192:, but no contractual relationship, express or implied, with the contractor furnishing the payment bond, may bring a civil action on the payment bond on giving written notice to the contractor within 90 days from the date on which the person did or performed the last of the labor or furnished or supplied the last of the material for which the claim is made. The action must state with substantial accuracy the amount claimed and the name of the party to whom the material was furnished or supplied or for whom the labor was done or performed.
20:
74:: The contractor's abandonment or other nonperformance of a government job may cause critical delays and added expense in the government procurement process. The bonding process helps weed out irresponsible contractors who may be unable to obtain bonds, and the bond itself will defray the government's cost of substitute performance in the event of default. The subrogration right of the bond
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A waiver of the right to pursue a payment bond action under the Act by a person supplying labor or materials is void unless it was executed in writing, signed by the person whose right is to be waived, and executed after the labor or materials have been supplied.
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in 1894. That act established a single performance and payment bond that "did afford some protection to... unpaid subcontractors and materialmen, but it was fraught with substantive and procedural limitations", and it was superseded by the Miller Act of 1935.
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for the protection of all persons supplying labor and material in carrying out the work provided for in the contract for the use of each person. The amount of the payment bond generally must equal the total amount payable by the terms of the contract.
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or material supplier that has not been paid, within 90 days of the day on which he last furnished labor or materials for which the claim is made, may bring a civil action on the payment bond for the amount unpaid at the time the suit is brought.
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The agency issuing the contract is required to provide a copy of the payment bond, which identifies the surety, which would be the defendant in an enforcement action, upon the presentation of an
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to establish alternative payment protections for contracts in excess of $ 30,000 but not exceeding $ 150,000, with the contract-specific protection to be determined by the
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The suit must be brought no later than one year after the day on which the last of the labor was performed or material was supplied by the person bringing the action.
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against the contractor, i.e., the right of the surety to sue the contractor and any principals who may have guaranteed the bond, is a deterrent to nonperformance.
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The Miller Act applies to contracts awarded for the construction, alteration, or repair of any public building or public work of the United States
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on some government construction contracts to post bonds guaranteeing both the performance of their contractual duties and the payment of their
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The Miller Act addresses two concerns that would otherwise exist in the performance of federal government construction projects:
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indicating the person requesting the copy has not been paid for labor or materials furnished under the contract.
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84:: Subcontractors and material suppliers would otherwise be reluctant to work on such projects (knowing that
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110:. While the Act provides that the bonds must be posted on contracts exceeding $ 100,000,
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issued by a surety satisfactory to the officer awarding the contract, in an amount the
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The contractor must also furnish a payment bond with a surety satisfactory to the
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114:(FAR) Part 28 requires the bonds only on contracts that exceed $ 150,000.
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Once contract is awarded, the contractor must furnish the government a
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92:), diminishing competition and driving up construction costs.
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133:" that establish similar requirements for state contracts.
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considers adequate, for the protection of the
Government.
125:. While the Miller Act applies only to federal contracts,
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A person having a direct contractual relationship with a
260:"The Miller Act: Enforcement of the Payment Bond"
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195:
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258:Wallick, Robert D., and Stafford, John A.,
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129:throughout the United States have enacted "
459:United States federal commerce legislation
277:Q&A: The Legal Basics of Surety Bonds
249:Aug. 13, 1894, C. 280, § 1, 28 Stat. 278.
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54:The Act was originally enacted as the
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41:Title 40 of the United States Code
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88:prevents the establishment of a
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119:Federal Acquisition Regulations
16:US federal commerce legislation
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112:Federal Acquisition Regulation
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264:Law and Contemporary Problems
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196:Waiver of payment bond rights
166:Enforcement on payment bonds
137:Posting of performance bonds
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153:Posting of payment bonds
51:and material suppliers.
35:(ch. 642, Sec. 1-3, 49
308:"28.000 Scope of part"
281:Construction Executive
63:Background and purpose
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117:The Act requires the
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479:1935 in American law
474:1893 in American law
275:Schubert L. (2003).
23:Construction of the
159:contracting officer
147:contracting officer
123:contracting officer
131:Little Miller Acts
127:state legislatures
108:Federal government
86:sovereign immunity
29:
426:§ 3133(b)(2)
396:§ 3133(b)(4)
381:§ 3133(b)(1)
366:§ 3131(b)(2)
351:§ 3131(b)(1)
72:Performance Bonds
45:prime contractors
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469:Construction law
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441:§ 3133(c)
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411:§ 3133(a)
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377:40 U.S.C.
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314:on 2011-09-28
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316:. Retrieved
312:the original
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234:§§ 270a
222:§§ 3131
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43:) requires
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336:§ 3132
102:Application
453:Categories
318:2011-08-09
228:(formerly
205:References
33:Miller Act
183:affidavit
56:Heard Act
464:Sureties
25:Pentagon
97:Summary
27:, 1942.
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266:, 1964
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76:surety
37:stat.
238:270d
226:3134
31:The
262:in
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279:.
170:A
321:.
240:)
236:–
224:–
Text is available under the Creative Commons Attribution-ShareAlike License. Additional terms may apply.
