A Notice by Contractor to Claimant of Dispute of Claimant's Claim Described in Stop Notice is a legal document used by a contractor to notify a claimant of a dispute regarding a claim the claimant has described in a Stop Notice. This notice serves as an official response from the contractor to the claimant's claim, and provides the claimant with information on how the dispute can be resolved. The two types of Notice by Contractor to Claimant of Dispute of Claimant's Claim Described in Stop Notice are: 1. Notice of Dispute of Claimant's Claim: This notice outlines the specific details of the dispute and the contractor's position regarding the claim. It also includes information on how the dispute can be resolved. 2. Notice of Intent to Withhold Payment: This notice informs the claimant that the contractor intends to withhold payment on the claim until the dispute is resolved. This notice may also provide information on the amount of payment that the contractor is withholding.
Notice by Contractor to Claimant of Dispute of Claimant's Claim Described in Stop Notice
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FAQ
A stop notice is a document given for the purpose of stopping, intercepting, or freezing funds that have not yet been paid on a construction project in an attempt to ensure payment.
The California Stop Notice Release Bond states that the Claimant in the matter should receive judgement in any action brought on said Claim. The bond holder should pay said judgement and costs to Claimant in an amount not exceeding the sum specified in this undertaking.
A stop notice notifies either the prime contractor, property owner, or construction lender that payment is due and that they must withhold enough funds to pay your claim before payments continue to the general contractor.
Finally, Stop Payment Notices must be sent at the earlier of: (a) 30 days from the recording of a Notice of Completion for the project; or. (b) within 90 days from the actual completion (if no Notice of Completion was recorded).
The name and address of the claimant; It is a good idea to include a statement of the claimant's demand and the jobsite location. The Stop Notice must be signed and verified by the claimant. The Stop Notice should include a statement demanding that sufficient funds be withheld to satisfy the claim with interest.
The stop work notice must be served personally or by certified mail on the contractor and the director of the department which let the contract for the state of California, or the public disbursing officer responsible to make payments under the contract, or with the body by whom the contract was awarded.