A Georgia Subcontractor Agreement provides an overview of what tasks a subcontractor must complete for a general contractor and how long he or she has to do so. It also details how much the subcontractor gets paid for the job and how the contractor will make that payment.
It’s not uncommon for a general contractor to accept work on a project without having access to all the skills or resources required to complete the job. Sometimes, the prime contractor needs people with particular skills he or she doesn’t have, such as electrical or plumbing capabilities. Other times, the contractor needs more people to complete the job.
In those situations, he or she may enter into a relationship with a subcontractor, and a subcontractor agreement will help establish that. Once the subcontractor agreement is signed, it becomes legally binding for all parties involved.
How long does a contractor have to pay a subcontractor in Georgia?
Per Georgia Code § 13-11-4(b), when the subcontractor has performed under the subcontract, the contractor must pay the subcontractor within ten days of receipt of payment from the owner.