SECTIONS 8830-8848 - California Statutes

CIVIL CODE

SECTION 8830-8848

8830. "Stop work notice" means notice given under this article by a
direct contractor to an owner that the contractor will stop work if
the amount owed the contractor is not paid within 10 days after
notice is given.

8832. If a direct contractor is not paid the amount due pursuant to
a written contract within 35 days after the date payment is due
under the contract, and there is no dispute as to the satisfactory
performance of the contractor, the contractor may give the owner a
stop work notice. The notice shall comply with the requirements of
Chapter 2 (commencing with Section 8100) of Title 1.

8834. A direct contractor that gives an owner a stop work notice
shall give the following additional notice:
(a) At least five days before giving the stop work notice, the
contractor shall post notice of intent to give a stop work notice.
The notice shall comply with the requirements of Chapter 2
(commencing with Section 8100) of Title 1. In addition to posting the
notice pursuant to Section 8114, the notice shall also be posted at
the main office of the site, if one exists.
(b) At the same time the contractor gives the stop work notice,
the contractor shall give a copy of the stop work notice to all
subcontractors with whom the contractor has a direct contractual
relationship on the work of improvement.

8836. Within five days after receipt of a stop work notice from a
direct contractor, the owner shall give a copy of the notice to the
construction lender, if any. The copy of the notice shall be given in
compliance with the requirements of Chapter 2 (commencing with
Section 8100) of Title 1.

8838. (a) The direct contractor or the direct contractor's surety,
or a subcontractor or a subcontractor's surety, is not liable for
delay or damage that the owner or a contractor of a subcontractor may
suffer as a result of the direct contractor giving a stop work
notice and subsequently stopping work for nonpayment, if the notice
and posting requirements of this article are satisfied.
(b) A direct contractor's or original subcontractor's liability to
a subcontractor or material supplier after the direct contractor
stops work under this article is limited to the amount the
subcontractor or material supplier could otherwise recover under this
title for work provided up to the date the subcontractor or material
supplier ceases work, subject to the following exceptions:
(1) The direct contractor's or original subcontractor's liability
continues for work provided up to and including the 10-day notice
period and not beyond.
(2) This subdivision does not limit liability for custom work,
including materials that have been fabricated, manufactured, or
ordered to specifications that are unique to the job.

8840. On resolution of the claim in the stop work notice or the
direct contractor's cancellation of the stop work notice, the
contractor shall post, and give subcontractors with whom the
contractor has a direct contractual relationship on the work of
improvement, notice of the resolution or cancellation. The notice
shall comply with the requirements of Chapter 2 (commencing with
Section 8100) of Title 1. In addition to posting the notice pursuant
to Section 8114, the notice shall also be posted at the main office
of the site, if one exists.

8842. A direct contractor's right to stop work under this article
is in addition to other rights the direct contractor may have under
the law.

8844. (a) If payment of the amount claimed is not made within 10
days after a stop work notice is given, the direct contractor, the
direct contractor's surety, or an owner may in an expedited
proceeding in the superior court in the county in which the private
work of improvement is located, seek a judicial determination of
liability for the amount due.
(b) The expedited proceeding shall be set for hearing or trial at
the earliest possible date in order that it shall be quickly heard
and determined, and shall take precedence over all other cases except
older matter of the same character and other matters to which
special precedence has been given.

8846. It is against public policy to waive the provisions of this
article by contract.

8848. (a) This article applies to a contract entered into on or
after January 1, 1999.
(b) This article does not apply to a retention withheld by a
lender pursuant to a construction loan agreement.