The right to execute and deliver a stop notice or a notice to withhold funds is a remedy closely related to a mechanic's lien. When a stop notice or a notice to withhold funds is received by an individual or a firm holding the construction funds for a project, the individual or firm must withhold from its disbursements sufficient money to satisfy the stop notice claim. In jurisdictions that provide for stop notices, the notice constitutes a remedy in addition to a mechanic's lien.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
A Washington Stop Payment Notice By Subcontractor to the Holder of Construction Project Funds is a legal document used in the state of Washington to protect subcontractors' rights to payment for work performed on a construction project. It serves as a notification to the construction project's funds holder, typically the property owner or general contractor, to withhold payment to the prime contractor until the subcontractor's outstanding invoices are settled. This notice is governed by Washington's mechanic's lien laws, which provide protection to subcontractors who have not been paid for their work. By filing a stop payment notice, a subcontractor can assert their right to payment and prevent the funds from being released or disbursed to the prime contractor. Keywords: Washington Stop Payment Notice, holder of construction project funds, subcontractor, mechanic's lien laws, payment protection, prime contractor, property owner, general contractor, subcontractor's outstanding invoices, disbursement. There are two types of Washington Stop Payment Notices By Subcontractor to the Holder of Construction Project Funds: 1. Preliminary Stop Payment Notice: This notice is filed before the subcontractor starts work on the construction project. By serving a preliminary stop payment notice, subcontractors inform the funds holder of their involvement on the project and reserve their right to file a formal stop payment notice if necessary. 2. Formal Stop Payment Notice: If a subcontractor has not been paid for the work they have completed on a construction project, they can file a formal stop payment notice. This notice triggers a legal process that requires the funds' holder to withhold payment to the prime contractor until the subcontractor's outstanding invoices are satisfied. Keywords: Preliminary Stop Payment Notice, Formal Stop Payment Notice, subcontractors, involvement, legal process, withhold payment, outstanding invoices.
