accounts payable person states they have still not received payment from the owner.
JA: Is there anything else important you think the Corporate Lawyer should know?
Customer: We are VERY concerned because our February payment is for about $60,000 and we are about 2 weeks away from being done on the project.
JA: I'm sending you to a secure page on JustAnswer so you can place the $5 fully refundable deposit now. While you're filling out that form, I'll tell the Corporate Lawyer about your situation and connect you two.
Submitted: 7 months ago.
Category: Business Law
Expert:  Law Educator, Esq. replied 7 months ago.
Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.
If you cannot get them to pay, you need to prepare and send a pre lien notice to the owner of the property informing them that if you are not paid as agreed you within 14 days you would place a lien on their property for the work done. You send a copy to the GC as well. If they still do not pay, you would place a lien against the property and then you can sue to foreclose against the lien and seek to collect through the property owner.
At this point, I would suggest, since you are a corporation, that you get your local attorney to draft the lien notice and get prepared to file the lien, because if it is not done exactly right you could lose the rights to the lien and would have to sue the GC and property owner in court for your money.
The lien against the property means that you can foreclose if they do not pay and could take the property from them.
You also need to check to see if the GC has a bond on the project and if they do, then you can file a claim with the bond company as well for payment on your bill.
These are your options to settle the matter without stopping work.

Related Business Law Questions