Disclaimer: The information on this webpage is NOT the same as legal advice. SunRay Construction Solutions, LLC is not an attorney or a law firm. We recommend that you consult with an attorney.
A Stop Payment Notice, is a verified written notice signed by the claimant which formally notifies the property owner that the claimant has not been paid for heir labor, services, equipment, or materials provided to the construction project. A Stop Notice is delivered to the prime contractor or property owner, and demands that they withhold enough funds to pay your claim. If the property owner or prime contractor is in possession of funds at the time your Stop Notice is sent, they will be responsible for payment of your claim if they disburse those funds to other parties.
Typically, after sending Stop Notice, the property owner or prime contractor will stop paying, along the contracting chain, until your claim is resolved.