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Act 524 of 1980
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CONSTRUCTION CONTRACTS WITH CERTAIN PUBLIC AGENCIES

Act 524 of 1980

AN ACT to provide for the terms of certain construction contracts with certain public agencies; to regulate the payment and retainage of payments on construction contracts with certain public agencies; and to provide for the resolution of certain disputes.


History: 1980, Act 524, Eff. Jan. 1, 1983




The People of the State of Michigan enact:

DocumentTypeDescription
Section 125.1561SectionDefinitions.
Section 125.1562SectionConstruction contract; designation of person to submit written requests for progress payments; designation of person to whom requests for progress payments to be submitted; manner and times of submissions; deferring the processing of progress payments; payment of requested progress payment; failure of public agency to make timely progress payment; interest.
Section 125.1563SectionRetaining portion of each progress payment to assure proper performance of construction contract; retainage; limitations; exceeding pro rata share of public agency's matching requirement; commingling and deposit of retained funds; releasing to contractor retainage and interest earned on retainage; irrevocable letter of credit.
Section 125.1564SectionConstruction contract; agreement to submit matters described in subsection (3) to decision of agent; designation of agent; dispute resolution process; use; agent to receive pertinent information and provide opportunity for informal meeting; decision of agent to be final and binding; vacation of decision by circuit court; dispute resolution resulting in decision; final progress payment to original contractor where public agency contracts with subsequent contractor.
Section 125.1565SectionConstruction contracts to which act applicable.
Section 125.1566SectionEffective date.
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