Takes Effect

Takes effect

California Work and business

Subcontractors on state contracts can ask the agency whether the prime contractor was paid

A subcontractor or supplier on a state contract can ask the awarding state agency about the payment status of the prime contractor's invoices, and the prime contractor must confirm its payments to subcontractors when the agency asks.

Who it affects

Subcontractors, suppliers and prime contractors on state contracts

When

This law takes effect on January 1, 2027. California laws take effect on January 1 of the year after they are signed, unless the law says otherwise.

Official text

California AB 2272: State contracting: subcontractors: prompt payment.
On California Legislative Information. The official text is what counts; read it before you act.

Not legal advice. Plain-English summaries to help you find what changes and when. Not legal advice: read the official text, and ask a lawyer about your situation.

More California changes on work and business

All work and business changes