Monitor payment aging, track retainage, and calculate California legal remedies in real-time
Enter the basic details about your construction project.
Information about the subcontractor and terms of the subcontract.
Add payment entries and track aging. All amounts in USD.
| Invoice Date | Amount Billed | Amount Paid | Date Paid | Retainage Withheld | Notes | Action |
|---|
Comprehensive analysis, legal remedies, and recommended next steps.
Establish a lien on the property to secure payment of labor and materials supplied. This is the most powerful tool for construction payment disputes.
Recovery rate: 85-100% (15% loss to legal costs). Lien is valid for 8 years after filing.
Prevent the construction lender from releasing funds to the project owner until your claim is resolved.
Most effective: Used 30-40% more frequently than liens when funds are borrowed.
For public works: Contractors must pass through progress payments within 7 days or pay interest penalties of 2% per month.
Applies to: Public works projects only. Automatic penalties if payment is not made promptly.
Direct lien on property secures payment. Court foreclosure if necessary. 8-year statute of limitations.
Lender pressure usually forces resolution. Prevents fund release. Most cost-effective approach.
Surety-backed claim. Direct payment obligation. Fastest recovery method for public works.
Attorney fees and court costs reduce net recovery. Takes 6-18+ months. Use as last resort.
California subcontractors have several payment protection mechanisms including mechanics liens (Civil Code §8400-8494), stop payment notices (§8500-8542), and prompt payment act requirements for public works projects. Mechanics liens allow for 8 years of enforcement, and stop payment notices can prevent fund release from project accounts.
For residential projects (4 or fewer units), the deadline is 30 days from last furnishing of labor/materials. For other projects, the deadline is 90 days from last furnishing. These deadlines are governed by California Civil Code §8400-8410 and are strictly enforced. Missing this deadline means losing your lien rights permanently.
Yes, under California Civil Code §8500-8542, subcontractors can file a stop payment notice to prevent a construction lender from releasing funds to the project owner until the subcontractor's payment claim is resolved. This notice must be filed before or within 15 days of last furnishing work.
California's Prompt Payment Act (Civil Code §8812-8814) requires contractors and subs to pass through progress payments within 7 days of receipt, or pay interest penalties of 2% per month on unpaid amounts owed for public works projects. This applies primarily to public works construction and provides built-in protection.
Use this payment tracker to log all invoices and payments, then monitor aging buckets (current, 30/60/90/120+ days past due). Payment aging over 30 days should trigger follow-up action, and over 90 days may justify filing enforcement actions. Color-coded dashboards help visualize problem payments instantly.
Recovery rates vary: mechanics lien enforcement typically recovers 85-100% of the debt (15% loss in legal costs), payment bond claims on public works recover 95%+ (5% legal costs), and litigation recovery is 60-67% after attorney fees. Early action via notice improves collection rates significantly.
Preliminary notice must include: project address, owner name, GC name, description of work/materials supplied, your business name/address, and expected payment amount. It should be served before or within 20 days of first furnishing work. Send via certified mail or personal service to be sure it's received.
California mechanics liens are valid for up to 8 years from the date of filing (Civil Code §8480). However, the initial lien filing deadline (90 days from last work for most projects, 30 days for residential) is strictly enforced. Once filed, you have a reasonable time to foreclose and enforce the lien in court.
Key statutes protecting subcontractor payment rights in California construction: