Bill Would Impose 18% Rate on Late Payments for Construction Projects

Among the bills on the OMA’s radar this session is House Bill 380, legislation that would require owners of private construction projects (including manufacturers who are building, improving or maintaining facilities in Ohio) to pay contractors within 30 days — or face a whopping 18% interest rate.

The OMA’s legal counsel, Bricker & Eckler LLP, has published this memo to break down the bill’s flawed approach, noting that HB 380 “fails to take into account the standard payment processes that currently exist under virtually every industry standard construction contract.”

Concerned members are invited to comment and join the discussion at the March 4 OMA Government Affairs Committee meeting. 2/26/2020

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