United Riggers & Erectors, Inc. v. Coast Iron & Steel Co.

CUÉLLAR, J.

*1085 This case is about construction-both physical and statutory. Spurred by late payment problems in the construction industry, the Legislature established statutory payment deadlines and imposed penalties on owners who delay paying their direct contractors, and on direct contractors who delay paying their subcontractors. But these strict deadlines include an exception relevant to this case: Direct contractors can withhold monies from subcontractors in circumstances where a dispute *430 has arisen between the parties. ( Civ. Code, § 8814, subd. (c).) What we must decide is whether this…