Can a contractor withhold a payment to someone that did not provide a certificate of liabilty insurance?

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Can a contractor withhold a payment to someone that did not provide a certificate of liabilty insurance?

Asked on February 2, 2012 under Employment Labor Law, Wisconsin

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Was providing a certificate of liability insurance required under the contractor or agreement between the contractor and the sub- or independent contractor? If it was, then payment may be conditioned on iits receipt. However, if it was not a part of the agreement or contract for the work which was done, the contractor may not after the fact impose it as a condition, or require it as a condition of payment.


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