What does Connecticut’s prompt payment law require on private construction?

In Connecticut, on a private construction contract over $25,000 (not a residential building of four or fewer units), an owner pays a contractor within 30 days after a written payment request, a contractor pays a subcontractor within 25 days after being paid, and interest of 1% a month runs from ten days after a notice of nonpayment sent by registered or certified mail. Each construction contract must contain these payment terms. On written demand after the notice, the late payer must place the claimed amount plus interest in an interest-bearing escrow account in a Connecticut bank unless it says the work was not substantially performed or the funds are not due; one that unreasonably refuses is also liable for reasonable attorneys’ fees, and one that withholds in bad faith is liable for ten percent damages. The law does not cover public contracts, contracts or projects funded or insured by the United States Department of Housing and Urban Development, contracts of $25,000 or less, or buildings intended for residential occupancy containing four or fewer units. A written contract can set its own payment terms where the statute allows. This is Conn. Gen. Stat. §§ 42-158i, 42-158j.

WhatConnecticut
Payment deadlineOwner 30 days after request; sub 25 days; 1% a month
Who this coversPrivate construction, not only public works

What the statute says

“… the contractor pay any amounts due any subcontractor or supplier, whether for labor performed or materials furnished, not later than twenty-five days after the date the contractor receives payment from the owner …”

Quoted word for word from the section’s text.

Source

Conn. Gen. Stat. §§ 42-158i, 42-158j

Read the statute in the Connecticut General Statutes (Connecticut General Assembly): cga.ct.gov.

Checked against the statute on November 15, 2026.

This is a summary of a published statute, not legal advice. Rules change, local ordinances can add to them, and the terms of a specific lease may differ. Check the citation and speak to a lawyer before acting.

How Seayora uses this rule

A contractor on Seayora keeps every job’s dates, its estimate, its invoices and its payments in one record, so the date work was last performed, the date each invoice went out and the amount still owed are on file when a lien or payment deadline is counted.

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