The Prompt Payment Act

The Prompt Payment Act, Texas Property Code Sec. 28.002(b), also provides that a contractor who receives payment under 28.002(a) (above) must pay its subcontractors the portion of the owner’s payment, including interest, within 7 days of receiving the Owner’s payment.  Section (a) provides that an owner must pay its contractor within 35 days of receiving a payment request for work performed in improving the owner’s property.