Sec. 28.004. INTEREST ON OVERDUE PAYMENT. (a) An unpaid amount required under this chapter begins to accrue interest on the day after the date on which the payment becomes due.
(b) An unpaid amount bears interest at the rate of 1-1/2 percent each month.
(c) Interest on an unpaid amount stops accruing under this section on the earlier of:
(1) the date of delivery;
(2) the date of mailing, if payment is mailed and delivery occurs within three days; or
(3) the date a judgment is entered in an action brought under this chapter.
Added by Acts 1993, 73rd Leg., ch. 479, Sec. 1, eff. Sept. 1, 1993.
Structure Texas Statutes
Title 4 - Actions and Remedies
Chapter 28 - Prompt Payment to Contractors and Subcontractors
Section 28.002. Prompt Pay Required
Section 28.003. Exception for Good Faith Dispute; Withholding
Section 28.004. Interest on Overdue Payment
Section 28.005. Action to Enforce Payment
Section 28.007. Legal Construction
Section 28.008. Exception for Failure of Lender to Disburse Funds
Section 28.009. Right to Suspend Work
Section 28.010. Exemption for Mineral Development and Oilfield Services