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Pennsylvania: State-by-State Summary of Prompt Payment

Pennsylvania

Owner to Prime Contractor (Private): Unless otherwise agreed by contract, 20 days after the end of the billing period or delivery of invoice, whichever is later.

Prime Contractor to Subcontractor (Private): 14 days after receipt of payment from owner.

Interest/Penalties (Private): Unless otherwise agreed by contract, interest at a rate of 1% per month beginning 7 days after the due date for payment.

Owner to Prime Contractor (Public): Unless otherwise agreed by contract, 45 days after receipt of invoice.

Prime Contractor to Subcontractor (Public): 14 days after receipt of payment from owner.

Interest/Penalties (Public): Unless otherwise agreed by contract, interest at the statutory rate plus a 1% penalty for amounts withheld in bad faith. Attorneys’ fees awarded in cases of bad faith.

Pay-If-Paid Permissible: Yes.

Disclaimer: This information was published on July 1, 2020. Please contact Josh Levy, Eric Meier or Samantha Schacht for modifications made by Pennsylvania since that date. Visit our 50-State Construction Law Map for information on other states.