Capitol Steel Fabricators, Inc. v. Mega Constr. Co.

58 Cal. App. 4th 1049 | California Court of Appeal | 1997

reversedCited 8 timesSTANDARDTexas
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Holding Summary

Pay-when-paid clauses in construction subcontracts are unenforceable under California law because they impermissibly waive subcontractors' statutory lien and payment bond rights, regardless of whether the project is public or private work.

Pay when paid provisions are unenforceable because they effect an impermissible indirect waiver of lien rights.

California Court of Appeal, 1997

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