Vote Smart's Synopsis:

Vote to pass a bill that establishes general contractor liability for unpaid wages.

Highlights:

• Specifies a general contractor on a project for construction services is jointly and severally liable for a violation of this subtitle that is committed by a subcontractor regardless of whether the subcontractor is in a direct contractual relationship with the general contractor (Sec. 1).

• Requires a subcontractor to indemnify a general contractor for any wages, damages, interest, penalties, or attorney’s fees owed as a result of the subcontractor’s violation, unless the following happens (Sec. 1):

• Indemnification is provided for in a contract between the general contractor and the subcontractor; or

• A violation of the subtitle arose due to a lack of prompt payment in accordance with the terms of the contract between the general contractor and the subcontractor.

Full Bill Text