Colorado does not have one private-project “prompt pay” statute that covers every construction invoice. On public works, though, C.R.S. § 24-91-103 sets monthly partial payments, seven-day sub pay, and interest if the contractor is late.
This page explains those public-project rules in plain English and how Darkwell funding can help when you are still waiting on $10,000 or more.
Quick note: Darkwell funds legal claims. We’re not a law firm and this isn’t legal advice. Talk with a licensed attorney in your state about your claim and your deadlines. Colorado law controls Colorado projects.
Still waiting on public-project pay at $10,000 or more? Request a free claim review.
What C.R.S. § 24-91-103 requires
C.R.S. § 24-91-103 applies to public entity contracts exceeding $150,000 for construction, alteration, or repair of public works. The public entity must authorize monthly partial payments of at least 95% of the calculated value of completed work when the contractor is satisfactorily performing. Final settlement is due within 60 days after satisfactory completion and final acceptance.
- Seven-day sub pay. When the contractor receives payment under this section, the contractor must pay each subcontractor the amounts actually received that were included for that subcontract within 7 calendar days, if the sub is satisfactorily performing.
- The seven-day clock and interest don’t start until the subcontractor gives the contractor a list of its suppliers, sub-subcontractors, and laborers with its pay request (§ 24-91-103(2)).
- Interest if late. If the contractor fails to make timely payments to the subcontractor, the contractor must pay interest as specified by contract or at the rate of 15% per year, whichever is higher, from the required payment date until payment is made.
- Retainage and claims. The withheld percentage may be retained until final acceptance. Related claim paths for unpaid retainage and public-project bonds are covered on our unpaid retainage and Miller Act / payment bond pages.
- On public contracts over $150,000, unpaid subs and suppliers can file a verified statement of claim with the public owner up to final settlement (C.R.S. § 38-26-107).
Private projects follow the contract and other statutes (including mechanics liens). Do not assume public-project clocks apply to a private job.
When funding still helps
Even with statutory interest, you may need counsel to collect. Darkwell funding can help carry attorney and case costs while your attorney runs the claim.
Related Colorado payment pages
See also Colorado pay-if-paid clauses and subcontractor not paid by GC.
How Darkwell helps
Legal costs are often what stops a good claim. Darkwell helps carry them. On a Colorado public-project prompt-pay fight, that can mean funding the collection path against the contractor or surety.
- We help carry the cost. Darkwell funding helps pay for the case, so your operating cash stays in your business.
- We bring attorneys we know. Darkwell has a network of attorneys we know. They help keep costs down while still pursuing the claim. The claim moves forward with an attorney from our network, or your current attorney where it fits.
- Your attorney handles the law. We don’t run your case or choose your legal strategy. Your attorney does that.
- You make a clear decision. The goal is to take the stress out of the fight and make the smart financial decision about your claim.
What to send for a claim review
- Subcontract and invoices
- Proof the GC was paid by the public entity, if you have it
- Project name and public owner
- Payment applications and dates
- Demand letters
- Your attorney’s contact, if you have one
How we get paid
Our fee comes out of the recovery, not your pocket. If there’s no recovery, you don’t repay our funding. Your written agreement sets the exact terms.
Where we work and claim size
For business claims, we fund in many U.S. states, reviewed state by state, where champerty rules and litigation funding laws allow our model. We confirm your state during review. See where Darkwell funds claims.
We review claims of $10,000 or more, subject to review and approval by our team.
Darkwell does not buy or collect consumer debt in states that require a collection license, including Colorado.
Common questions
Does Colorado prompt pay apply to private jobs? Section 24-91-103 is about public entity contracts over $150,000. Private jobs follow the contract and other statutes.
What interest rate applies if the GC is late to the sub? Under § 24-91-103(2), interest is as specified by contract or 15% per year, whichever is higher.
Does Darkwell control my case? No. Your attorney handles the case. Darkwell provides funding.
Sources
- C.R.S. § 24-91-103
- C.R.S. § 38-26-107
- Darkwell: Unpaid retainage in Colorado
- Darkwell: Miller Act payment bond claims
Reminder: Darkwell provides litigation funding. Darkwell does not buy or collect consumer debt in states that require a collection license, including Colorado. We are not a law firm and do not give legal advice. Colorado law controls Colorado projects and your deadlines. Nothing on this page promises funding, approval, or any particular result.
Public-project pay still missing at $10,000 or more? Request a free claim review. Send what you have, and you’ll get a response from our team.
Colorado lien & payment guides: Notice of Intent Deadline · Lien Foreclosure Timeline · Lien Expired: Now What · Owner Bonded Off Your Lien · Construction Trust Fund Statute · Pay-If-Paid Clauses · Unpaid Retainage
Related reading: Unpaid Retainage in Colorado · Miller Act Payment Bond Claims · Colorado Pay-If-Paid Clauses · Sub Not Paid by GC · Colorado Litigation Funding · Where We Fund