Legal Question in Construction Law in Pennsylvania

Re: Retainage Laws for suppliers

It sounds like it is time for your company to retain an attorney to assist you with development of contract formats and contract negotiations that you may have in the future.

(Please contact me if you wish to discuss retaining my services, see below.)

The parties to a commercial contract are generally free to voluntarily negotiate, at arm's length, legally enforceable contracts which contain any terms acceptable to both parties.

The distinction you make between "supplier" and "subcontractor" is a false one, as you may certainly fill both roles simultaneously.

In any case, by "retainage" I assume what you mean is that you are not receiving 100% payment up front, as a deposit; or alternatively, that the companies you vend to will not pay upon satisfactory delivery, but rather await to be paid by the ultimate client before paying you what is owed.

Any such terms are purely a matter for negotiation between your company and other companies. If you can successfully negotiate 100% payment in advance, you are permitted to do so. (Obviously if you don't perform, you may have legal liability under the contract.) On the other hand, no-one is obligated to do business with you on any particular terms.