16-1804.   Retainage; failure to pay.(a) An owner, contractor or subcontractor may withhold no morethan 10%retainage fromthe amount of any undisputed payment due.

      (b)   If an owner, contractor or subcontractor fails to pay retainage, if any,pursuant to the terms of a contract for private construction or asrequired by this act, theowner, contractor or subcontractor shall pay interest to the contractor orsubcontractor to whom payment was due, beginningon the first business day after the payment was due, at a rate of 18% perannum.

      History:   L. 2005, ch. 156, § 4; July 1.