Legal Question in Construction Law in California
We have 2 jobs with the same vendor on it they have preliemed both jobs. There is an issue with the work they did on one job which is holding back our payment on this job so they have not bee paid for that job. The other job they have been paid in full but they will not give us an uncondtional upon final for the job they have been paid on because they are trying to hold us hostage for not paying them on the other job. Can they do this?
2 Answers from Attorneys
Best solution is to startt collections actions on the one and see if thy cross-complain on the other. Contact me directly.
My apologies for my colleague's clueless answer. Obviously you cannot start a collection action against your own vendor.
To correctly answer your question as to whether they can withhold the unconditional waiver and release upon final payment: it would depend on your contract terms and how you handled the final payment. There is no legal obligation to give an unconditional upon final unless the contract calls for it. If you got the conditional upon final and a cancelled check, you don't really need it anyway, unless your contract with the owner requires it, in which case your contracts with subs and vendors should require it.
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