Florida § 713.346 - Payment on construction contracts.

§ 713.346. Payment on construction contracts.

(1) Any person who receives a payment for constructing or altering permanent improvements to real property shall pay, in accordance with the contract terms, the undisputed contract obligations for labor, services, or materials provided on account of such improvements. A person, firm, or corporation who knowingly and intentionally fails to make the payment required under this subsection commits a misapplication of construction funds, punishable as provided in s. 713.345. (2) The failure to pay any undisputed obligations for such labor, services, or materials within 30 days after the date the labor, services, or materials were furnished and payment for such labor, services, or materials became due, or within 30 days after the date payment for such labor, services, or materials is received, whichever last occurs, shall entitle any person providing such labor, services, or materials to the procedures specified in subsection (3) and the remedies provided in subsection (4). (3) Any person providing labor, services, or materials for improvements to real property may file a verified complaint alleging: (a) The existence of a contract, as defined in s. 713.01, to improve real property. (b) A description of the labor, services, or materials provided and alleging that the labor, services, or materials were provided in accordance with the contract. (c) The amount of the contract price. (d) The amount, if any, paid pursuant to the contract. (e) The amount that remains unpaid pursuant to the contract, and the amount thereof that is undisputed. (f) That the undisputed amount has remained due and payable pursuant to the contract for more than 30 days after the date the labor or services were accepted or the materials were received. (g) That the person against whom the complaint was filed has received payment on account of the labor, services, or materials described in the complaint more than 30 days prior to the date the complaint was filed. (4) After service of the complaint, the court shall conduct an evidentiary hearing on the complaint, upon not less than 15 days’ written notice. The person providing labor, services, or materials is entitled to the following remedies to the extent of the undisputed amount due for labor or services performed or materials supplied, and upon proof of each allegation in the complaint: (a) An accounting of the use of any such payment from the person who received such payment. (b) A temporary injunction against the person who received the payment, subject to the bond requirements specified in the Florida Rules of Civil Procedure. (c) Prejudgment attachment against the person who received the payment, in accordance with each of the requirements of chapter 76. (d) Such other legal or equitable remedies as may be appropriate in accordance with the requirements of the law. (5) The remedies specified in subsection (4) must be granted without regard to any other remedy at law and without regard to whether or not irreparable damage has occurred or will occur. (6) The remedies specified in subsection (4) do not apply: (a) To the extent of a bona fide dispute regarding any portion of the contract price. (b) In the event the plaintiff has committed a material breach of the contract which would relieve the defendant from the obligations under the contract. (7) The prevailing party in any proceeding under this section is entitled to recover costs, including a reasonable attorney’s fee, at trial and on appeal.