The construction industry is arguably the most regulated industry in America. Regulations affect the entire construction process, from permitting to warranty work. Statutes govern who may become a contractor, and what type of work a contractor may do. Statutes simultaneously create and limit a contractor’s right to lien properties, issue stop notices, and sue to collect on unpaid projects. They also provide mandatory payment obligations from owners to contractors, and from contractors to subcontractors through the Prompt Pay Act. Administrative bodies like the Registrar of Contractors (ROC) govern the licensing, regulation, and discipline of licensed contractors. These agencies propound their own rules, like the Workmanship Standards, and are governed by their own procedures. Finally, the judicial system is often the ultimate arbiter of construction disputes, and is in turn governed by its own rules and decision-makers.
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