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HomeCivil CodeDiv. 4Pt. 6Ch. 5Art. 2§ 8522 Owner Stop Payment Obligations

§ 8522 Owner Stop Payment Obligations

Civil Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 8522 Owner Stop Payment Obligations

Key Takeaways

  • •If someone says they weren't paid for work on a building, the owner must hold back money from the main contractor to cover the claim.
  • •The owner doesn't have to hold back money if they already have a special payment promise (bond) recorded.
  • •If the owner doesn't hold back money, they must tell the person who wasn't paid about the bond within 30 days.

Example

A painter works on a house but doesn't get paid by the main contractor.

The house owner gets a notice about the unpaid painter. The owner must hold back money from the main contractor to pay the painter. If the owner has a payment bond, they can choose not to hold back money but must tell the painter about the bond within 30 days.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 8522 Owner Stop Payment Obligations

(a) Except as provided in subdivision (b), on receipt of a stop payment notice an owner shall withhold from the direct contractor or from any person acting under authority of a direct contractor a sufficient amount due or to become due to the direct contractor to pay the claim stated in the notice. (b) The owner may, but is not required to, withhold funds if the owner has previously recorded a payment bond under Section 8600. If the owner does not withhold funds, the owner shall, within 30 days after receipt of the stop payment notice, give notice to the claimant that a payment bond has been recorded and provide the claimant a copy of the bond. The notice shall comply with the requirements of Chapter 2 (commencing with Section 8100) of Title 1. (Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Last verified: January 21, 2026

Key Terms

stop payment noticepayment bonddirect contractorSection 8600

Related Statutes

  • § 8520 Stop Payment Notice Requirements
  • § 9552 Payment Bond Claim Requirements
  • § 9100 Public Works Payment Claims
  • § 8536 Construction Lender Payment Withholding
  • § 8538 Claimant Notice Of Election

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Civil Code. Section 8522.
View Official Source