CA SB 440

Title: Private Works Construction Fair Payment and Dispute Resolution Act.
Author: Rosilicie Ochoa Bogh

Summary
SB 440, as amended, Ochoa Bogh. Private Works Construction Fair Payment and Dispute Resolution Act. Existing law contains various provisions relating to contracts for the performance of private works of improvement, including provisions applicable to a retention withholding by an owner from a direct contractor or by a direct contractor from a subcontractor. This bill would establish, until January 1, 2030, for contracts entered into on or after January 1, 2026, a claim resolution process, as specified, applicable to any claim by a contractor or subcontractor, as described, in connection to a work of improvement or site improvement, except as specified. The bill would define a claim for these purposes as a timely and separate demand by the contractor or subcontractor, as described, sent by registered mail or certified mail with return receipt requested, for, among other things, a time extension for relief from damages or penalties for delay assessed by an owner under contract for a work of improvement or site of improvement. The bill would require a contractor or subcontractor bringing a claim under these provisions to bear the burden of proof, by a preponderance of the evidence, to demonstrate that any disputed claim was agreed upon by the owner or project manager, as specified. The bill would make related findings and declarations.

Status
June 17 set for first hearing canceled at the request of author.

Bill Documents
CA SB 440 - 04/28/25 - Amended Senate

CA SB 440 - 02/18/25 - Introduced

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CA SB 440