News

Governor Lee signs Construction Industry Payment Protection Act

On Monday, June 22nd. Governor Lee signed SB2681/HB2706 the Construction Industry Payment Protection Act. A summary of the bill is below.  Identification of the Problem The construction industry needed adequate payment protections. Statutes affecting the construction industry are intertwined and provided some protection but were inconsistent and insufficient. The risk of nonpayment was not borne by party best able to manage risk or fairly allocated. How Did We Resolve the Payment Dilemma? Made applicable statutes Internally consistent. Reduced applicability loopholes. Ensured acts have adequate timing, notice, and penalty provisions to protect industry. Summary of Changes Modified statutory language to reflect consistent definitions and terminology throughout lien laws, Truth in Construction Act, Prompt Pay Act, and construction defect statutes to maintain internal consistency. Tennessee Lien Laws – T.C.A ... Read the rest of entry »

Construction Industry Payment Protection Act Passes House, Moves to Governor Lee's Desk

At ABC Greater Tennessee, one of our main areas of focus is advocating for responsible legislation to protect our industry when payments are not made. Our industry has made positive changes to the laws of Tennessee as they relate to construction; however, many of these laws left some unintended contradictions, ambiguities, and loopholes that needed to be rectified.

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