New York | Construction Law
Legal Question
I'm a subcontractor working for GC at Brooklyn Hospital.I finished my contract successfully over 20 months, however my GC still owe me $21.500.00.He keep saying that NY CITY health & hospitals didn't pay him yet the 10% retainage (i did verified that) and he doesn't even know when he will get paid.I know that i cant put lien at this point because is to late for that.I want to know what my next step should be so i can collect my money.Should i go after NY City Health & Hospitals or after the GC and whats the most logical step.Please advice.
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Legal Answer
You can't sue NYCHH unless you have a contract with them. You must sue the General Contractor. "Pay when paid" clauses are generally void against public policy so the GC can't use Brooklyn Hospital's non-payment as an excuse not to pay you.
Fortunately for you, you are owed under $25,000.00 and can bring an action in New York City Civil court, which is far less expensive and generally quicker than Supreme Court.
Your next step is to contact a construction litigation attorney because it appears the GC isn't going to pay without a lawsuit or the threat of one.
Hope this is helpful.
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Marshall R. Isaacs, Attorney At Law 20 Vesey Street, Suite 503 New York, NY 10007
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Legal Answer
I agree with Mr. Isaacs. Pay when paid contracts are illegal under New York law. You should be commencing an action against the general contractor in NY City Civil Court.
Once you have a judgment, you may be able to obtain money from NYCHH from a turnover order. Essentially, NYCHH owes money to GC. GC owes you money. From judgment you may be able to have NYCHH deliver the GC's money to you.
Mike.
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Michael A. Markowitz, PC 1553 Broadway Hewlett, NY 11557
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