Tennessee § 66-34-302 - Application for payment for work — Payment according to schedule for payments — Interest.

§ 66-34-302. Application for payment for work — Payment according to schedule for payments — Interest.

If a remote contractor has performed in accordance with the remote contractor's written contract with the prime contractor, then the prime contractor shall pay to the remote contractor the full amount earned by the remote contractor, subject only to any condition precedent for payment clause in the contract, and less only those amounts withheld in accordance with § 66-34-303. The payment must be made in accordance with the schedule for payments established within the contract and within thirty (30) days after application for payment is timely submitted by the remote contractor to the prime contractor, in accordance with the schedule. The prime contractor shall also pay the remote contractor its pro rata share of any interest provided for in § 66-34-601 that has been received by the prime contractor. Acts 1991, ch. 45, § 1; 2006, ch. 944, § 2; 2020, ch. 749, § 24. Compiler's Notes. Acts 2006, ch. 944, § 2 provided that the act, which rewrote this section, shall apply to all contracts executed after June 20, 2006. Acts 2020, ch. 749, § 42 provided that the act, which amended this section, applies to actions occurring and contracts entered into, amended, or renewed on or after July 1, 2020. Amendments. The 2020 amendment, in (a), substituted “remote contractor” for “subcontractor, materialman or furnisher” five times, and inserted “prime” three times; and in (b), substituted “The prime contractor shall also pay the remote contractor” for “The subcontractor, materialman, or furnisher shall also be paid” and substituted “prime contractor” for “contractor” at the end. Effective Dates. Acts 2020, ch. 749, § 42. July 1, 2020.