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Bond Claim Notices

 

California

  1. Basics of a CA Payment Bond (Public & Private Works).
  2. CA Payment Bond Notice Requirements (Public & Private Works).
  3. Enforcing a CA Payment Bond (Public & Private Works).

Enforcing a CA Payment Bond
A claim against a California Payment Bond may be enforced with a lawsuit. The lawsuit is often very complex and should be processed by an attorney specializing in construction law. If you need a referral to a construction law attorney in your area, please contact our office.

The lawsuit to enforce a California public works payment bond must be made within 6 months and 90 days from the project’s completion date.[1] However, if a “Notice of Completion” or “Notice of Cessation” is filed, then you only have 6 months and 30 days from the date the notice was filed.[2] Failure to file suit within the allotted time frame will prevent the claimant form enforcing his/her claim against the payment bond. The limitation for private work payment bonds are similar to the public works deadline, but may be extended if the bond was not recorded.

Due to expensive court costs and long waiting periods, it is best to use the payment bond claim to negotiate for payment and avoid the court system. However, if full repayment is not made within the allotted time frame, the claimant should consider moving forward with the lawsuit to enforce the payment bond. If you wish to file the lawsuit, your attorney will need some time to prepare the initial papers; please don’t wait until the last minute to contact your attorney.

List of Cited Statutes and Case Laws for further research
[1] California Civil Code §§ 8610 and 9558.
[2] Ibid.

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