Archive of CFMA.org Forums > Sub Specialty Contractor Forum > Subcontractor Not Current on Union Fringes

Wed, 02/01/2012 - 3:13pm  
Karen CassonWhat is the liability to the contractor, if a subcontractor is not current on their union fringe benefits?
Fri, 04/20/2012 - 7:19pm #1
Jenny Emmenegger It can be all on you. Be proactive in working with the subcontractor to get them to bring thier fringes current. Currently working with a sub who has fallen behind. In california the Contractor can be held liable for all penalties and back payment of fringes.
Fri, 02/03/2012 - 12:35pm #2
Karen Casson Thanks for the response.
Fri, 02/03/2012 - 12:35pm #3
Karen Casson Thanks for the response.
Fri, 02/03/2012 - 12:33pm #4
Karen Casson Thanks for the response.
Thu, 02/02/2012 - 12:23pm #5
Patricia Seifert The extent of liability will depend upon the jurisdiction.  Liability can arise based under the mechanics lien laws of your state or under a payment and performance bond.  If it is a public job, in addition to lien law, prevailing wage laws may apply.  Most states define union contributions as part of "wages"  which are lienable.  Some states allow unions to file liens for these wages.
Thu, 02/02/2012 - 12:06pm #6
Anthony Klein Not sure what state you are in, but in Wisconsin, the general can and is held responsible for unpaid union benefits on projects for their subcontractors, as the union has lien rights.