Legal Question in Construction Law in California

If you're the owner, you need to pay any retention to the prime contractor within 45 days of completion (same rule is true for retention due from a general contractor to a subcontractor) or you could be subject to a 2% per month penalty on the sums due, unless a bona fide dispute exists.

Progress payments are due within 30 days of the demand or subject to the same penalties, from an owner to a prime contractor and a subcontractor must be paid by the prime within 10 days of receiving any progress payment from the owner.