Frequently Asked Questions
Plain answers to the questions contractors ask us most about licensing, liens, retainage, prompt payment, prevailing wage, and Davis-Bacon. Each answer links to the cited guide for your state.
What is a mechanic's lien?
A mechanic's lien is a legal claim against a property that secures payment for labor or materials you supplied to a project. Each state sets its own deadline to file and its own notice rules, so the steps depend on where the job is. Our mechanic's-lien guides state the scope and the filing deadline for your state, with citations to the statute.
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How much retainage can be withheld?
Retainage is the percentage of each payment that an owner or contractor withholds until the job is complete. Each state caps how much can be withheld and sets when it must be released. Our retainage guides give the limit and the release rule for your state, with citations.
How fast must I be paid for my work?
Prompt-payment laws set how quickly an owner or general contractor must pay for work performed. The deadlines vary by state and differ between public and private work. Our prompt-payment guides state the deadlines that apply in your state, with citations.
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What is prevailing wage?
Prevailing wage is the minimum rate set for workers on public projects, some set federally and some by the state. It varies by trade, location, and whether the job is federal or state. Our prevailing-wage guides cover the rates that apply to public work in your state.
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What is the Davis-Bacon Act?
The Davis-Bacon Act is the federal law that requires prevailing wages on federally funded construction projects. How it applies varies by state and project type. Our Davis-Bacon guides explain the federal act and how it applies in each state.
What contractor license do I need?
Licensing requirements vary state by state, including who needs a license, what class, and what each state requires. Our licensing guides cover each state's requirements, with citations to the primary sources.
GC Laws is general legal information, not legal advice. For project-specific questions, find counsel.