Tennessee Update on Retainage $$$
Hey Tennessee Contractors!
Do you ever hold back retainage from your subcontractors, or have retainage held from you? The retainage may need to be in an escrow account - and there's a $300-per-day penalty!
The Tennessee Supreme Court ruled yesterday that a GC might have to pay over $109,000 to its subcontractor for not putting $18,000 retainage into escrow. (You read that correctly - not a typo). The penalty can clearly far exceed the amount of retainage at issue.
Retainage questions? Contact Us!