Voids construction contract provisions requiring retainage exceeding five percent of the contract sum.

This bill amends the general business law to void any provisions in construction contracts that require retainage exceeding five percent of the contract sum. Retainage is the amount of money held back from a contractor's payment until the project is completed and any issues are resolved. The bill specifies that such provisions are void if they exceed the five percent limit.

Voids construction contract provisions requiring retainage exceeding five percent of the contract sum.

This bill amends the general business law to void any provisions in construction contracts that require retainage exceeding five percent of the contract sum. Retainage is the amount of money held back from a contractor's payment until the project is completed and any issues are resolved. The bill specifies that such provisions are void if they exceed the five percent limit.