My General Contractor Stopped Paying Me: What to Do When Payment Stops
You've completed your work, submitted your invoices, and now you're waiting. Days turn into weeks, weeks turn into months, and your general contractor has stopped responding to your calls. If this sounds familiar, you're not alone. Payment disputes between subcontractors and general contractors happen more often than you'd think, and the longer you wait, the harder it becomes to collect what you're owed. The good news is that you have legal rights in New York that can help you get paid, but time is working against you.
Understanding why payment stopped can help you choose the right recovery strategy. Common reasons include cash flow problems where the general contractor may not have been paid by the property owner yet, creating a domino effect down the payment chain. Project disputes with the property owner, other trades, or project delays can freeze payments across the board. Quality disputes may arise where the general contractor claims your work doesn't meet specifications, even if you disagree. Financial distress means the contractor may be facing bankruptcy or serious financial difficulties. Regardless of the reason, you deserve to be paid for completed work, and the key is acting quickly and strategically.
Your immediate action plan should include documenting everything by gathering all contracts, change orders, invoices, emails, texts, and photos of your completed work. Even verbal agreements can be enforceable in New York under New York Lien Law Section 3, but documentation strengthens your case significantly. Calculate what you're owed by including all completed work, approved change orders, and any materials you provided, and don't forget about interest and potential attorney fees if your contract includes them. Send a formal demand letter putting your payment demand in writing with a clear deadline, as this creates a paper trail and shows you're serious about collecting. Most importantly, check your lien deadline because under New York Lien Law Section 10, you generally have 8 months from your last day of work to file a mechanics lien, or 4 months for single-family homes as specified in Section 10(3). This deadline is strict and cannot be extended.
A mechanics lien is your strongest legal tool for getting paid because it places a claim against the property itself under New York Lien Law Section 2, meaning the property cannot be sold or refinanced until your debt is satisfied. This creates immediate pressure on both the general contractor and property owner to resolve the payment issue. Over 75% of mechanics liens result in settlement without needing to go to court because simply filing the lien often motivates quick payment by creating a cloud on the property title that everyone wants removed.
Every day you delay is a day closer to losing your lien rights forever. New York's deadlines under Section 10 are strict, and once they pass, your strongest collection tool disappears. Many contractors wait too long, hoping the situation will resolve itself, only to discover they've lost their leverage entirely. If your general contractor has stopped paying you, don't wait for them to do the right thing. Take control of the situation by securing your lien rights immediately under the protections provided by New York Lien Law. The sooner you act, the better your chances of getting paid in full.
Your time and materials have value, and New York law recognizes this through its comprehensive lien statutes. Don't let anyone convince you otherwise or pressure you into accepting less than what you're owed. With the right legal strategy and quick action, you can turn this frustrating situation into a successful recovery using the tools the legislature has provided to protect contractors like you.
Need help filing a mechanics lien in New York? Contact us today for a free consultation. We'll review your case and help you understand your options before your deadline passes.
