Pay when Paid Clause: Part VI

The Court in Bentley Construction Development & Engineering, Inc. v. All Phase Electric & Maintenance, Inc., 562 So.2d 800 followed the previous decisions and stated in the concurring opinion that “established precedent now seems to require this type of contract to contain a statement that payment by the owner is a ‘condition precedent,’ a statement that payment is ‘contingent upon payment to the contractor,’ or some comparable emphatic statement before the clause will be deemed sufficiently clear to permit judicial enforcement.”  Accordingly, subcontractors can defeat a pay when paid clause by arguing that the pay when paid clause does not contain the magic language in order for it to be enforceable in Florida.


Trenton H. Cotney
Board Certified in Construction Law
Trent Cotney, P.A.
1207 N Franklin St, Ste 222
Tampa, FL 33602
(813) 579-3278

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