What does District of Columbia’s prompt payment law require on private construction?
In District of Columbia, an owner pays a contractor undisputed amounts within 7 days after the payment date the contract sets or, if it sets none, within 15 days after a payment request (or after occupancy or possession, if earlier), a contractor pays a subcontractor within 7 days of being paid, and a late payment carries interest of 1.5% a month. The law covers construction contracts with a property owner, or a tenant who contracts with a contractor, but not contracts with a District agency, and applies to contracts entered into on or after October 1, 2013. A contractor that prevails in a civil action to collect the interest is awarded its costs and reasonable attorney’s fees. A pay-when-paid condition cannot waive a subcontractor’s right to claim a mechanics’ lien or sue on a contractor’s bond, and a contractor may not withhold a subcontractor’s payment to offset another contractual obligation. A written contract can set its own payment terms where the statute allows. This is D.C. Code §§ 27A-101, 27A-102, 27A-103, 27A-104, 27A-105.
| What | District of Columbia |
|---|---|
| Payment deadline | Owner 15 days after a pay request; 1.5% a month |
| Who this covers | Private construction, not only public works |
What the statute says
“Pay interest of 1.5% per month or any part of a month to the contractor on any undisputed amount not paid on time to the contractor …”
Quoted word for word from the section’s text.
Source
D.C. Code §§ 27A-101, 27A-102, 27A-103, 27A-104, 27A-105
Read the statute in the Code of the District of Columbia (DC Council): code.dccouncil.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.
Guides on this rule
- Prompt Payment Laws by State for Private Construction — How many days an owner has to pay a contractor on private construction, in each of the 36 jurisdictions with a prompt payment statute.
Compare this rule in every state
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