retainage


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Retainage

The amount that a construction company is owed but is not paid until a project is completed and passes muster with the client. Retainage is a form of quality control.

retainage

Money withheld and not paid until completion of a project and inspection of the goods or services provided.Typically,10 percent of a construction contract price will be withheld until final inspection.

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The Company has entered into certain sales contracts with retainage terms (the "Retainage Contracts") since the second half of 2012, under which customers were allowed to withhold payment of 5% to 10% of the full contract price as retainage for the specified period which generally ranges from one year to two years (the "Retainage Period").
Due To The Involvement Of Funding From Hud, Final Payments And/or Payment Of Retainage Are Subject To Final Inspection And Approval By State And Local Authorities And/or Hud Which May Take Up To (90) Days From Project Inspection By Hud.
He will discuss retainage laws in North Carolina for both public and private jobs, as well as other contract issues commonly faced by ASAC members in their businesses.
If financial weaknesses are a factor, consider using two party checks for suppliers or holding back additional retainage.
A retainage in a contract may cause uncertainty as to the timing of including payments in income for a contractor that receives some payments in one year and the retainage in a later year.
Government related to annual retainage and fees earned, dividends received from joint ventures, and strong working capital performance in the period, partially offset by the use of $96.
A government that employs retainage holds back a specified amount, typically around 10 percent of the total dollar value of the deliverable, until it is satisfied that the project has been completed appropriately.
According to Weaver-Bailey's attorney, Charles "Skip" Davidson of Little Rock, the contractor hadn't yet been paid its accumulated retainage fee: a portion, usually around 10 percent, of the contract that's withheld by the owner until the completion of the project.
The release should have been modified to exclude retainage and the claims for work outside of the regular contract billing (e.
Keep a close eye on retainage (final payment held by the owner).
216-8, 9, and 10 is amended to promote the withholding of retainage on contracts under the premise that this encourages contractors to expedite the contract close process.