Maryland SB671 regulates payment timelines and interest accrual for procurement and construction contracts.

Maryland SB671 establishes policies for timely payments in procurement and construction contracts. It mandates that payments to contractors and subcontractors must be made within a specified number of days after the due date or receipt of a proper invoice, whichever is later. The bill also requires notification if any part of an invoice is withheld, with the reason for withholding clearly stated. If payments are not made on time, interest accrues at a rate of 2% per month on the unpaid amount.

Maryland SB671 regulates payment timelines and interest accrual for procurement and construction contracts.

Maryland SB671 establishes policies for timely payments in procurement and construction contracts. It mandates that payments to contractors and subcontractors must be made within a specified number of days after the due date or receipt of a proper invoice, whichever is later. The bill also requires notification if any part of an invoice is withheld, with the reason for withholding clearly stated. If payments are not made on time, interest accrues at a rate of 2% per month on the unpaid amount.