Is it legal for contractor to withhold a ‘retainer’ from sub-contractor and then refuse to pay as stated

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Is it legal for contractor to withhold a ‘retainer’ from sub-contractor and then refuse to pay as stated

Is it legal for a contractor to withhold a retainer from a sub-contractor check
for each job performed and then refuse to pay it one year from last service as
stated? There is no written contract agreeing to retainer and now that it has
been requested the contractor has claimed false claim to the retainer. I am in
North Carolina and it is excess of 2500.00

Asked on February 15, 2018 under Employment Labor Law, North Carolina

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Your question is essentially answered by, "There is no written contract agreeing to retainer." When there is no agreement to allow the contractor to withhold or keep a "retainer," the contractor has no right to it. Rather, the contractor must pay you the full amount he originally agreed to pay you for the work. If he does not, you could sue him for the money for "breach of contract": for violating the agreement as to what you would be paid.


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