Bill > HB568

This bill establishes new regulations for retainage (money withheld during construction projects) in private construction projects in Ohio. The bill defines several key terms, including "owner" as a non-public entity with legal or equitable interests in real estate, and "private project" as construction work not involving a public authority. Specifically, for private construction projects valued over one million dollars, the bill limits the amount of retainage that can be withheld to no more than 5% of the total contract value. The bill applies to construction contracts and subcontracts entered into on or after the bill's effective date. The legislation also maintains a provision that allows for withholding retainage if there is a good faith claim directly related to the work performed or materials furnished. The bill references and builds upon existing sections of the Ohio Revised Code related to construction and public authorities, and aims to provide clearer guidelines and limitations on retainage practices in private construction projects.

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https://www.legislature.ohio.gov/legislation/136/hb568