{"data":{"id":"us-ok/okla.-stat.-tit.-15-15-820","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 15, § 15-820","heading":"Frequency and time period of payments to prime contractor","body":"- Exemption - Suspension and resumption of work.\n\nA. Bid Projects.\n\n1. On all private construction projects in which a set of plans\n\nor specifications or both plans and specifications are issued for\n\nbid, the owner shall specify in writing the frequency and time\n\nperiod for payments to the prime contractor. The general\n\nspecifications and the first page of all bid plans shall include the\n\nfollowing, or substantially similar, language:\n\nOWNER SHALL ISSUE PAYMENTS WITH A FREQUENCY OF __________.\n\nOWNER SHALL ISSUE EACH PAYMENT TO THE PRIME CONTRACTOR WITHIN\n\n________ DAYS AFTER RECEIPT OF CONTRACTOR’S BILLING.\n\nAny resulting contract shall include the payment frequency and time\n\nperiod prescribed in the general specifications and bid plans. An\n\narchitect, engineer, or other entity preparing the plans and\n\nspecifications for the owner shall not be liable for the failure to\n\ninclude the payment terms on a set of plans or specifications used\n\nfor bidding purposes.\n\n2. If the owner fails to comply with the provisions of\n\nparagraph 1 of this subsection, the following shall be applicable:\n\na. the owner shall make monthly progress payments, and\n\nb. payments shall be due within twenty-eight (28)\n\ncalendar days after receipt of billing.\n\n3. The owner may reduce the progress payment as provided for in\n\nthe contract.\n\n4. Subcontractors shall be paid by the prime contractor within\n\nten (10) calendar days of payment from the owner, or as otherwise\n\nagreed to by the parties. Payment may be reduced as provided for in\n\nthe subcontract.\n\nB. Private Negotiated Projects.\n\n1. The provisions of subsection A of this section shall not be\n\napplicable to private negotiated projects.\n\n2. An owner may choose to negotiate a construction contract\n\nwith a contractor, and may also choose to keep the payment terms of\n\nthat contract private.\n\n3. If a contractor invites a subcontractor to bid on any\n\nportion of a negotiated project, the contractor shall clearly define\n\nthe contractor’s payment term upon issuance of the invitation to\n\nbid. Such payment term shall be defined as to the frequency that\n\npayments shall be made, and a specific day of the month that the\n\nsubcontractor shall expect to receive each payment.\n\n4. Any subcontract negotiated pursuant to this subsection shall\n\ninclude the same payment terms as were represented by the prime\n\ncontractor to the subcontractor prior to the acceptance of the bid\n\nof the subcontractor. Payment may be reduced as provided for in the\n\nsubcontract.\n\nC. Suspension of Work for Bid Projects and Private Negotiated\n\nProjects.\n\n1. The prime contractor may suspend work:\n\na. when payment has not been received within ten (10)\n\ncalendar days of the date payment should have been\n\nreceived,\n\nb. if the prime contractor has complied with the\n\ncontract, and\n\nc. if the prime contractor has given the owner ten (10)\n\ncalendar days written notice of work suspension\n\ndelivered by certified mail or other verifiable\n\nservice.\n\n2. Subcontractors may suspend work:\n\na. when payment has not been received within ten (10)\n\ncalendar days of the date payment should have been\n\nreceived,\n\nb. if the subcontractor has complied with the\n\nsubcontract, and\n\nc. if the subcontractor has given the prime contractor\n\nten (10) calendar days written notice of work\n\nsuspension delivered by certified mail or other\n\nverifiable service.\n\nD. Resumption of Work.\n\nNo prime contractor or subcontractor shall be required to resume\n\nwork until:\n\n1. Receipt of full payment of undisputed portions of\n\noutstanding billing;\n\n2. The contracted work schedule is extended the number of days\n\nof delay; and\n\n3. A change order is issued for the verifiable direct cost of\n\nsuspension, delay and start-up.","path":["OK Code","Title 15"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os15.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"66ee5da4ed58aabdbdedd7897c647ddd3b5c32ff6290104d67abd6500bddae5c","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-15-15-799a.8","next":"us-ok/okla.-stat.-tit.-15-15-821"},"notice":"GroundRules: Original legal text. Not legal advice."}
