An Illinois Supreme Court decision (Docket No. 107108) rendered last week could have an impact on how payments are made on construction projects in Illinois. The case involved an owner who made payments to a General Contractor based on that contractor's sworn statement. After the owner made its final payment to the contractor, the bank attached the funds and they never reached a subcontractor.
According to an analysis by Roger Price and Mark Johnson of Seyfarth Shaw LLP, this decision could cause owners to make payments directly to subcontractors or pay by way or joint check. This decision may also affect title companies. Read more here or view the decision.