255.05 retainage

GE
Greg Elliott
Wed, Jun 20, 2012 5:27 PM

Okay.  255.05 bonded public construction job.  Your subcontractor has
perfected his right to claim against the bond, and substantially
completed his work.  Progress payments were paid current, but he is
still owed retainage.  Months after he finished his work he sends the GC
and their surety a request for information under FS 255.05(10)(d) by
certified mail, and no body responds (within 10 days or otherwise).

Here's the question:  When did the retainage become "due and payable"
from the surety under their payment bond for purposes of calculating
interest?

Sure, sure, sure, the subcontract with GC says final payment (including
retainage) after  "substantial completion of the project", "acceptance
by owner", CO, payment by the Owner, all of that.  But the surety can't
rely on that language.  See, /Everett Painting v Padula & Wadsworth/
(the payment bond is a separate agreement and 255.05 does not authorize
conditional payment bonds).

In my view, retainage became due and payable from the surety on the 11th
day after the request was sent under 255.05(10)(d), and no written
response was delivered.

G. Elliott

Gregory T. Elliott
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Okay. 255.05 bonded public construction job. Your subcontractor has perfected his right to claim against the bond, and substantially completed his work. Progress payments were paid current, but he is still owed retainage. Months after he finished his work he sends the GC and their surety a request for information under FS 255.05(10)(d) by certified mail, and no body responds (within 10 days or otherwise). Here's the question: When did the retainage become "due and payable" from the surety under their payment bond for purposes of calculating interest? Sure, sure, sure, the subcontract with GC says final payment (including retainage) after "substantial completion of the project", "acceptance by owner", CO, payment by the Owner, all of that. But the surety can't rely on that language. See, /Everett Painting v Padula & Wadsworth/ (the payment bond is a separate agreement and 255.05 does not authorize conditional payment bonds). In my view, retainage became due and payable from the surety on the 11th day after the request was sent under 255.05(10)(d), and no written response was delivered. G. Elliott -- Gregory T. Elliott **/ELLIOTT - BERGER, P. A./**// 10225 Ulmerton Road, Suite 4A Largo, Florida 33771 (727) 360-2600 (Phone) (727) 360-6588 (Fax)* Board Certified In Construction Law * *_NOTICE OF CONFIDENTIALITY:_***This message and its attachments are intended solely for the use of the addressee. In addition, this message and the attachments may contain information that is confidential, privileged and exempt from disclosure under applicable law. If you are not the intended recipient of this message, you are prohibited from reading, disclosing, reproducing, distributing, disseminating or otherwise using this transmission. Delivery of this message to any person other than the intended recipient is not intended to waive any right or privilege. If you have received this message in error, please promptly notify the sender by reply E-mail and immediately delete this message from your system.