Ohio prompt payment

Who and what this applies to

Contractor and downstream payments under §4113.61, including public owners; excludes construction or improvement of detached one-, two- or three-family dwellings.

Thresholds and scope

A timely pay request allowing inclusion in the upstream request is required.

The rules

• Covered contractors and downstream payors pay the applicable subcontractor or supplier share within 10 calendar days after receiving corresponding payment. Contractual retainage and amounts necessary to resolve disputed liens or claims may be withheld. Source
• Noncompliance carries 18% annual interest beginning on day 11 after receipt. Final retainage is passed down within 10 days or the shorter contract period once satisfactory performance and owner approval conditions are met. Source

Deadlines

Downstream payment: 10 calendar days after corresponding receipt.

Primary sources

• section-4113.61

Sources reviewed 2026-09-30. This guide covers the projects and rules stated above.

Back to Ohio contractor law · Prompt Payment topic guide.