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Minnesota · Through 2025 Minnesota Statutes

Minn. Stat. § 16A.1245: PROMPT PAYMENT TO SUBCONTRACTORS.

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Where this section sits in the code
  1. ADMINISTRATION AND FINANCE
  2. CHAPTER 16A. DEPARTMENT OF MANAGEMENT AND BUDGET
  3. STATE AGENCIES

Each state agency contract must require the prime contractor to pay any subcontractor within ten days of the prime contractor's receipt of payment from the state for undisputed services provided by the subcontractor. The contract must require the prime contractor to pay interest of 1-1/2 percent per month or any part of a month to the subcontractor on any undisputed amount not paid on time to the subcontractor. The minimum monthly interest penalty payment for an unpaid balance of $100 or more is $10. For an unpaid balance of less than $100, the prime contractor shall pay the actual penalty due to the subcontractor. A subcontractor who prevails in a civil action to collect interest penalties from a prime contractor must be awarded its costs and disbursements, including attorney's fees, incurred in bringing the action.

Collected 2026-09-02T22:10:26Z. Source file · JSON

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