1. to 33, inclusive, of this act, unless the context otherwise requires, the

1. words and terms defined in sections 3 to 12, inclusive, of this act have the

1. meanings ascribed to them in those sections.

contractor and a public body for the provision of labor, materials,

equipment or supplies for a public work.

1. Is licensed pursuant to the provisions of chapter 624 of NRS or

performs such work that he is not required to be licensed pursuant to

chapter 624 of NRS; and

1. 2. Contracts with a public body to provide labor, materials or services

1. for a public work.

1. work performed or services provided by a contractor, subcontractor or

1. supplier for a public work.

1. supplies, work performed or services provided by a contractor,

1. subcontractor or supplier for a public work.

from a progress payment pursuant to the provisions of NRS 338.160,

338.170 or section 24 of this act.

withheld from a progress payment pursuant to the provisions of NRS

338.160, 338.170 or section 24 of this act.

authorized to be withheld from a progress payment pursuant to the

provisions of NRS 338.160, 338.170 or section 24 of this act.

between:

1. A contractor and a subcontractor or supplier; or

2. A subcontractor and another subcontractor or supplier,

for the provision of labor, materials, equipment or supplies for a public

work.

1. Is licensed pursuant to the provisions of chapter 624 of NRS or

performs such work that he is not required to be licensed pursuant to

chapter 624 of NRS; and

1. 2. Contracts with a contractor, another subcontractor or a supplier to

1. provide labor, materials or services for a public work.

1. equipment or supplies for a public work.

body monthly or more frequently if the provisions of the contract so

provide.

1. sections 2 to 33, inclusive, of this act do not apply to a contract entered

1. into by the department of transportation pursuant to chapter 408 of NRS.

1. from the date the retainage is withheld until the date the retainage is paid

1. to the person from whom the retainage was withheld.

1. section 15 of this act, if:

1. 1. A public body or a person acting with the authority of the public

1. body occupies or begins use of a public work or a portion of a public

1. work;

1. 2. A notice of completion for a public work or a portion of a public

1. work is recorded as provided in NRS 108.228; or

1. 3. A public body partially occupies one or more buildings of a public

1. work,

1. the public body shall pay or cause to be paid to the contractor any

1. outstanding payment due, including, without limitation, retainage, and

1. any interest accrued thereon within 30 days after whichever event

1. described in subsection 1, 2 or 3 occurs first. The amount paid must be in

1. the proportion that the value of the portion of the public work which is

1. used or occupied bears to the total value of the public work.

1. from a progress payment or retainage payment an amount sufficient to

1. pay the expenses the public body reasonably expects to incur as a result

1. of the failure of the contractor to comply with the contract or applicable

1. building code, law or regulation.

1. 2. A public body shall, within 20 days after it receives a progress bill

1. or retainage bill from a contractor, give a written notice to the contractor

1. of any amount that will be withheld pursuant to this section. The written

1. notice must set forth:

1. (a) The amount of the progress payment or retainage payment that

1. will be withheld from the contractor; and
2. (b) A detailed explanation of the reason the public body will withhold

1. that amount, including, without limitation, a specific reference to the

1. provision or section of the contract, or any documents related thereto, or

1. the applicable building code, law or regulation with which the contractor

1. has failed to comply.

1. The written notice must be signed by an authorized agent of the public

1. body.

1. 3. If the public body receives a written notice of the correction of the

1. condition that is the reason for the withholding, signed by an authorized

1. agent of the contractor, the public body shall pay the amount withheld by

1. the public body within 30 days after the public body receives the next

1. progress bill or retainage bill.

1. (a) A progress bill or retainage bill, fails to give a contractor a written

1. notice of any withholding in the manner set forth in subsection 2 of

1. section 15 of this act and does not pay the contractor within 30 days after

1. receiving the progress bill or retainage bill; or

1. (b) A contractor’s written notice of the correction of a condition set

1. forth pursuant to subsection 2 of section 15 of this act as the reason for

1. the withholding, signed by an authorized agent of the contractor, and

1. fails to:

1. (1) Pay the amount of the progress payment or retainage payment

1. that was withheld from the contractor within 30 days after the public

1. body receives the next progress bill or retainage bill; or

1. (2) Object to the scope and manner of the correction, within 30 days

1. after the public body receives the notice of correction, in a written

1. statement that sets forth the reason for the objection and is signed by an

1. authorized agent of the public body,

1. the public body shall pay to the contractor, in addition to the entire

1. amount of the progress bill or retainage bill or any unpaid portion

1. thereof, interest from the 30th day on the amount delayed, at a rate equal

1. to the amount provided for in subsection 3 of NRS 338.160, until

1. payment is made to the contractor.

1. 2. If the public body objects pursuant to subparagraph (2) of

1. paragraph (b) of subsection 1, it shall pay to the contractor an amount

1. equal to the value of the corrections to which the public body does not

1. object.

request from a subcontractor or supplier of the contractor with respect to

a contract which has not been fully performed, the public body shall

notify the subcontractor or supplier in writing of the following:

1. The date the public body made a specified progress payment or

retainage payment to a contractor;

2. Whether the public body has paid the entire amount of a specified

progress payment or retainage payment to the contractor; and

3. The amount withheld by the public body from a specified progress

payment or retainage payment to the contractor, if any.

retainage payment an amount sufficient to pay the expenses the

contractor reasonably expects to incur as a result of the failure of his

subcontractor or supplier to comply with the subcontract or applicable

building code, law or regulation.

1. 2. A contractor shall, within 10 days after he receives:

1. (a) A progress payment or retainage payment from the public body for

1. an amount that is less than the amount set forth in the applicable

1. progress bill or retainage bill; or

1. (b) A progress bill or retainage bill from his subcontractor or
   supplier,

1. give a written notice to his subcontractor or supplier of any amount that

1. will be withheld pursuant to this section.

1. 3. The written notice must:

1. (a) Set forth:

1. (1) The amount of the progress payment or retainage payment that

1. will be withheld from his subcontractor or supplier; and

1. (2) A detailed explanation of the reason the contractor will withhold

1. that amount, including, without limitation, a specific reference to the

1. provision or section of the subcontract, or documents related thereto, or

1. applicable building code, law or regulation with which his subcontractor

1. or supplier has failed to comply; and

1. (b) Be signed by an authorized agent of the contractor.

1. 4. The contractor shall pay to his subcontractor or supplier the

1. amount withheld by the public body or the contractor within 10 days

1. after:

1. (a) The contractor receives a written notice of the correction of the

1. condition that is the reason for the withholding, signed by an authorized

1. agent of the subcontractor or supplier; or

1. (b) The public body pays to the contractor the amount withheld,

1. whichever occurs later.

1. supplier more than 10 days after the occurrence of any of the following

1. acts or omissions:

1. (a) The contractor fails to pay his subcontractor or supplier in

1. accordance with the provisions of subsection 1 of NRS 338.165;

1. (b) The contractor fails to give his subcontractor or supplier the

1. written notice of any withholding as required by subsections 2 and 3 of

1. section 20 of this act; or

(c) The contractor receives a subcontractor’s or supplier’s written

notice of correction of the condition set forth pursuant to subsection 4 of

section 20 of this act as the reason for the withholding, signed by an

authorized agent of the subcontractor or supplier, and fails to:

(1) Pay the amount of the progress payment or retainage payment

that was withheld from his subcontractor or supplier within 10 days after

the contractor receives the next progress bill or retainage bill; or

1. (2) Object to the scope and manner of the correction, within 10 days

1. after receiving the written notice of correction, in a written statement that

1. sets forth the reason for the objection and is signed by an authorized

1. agent of the subcontractor, statement that sets forth the reason for the

1. objection and is accompanied by a notarized affidavit signed by the

1. contractor,

1. the contractor shall pay to the subcontractor or supplier, in addition to

1. the entire amount of the progress bill or the retainage bill or any unpaid

1. portion thereof, interest from the 10th day on the amount delayed, at a

1. rate equal to the lowest daily prime rate at the three largest banks or

1. other financial institutions of the United States on the date the contract

1. was executed plus 2 percent, until payment is made to the subcontractor

1. or supplier.

1. 2. If the contractor objects pursuant to subparagraph (2) of

1. paragraph (c) of subsection 1, the contractor shall pay to the

1. subcontractor or supplier an amount that is equal to the value of the

1. corrections to which the contractor does not object.

request from a subcontractor or supplier of his subcontractor or supplier

with respect to a subcontract which has not been fully performed, he

shall notify the subcontractor or supplier of his subcontractor or supplier

in writing of the following:

1. The date the contractor made a specified progress payment or

retainage payment to his subcontractor or supplier;

2. Whether the contractor has paid the entire amount of a specified

progress payment or retainage payment to his subcontractor or supplier;

and

3. The amount withheld by the contractor from a specified progress

payment or retainage payment to his subcontractor or supplier, if any.

this act:

1. 1. Each subcontractor shall disburse money paid to him pursuant to

1. this chapter, including any interest which he receives, to his

1. subcontractors and suppliers within 10 days after he receives the money,

1. in direct proportion to the subcontractors’ and suppliers’ basis in the

1. progress bill or retainage bill and any accrued interest thereon.

1. 2. A subcontractor shall make payments to his subcontractor or

1. supplier in an amount equal to that subcontractor’s or supplier’s basis in

1. the payments paid by the contractor to him for the supplies, materials

1. and equipment identified in the contract between the contractor and the

1. public body, or in the subcontract between the subcontractor or supplier

1. and the contractor, within 10 days after the subcontractor has received a
2. progress payment or retainage payment from the contractor for those

1. supplies, materials and equipment.

1. supplier enter into a subcontract for a public work, the subcontractor

1. may withhold as retainage not more than 10 percent from the amount of

1. any progress payment due under a subcontract which is made before 50

1. percent of the work has been completed under the subcontract. The

1. subcontractor shall pay any additional progress payments due under the

1. subcontract without withholding any additional retainage if, in the

1. opinion of the subcontractor, satisfactory progress is being made in the

1. work under the subcontract. The payment must be equal to that paid by

1. the contractor to him for the work performed or supplies provided by his

1. subcontractor or supplier.

1. 2. If the subcontractor receives a payment of interest earned on the

1. retainage or an amount withheld from a progress payment, he shall,

1. within 10 days after receiving the money, pay to each of his

1. subcontractors or suppliers that portion of the interest received from the

1. contractor which is attributable to the retainage or amount withheld from

1. a progress payment by him to his subcontractor or supplier.

or retainage payment an amount sufficient to pay the expenses the

subcontractor reasonably expects to incur as a result of the failure of his

subcontractor or supplier to comply with the subcontract or applicable

building code, law or regulation.

1. 2. A subcontractor shall, within 10 days after he receives:

1. (a) A progress payment or retainage payment from a contractor for an

1. amount that is less than the amount set forth in the applicable progress

1. bill or retainage bill; or

1. (b) A progress bill or retainage bill from his subcontractor
   or supplier,

1. give a written notice to his subcontractor or supplier of any amount that

1. will be withheld pursuant to this section.

1. 3. The written notice must:

1. (a) Set forth:

1. (1) The amount of the progress payment or retainage payment that

1. will be withheld from his subcontractor or supplier; and

1. (2) A detailed explanation of the reason the subcontractor will

1. withhold that amount, including, without limitation, a specific reference

1. to the provision or section of the subcontract, or documents related

1. thereto, or applicable building code, law or regulation with which the

1. subcontractor or supplier has failed to comply; and

1. (b) Be signed by an authorized agent of the subcontractor

1. .
2. 4. The subcontractor shall pay to his subcontractor or supplier the

1. amount withheld by the public body, contractor or subcontractor within

1. 10 days after:

1. (a) The subcontractor receives a written notice of the correction of the

1. condition that is the reason for the withholding, signed by an authorized

1. agent of his subcontractor or supplier; or

1. (b) The contractor pays to him the amount withheld,

1. whichever occurs later.

or supplier more than 10 days after the occurrence of any of the

following acts or omissions:

1. (a) The subcontractor fails to pay his subcontractor or supplier in

1. accordance with the provisions of subsection 1 of section 23 of this act;

1. (b) The subcontractor fails to give his subcontractor or supplier the

1. written notice of any withholding as required by subsections 2 and 3 of

1. section 25 of this act; or

(c) The subcontractor receives a written notice of the correction of a

condition set forth pursuant to subsection 4 of section 25 of this act as

the reason for the withholding from his subcontractor or supplier, signed

by an authorized agent of his subcontractor or supplier, and fails to:

that was withheld from his subcontractor or supplier within 10 days after

the subcontractor receives the subcontractor’s or supplier’s next progress

bill or retainage bill; or

1. after receiving the written notice of correction, in a written statement that

1. sets forth the reason for the objection, signed by an authorized agent of

1. the subcontractor,

1. the subcontractor shall pay to his subcontractor or supplier, in addition

1. to the entire amount of the progress bill or the retainage bill or any

1. unpaid portion thereof, interest from the 10th day on the amount

1. delayed, at a rate equal to the lowest daily prime rate at the three largest

1. banks or other financial institutions of the United States on the date the

1. contract was executed plus 2 percent, until payment is made to his

1. subcontractor or supplier.

1. 2. If the subcontractor objects pursuant to subparagraph (2) of

1. paragraph (c) of subsection 1, the subcontractor shall pay to his

1. subcontractor or supplier an amount that is equal to the value of the

1. corrections to which he does not object.

written request from a subcontractor or supplier of his subcontractor or

supplier with respect to a subcontract which has not been fully

performed, he shall notify the subcontractor or supplier of his

subcontractor or supplier in writing of the following:

1. The date the subcontractor made a specified progress payment or

retainage payment to his subcontractor or supplier;

2. Whether the subcontractor has paid the entire amount of a

specified progress payment or retainage payment to his subcontractor or

supplier; and

3. The amount withheld by the subcontractor from a specified

progress payment or retainage payment to his subcontractor or supplier,

if any.

contractor, subcontractor or supplier to receive a progress payment or

retainage payment must be:

deemed to become unconditional upon the receipt of the money due to

the contractor, subcontractor or supplier; and

materials, equipment or supplies that are the subject of the progress bill

or retainage bill.

failed to perform a duty to:

respect to a contract which has not been fully performed,

pursuant to one or more of the provisions of NRS 338.160 or sections 14

to 19, inclusive, of this act in a timely manner may apply to the district

court of the county in which the public work or a part thereof is located

for an alternate writ of mandamus pursuant to NRS 34.150 to 34.310,

inclusive, to require the public body to perform the duty required

pursuant to such a provision.

1. including a provision governing the payment of attorney’s fees in a

1. contract into which it enters with a contractor for a public work.

1. amount withheld by the contractor or subcontractor is not justified or is

1. excessive may apply to the district court of the county where the public

1. work or a part thereof is located for an order directing the contractor or

1. subcontractor to appear before the court to show cause why the relief

1. requested should not be granted.

1. 2. The motion must:

1. (a) Set forth the grounds upon which relief is requested; and

1. (b) Be accompanied by a notarized affidavit signed by the petitioner or

1. his attorney that sets forth the facts upon which the motion is based.

1. 3. If the court orders a hearing based upon the motion, the petitioner

1. shall serve the notice of the motion and the order of the court on the

1. respondent within 3 days after the court issues the order. The court shall
2. conduct the hearing not less than 10 days and not more than 20 days

1. after the court issues the order for a hearing.

1. 4. The order for a hearing must include a statement that, if the

1. respondent fails to appear at the time and place of the hearing, the court

1. will order the respondent to pay to the petitioner:

(a) The entire amount that was withheld by the respondent, or a

portion thereof;

portion thereof;

his attorney’s fees; or

1. the petitioner and the respondent, the motion must be consolidated into

1. the civil action.

1. 6. If the court determines that:

1. (a) The amount withheld is not justified, the court shall order the

1. respondent to pay to the petitioner the amount that was withheld.

1. (b) The amount withheld is excessive, the court shall order the

1. respondent to pay to the petitioner an amount determined by the court.

1. (c) The amount withheld is justified, the court shall issue an order

1. approving the amount that was withheld by the respondent.

7. The proceedings conducted pursuant to the provisions of this

section do not affect any other rights or remedies provided by law or

contract.

and 338.170 and sections 2 to 33, inclusive, of this act must be:

1. Delivered personally; or

2. Sent by facsimile machine and delivered by regular or certified

mail.

liability set forth in the provisions of NRS 338.160, 338.165 and 338.170

and sections 2 to 33, inclusive, of this act.

2. A condition, stipulation or provision in a contract or other

agreement that:

(a) Requires a person to waive a right set forth in the provisions of

NRS 338.160, 338.165 and 338.170 and sections 2 to 33, inclusive, of this

act; or

(b) Relieves a person of an obligation or liability imposed by the

provisions of NRS 338.160, 338.165 and 338.170 and sections 2 to 33,

inclusive, of this act,

is void.

subcontractor or supplier who is the prevailing party in a civil action or

an arbitration proceeding to recover an amount that was required to be

paid to him pursuant to the provisions of NRS 338.160, 338.165 and

338.170 and sections 2 to 33, inclusive, of this act his reasonable costs

and attorney’s fees.

2 to 33, inclusive, of this act do not prevent a public body from including

a provision governing attorney’s fees in a contract for a public work.

sections 2 to 33, inclusive, of this act do not impair or affect the rights of

a contractor, subcontractor or supplier to whom any amount may be

owed for work performed or materials, equipment or supplies furnished

to maintain a civil action or to submit any controversy arising under the

contract to arbitration to recover that amount.

1. the public body pursuant to NRS 338.160, 338.165 and 338.170, and

1. 2. A contractor shall make payments to his subcontractor or supplier

1. in an amount equal to that subcontractor’s or supplier’s basis in the

1. payments paid by the public body to the contractor for the supplies,

1. material and equipment identified in the contract between the contractor

1. and the public body, or between the subcontractor or supplier and the

1. contractor, within 10 days after the contractor has received a progress
2. payment or retainage payment from the public body for those supplies,

1. materials and equipment.

1. ~