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Changes to CASPA in the Works.

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Owners, Contractors and Subcontractors should be aware of various proposed amendments to the Pennsylvania Contractor and Subcontractor Payment Act ("CASPA") which are presently pending before the Pennsylvania House Commerce Committee.

House Bill 726 of 2015 is anticipated to be brought to a vote in the near future. By that Bill, the House is proposing to amend various provisions of CASPA related to an owner's or contractor's ability to withhold payment as the result of alleged errors, issues regarding withholding retainage, the amount of penalties that may be assessed for improper withholding of payment and the award of attorney fees. The full text of the amendments can be found here.

The various proposed amendments are still subject to comment and change, but it appears likely that most of these revisions will become law in their present form or with only minor changes.

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