California’s Fair Payment Act: What Every Owner, Developer, and Contractor Should Know About SB 440

“While most states have enacted various forms of prompt payment laws for construction projects, California Senate Bill 440, known as the Private Works Change Order Fair Payment Act, marks a pivotal change in how payment obligations related to change orders are handled on private construction projects. Signed into law on October 10, 2025 by Governor Newsom, its implementation will affect owners, developers, contractors, and subcontractors alike. Importantly, it sets clear standards for processing change-order claims, imposing decisive deadlines and remedies.”

To read the full article as published on Mr. DeVries’ blog, Best Practices Construction Law, click here.

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