North Carolina Prompt Pay Act

What you'll get

Levelset, which sells payment-demand and lien services, explains North Carolina's prompt pay law for construction: on private jobs, a contractor who has been paid must pay a subcontractor within 7 days of receipt, and a clause making a subcontractor's pay depend on the owner paying the contractor is unenforceable. The article was last updated in January 2020 and says the law covers only commercial work, while G.S. 22C-6 excludes residential contractors and residential improvements of 12 or fewer units, so read the statute to see whether your jobs are covered.