.................... moves to amend H.F. No. 1056 as follows:
Page 1, after line 21, insert:
"Sec. 2. Minnesota Statutes 2008, section 337.10, subdivision 4, is amended to read:
Subd. 4. Progress payments and retainages.
(a) Unless the building and
construction contract provides otherwise, the owner or other persons making payments
under the contract must make progress payments monthly as the work progresses.
Payments shall be based upon estimates of work completed as approved by the owner or
the owner's agent. A progress payment shall not be considered acceptance or approval of
any work or waiver of any defects therein.
(b) Unless the building and construction contract provides otherwise, an owner or
owner's agent may reserve as retainage from any progress payment on a building and
construction contract an amount not to exceed five percent of the payment. An owner or
owner's agent may reduce the amount of retainage and may eliminate retainage on any
monthly contract payment if, in the owner's opinion, the work is progressing satisfactorily.
(c) This subdivision does not apply to contracts for professional services as defined
(d) This subdivision does not apply to construction of or improvements to residential
1.18 real estate, as defined in section
326B.802, subdivision 13 , or to construction of or
1.19 improvements to attached single-family dwellings, if those dwellings are used for
1.20 residential purposes and have fewer than 13 units per structure.
Amend the title as follows:
Page 1, line 2, after the second semicolon, insert "regulating progress payments
Correct the title numbers accordingly