Md. Code Regs. 21.07.01.31 - Prompt Payment of Subcontractors

Mandatory provisions for all contracts:

A. This contract and all subcontracts issued under this contract at any tier are subject to the provisions of State Finance and Procurement Article, § 15-226, Annotated Code of Maryland, and COMAR 21.10.08. In §§A-D of this regulation, the terms "undisputed amount", "prime contractor", "contractor", "subcontractor," "supplier", and "supplier" have the meanings stated in COMAR 21.10.08.01.
B. A contractor shall promptly pay its subcontractors or suppliers an undisputed amount to which a subcontractor or supplier is entitled for work performed under this contract within 10 days after the contractor receives a progress payment or final payment for work under this contract.
C. If a contractor fails to make payment within the period prescribed in §B of this regulation, a subcontractor or supplier may request a remedy in accordance with COMAR 21.10.08.
D. A contractor shall include in its subcontracts at any tier for work under this contract wording that incorporates the provisions, duties, and obligations of §§A-D of this regulation, State Finance and Procurement Article, § 15-226, Annotated Code of Maryland, and COMAR 21.10.08.

Notes

Md. Code Regs. 21.07.01.31
Regulation .31 adopted effective 50:18 Md. R. 800, eff. 9/18/2023; amended effective 52:4 Md. R. 221, eff. 3/3/2025.

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