ARCO Construction Company, Inc. v. Americon Services Company, Inc.

Texas Court of Appeals, 1st District (Houston) | 2008

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Holding Summary

A general contractor violated the Prompt Payment Act by conditioning payment of undisputed funds on the subcontractor's release of disputed claims, and the subcontractor's breach of indemnification duties was excused by substantial performance.

Contractor cannot condition payment of undisputed funds on relinquishment of disputed claims.

Texas Court of Appeals, 1st District (Houston), 2008

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