GC Laws — Vermont contractor-law checklist preview (free)
Sources reviewed 2026-09-30. Public summaries remain free on gclaws.com.

[ ] Licensing
      - 26 V.S.A. §5501 requires registration before contracting with a homeowner for covered work above $10,000. Residential construction includes work on a dwelling or premises with four or fewer dwelling units.
      - Section 5502 exempts specified employees, licensed professionals/trades working within their credentials, landscaping, detached structures and other listed work; emergency work has a prompt subsequent-registration condition.

[ ] Mechanic's liens
      - A claimant without a direct owner contract gives the owner written notice claiming a lien, including the payment due date if known. The lien reaches the unpaid portion of the contract price when notice arrives.
      - Record the signed lien memorandum in the town clerk's office where the property lies within 180 days from when payment became due for the last labor/materials. Advance lien waivers are unenforceable.
      - Commence the enforcement action and cause the property to be attached within 180 days after filing if payment was then due; otherwise within 180 days after payment becomes due.

[ ] Retainage
      - Retainage due to the contractor on final completion must be paid within 30 days after final acceptance. If the owner withholds no retainage, downstream retainage can be agreed but must likewise be paid within 30 days after final acceptance.
      - A contractor or subcontractor receiving retainage must pass the amount due to its subcontractors within seven days, notwithstanding contrary agreement.
      - Contractors/subcontractors may not retain payment for delivered, accepted materials covered by manufacturer warranty or industry grading, unless the material supplier also contracted to perform work using those materials.
      - The chapter's owner definition includes Vermont and its instrumentalities/subdivisions, including municipalities and school districts.

[ ] Prompt payment
      - Owners pay according to the construction contract. Unless otherwise agreed, interim/final invoices are due 20 days after the billing period ends or invoice delivery, whichever is later.
      - Contractors/subcontractors must pass along the full or proportional payment for compliant work seven days after receipt of payment or the subcontractor's invoice, whichever is later. Before entering a subcontract, disclose the owner's payment due date; failure triggers the statutory default treatment.
      - An invoice recipient must identify documentation errors in writing within ten working days or waive them.
      - Good-faith disputed sums may be withheld. Wrongful withholding found in arbitration/litigation carries a 1% monthly penalty, plus substantially prevailing-party attorney fees and expenses.
      - The chapter includes state/local owners and construction/design services.
      - The chapter excludes material purchases by a natural person performing work on their own real property.

[ ] Prevailing wage
      - Each covered contract must require construction employees to receive at least the Vermont Department of Labor’s published mean prevailing wage plus an additional fringe benefit equal to 42.5% of wage, as calculated by the current Vermont prevailing-wage survey.
      - The statutory fringe-benefit definition includes paid leave, employer health-insurance contributions or reimbursements, retirement benefits and similar incidents of employment. The agency/project exclusions in subsection (d) remain part of the coverage rule.

[ ] Davis-Bacon (federal)
      - Under 40 U.S.C. section 3142, covered contracts require payment to laborers and mechanics employed directly on the site of the work at least weekly, at rates no lower than the applicable prevailing wage determination. The required compensation includes the basic hourly rate and required fringe benefits, which may be provided through qualifying benefits or cash as the statute permits.
      - Qualifying apprentices may receive a lower registered-program rate only when the applicable registration and program conditions are met. The Department of Labor’s apprenticeship rules govern those exceptions.
      - The Department of Labor determines the prevailing rates for the work classifications and locality. Contractors and subcontractors must use the wage determination applicable to their covered contract.
      - Federal assistance alone does not establish coverage: many, but not all, construction-assistance statutes include Davis-Bacon requirements. Identify the funding program and its governing Related Act.
      - SAM.gov publishes Davis-Bacon wage determinations. Search by the wage-determination number or the Davis-Bacon public-buildings-or-works category, and match the decision to the contract, locality, and work classification.

This preview lists the topics and rules covered in the full state pack. The paid pack adds the complete source URLs, citations, review dates, and the three editable tools.
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