Mass. Gen. Laws » Part I Title XXI Chapter 149
Massachusetts General Laws

Mass. Gen. Laws ch. 149, § 29E (2026)

Construction contracts; reasonable time periods for periodic progress payments and increases in contract price; payment conditioned upon receipt of payment from third party; requirement to continue performance of construction without payment

✓ current as of July 2026
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Section 29E. (a) As used in this section the following words shall have the following meanings, unless the context clearly requires otherwise:

''Contract for construction'', a contract for which a lien may be established under sections 2 or 4 of chapter 254 on a project for which the person whose contract with the project owner has an original contract price of $3,000,000 or more; provided, however, this shall not include projects containing or designed to contain at least 1 but not more than 4 dwelling units.

''Insolvent'', insolvent as defined under federal bankruptcy law or being a debtor in a proceeding commenced under federal bankruptcy law or under the corresponding law of another country, or being a debtor in a receivership proceeding or having made an assignment for the benefit of creditors.

(b) A communication required in this section to be in writing may be submitted in electronic form and by electronic means.

(c) Every contract for construction shall provide reasonable time periods within which: (i) a person seeking payment under the contract shall submit written applications for periodic progress payments; (ii) the person receiving the application shall approve or reject the application, whether in whole or in part; and (iii) the person approving the application shall pay the amount approved. The time periods for each application for a periodic progress payment shall not exceed: (i) for submission, 30 days, beginning with the end of the first calendar month occurring at least 14 days after the person seeking payment has commenced performance; (ii) for approval or rejection, 15 days after submission; provided, however, that the time period, as applicable to approval or rejection by the person at each tier of contract below the owner of the project, may be extended by 7 days more than the time period applicable to the person at the tier of contract above the person; and (iii) for payment, 45 days after approval, unless the payment is subject to the condition of receipt of payment by a third person but only to the extent enforceable under subsection (e). An application for a periodic progress payment which is neither approved nor rejected within the time period shall be deemed to be approved unless it is rejected before the date payment is due. A rejection of an application for a periodic progress payment, whether in whole or in part, shall be made in writing and shall include an explanation of the factual and contractual basis for the rejection and shall be certified as made in good faith. A rejection of an application for a periodic progress payment shall be subject to the applicable dispute resolution procedure. A provision in the contract which requires a party to delay commencement of the procedure until a date later than 60 days after the rejection shall be void and unenforceable.

(d) Every contract for construction shall provide a reasonable time period within which a written request submitted by a person seeking an increase in the contract price shall be approved or rejected, whether in whole or in part. The time period shall not exceed 30 days after the later of commencement of the performance of the work on which the request is based or submission of the written request; provided, however, that the time period, as applicable to approval or rejection by the person at each tier of contract below the owner of the project, may be extended by 7 days more than the time period applicable to the person at the tier of contract above the person. A request which is neither approved nor rejected within such time period shall be deemed to be approved and may be submitted for payment within the next application for a periodic progress payment, unless it is rejected before the date payment is due. A rejection of a request, whether in whole or in part, shall be made in writing, shall include an explanation of the factual and contractual basis for the rejection and shall be certified as made in good faith. A rejection of a request shall be subject to the applicable dispute resolution procedure. A provision in the contract which requires a party to delay commencement of the procedure until a date later than 60 days after the rejection shall be void and unenforceable.

(e) A provision in a contract for construction which makes payment to a person performing the construction conditioned upon receipt of payment from a third person that is not a party to the contract shall be void and unenforceable, except:

(1) to the extent of amounts not received from the third person because the person performing the construction failed to perform under its contract and failed to cure the non-performance within the time required by the contract after receipt of written notice as provided in the contract or, in the case of contract lacking a cure and notice provision, failed to cure the non-performance within 14 days after receipt of written notice of the failure to perform; or

(2) to the extent of amounts not received from the third person because the third person is insolvent or becomes insolvent within 90 days after the date of submission of the requisition for which payment is sought; provided, however, that the person seeking to enforce the payment condition (i) filed a notice of contract under chapter 254 and in the case of a person having no direct contractual relationship with the original contractor, also sent a notice of identification within the time required under said chapter 254, prior to the person's submission of the first application for payment after commencement of performance at the project site and did not dissolve the lien created by the filing of such notice of contract; and (ii) within the time periods allowed by said chapter 254 files a statement of amount due and commenced or commences a civil action to enforce the lien; and (iii) pursues all reasonable legal remedies to obtain payment from the person with whom the person had a direct contract unless and until there is a reasonable likelihood the action shall not result in obtaining payment.

The foregoing exceptions shall be expressly stated in any conditional payment provision and the person seeking to enforce the payment condition shall have the burden of proof as to each element. Nothing in this section or in a conditional payment provision shall be valid as a defense to enforcement of a lien claimed under said chapter 254 by the person furnishing the construction nor shall it excuse compliance with said chapter 254. A party aggrieved by the failure of the party seeking to enforce the payment condition to pursue all reasonable legal remedies to obtain payment may avail itself of the procedure set forth in section 15A of said chapter 254, for a summary determination of whether all reasonable legal remedies have been fulfilled with respect to the particular lien claim at issue; provided, however, that the aggrieved party has first made a request in writing that the party seeking to assert the payment provision identify the legal remedies the aggrieved party has pursued and either: (i) has not received a response in writing within 10 days after making the request; or (ii) having received a response, has requested the party to pursue specific additional legal remedies and the party has failed unreasonably to take such actions.

(f) A provision in a contract for construction, including without limitation a payment condition enforceable under subsection (e), purporting to require a person to continue performance of the construction if payment of an approved amount is due under the terms of the contract but is not received, and more than 30 days have elapsed since the date payment was due, shall be void and unenforceable, except for: (i) a dispute regarding the quality or quantity of the construction so furnished; or (ii) a default by the person under the contract for construction after approval of the payment; provided, however, that the person has received (i) a prior written notice of such dispute or default certified as made in good faith; and (ii) all sums due less any amounts attributable to the dispute or default.

(g) A provision in a contract for construction which purports to waive or limit any provisions of this section shall be void and unenforceable.

Notes of Decisions
Cited in 10 cases (9 in the last 5 years), 2019–2026 · leading case: Tocci Bldg. Corp. v. Iriv Partners, LLC, & Another (& a Companion Case )., 190 N.E.3d 1077 (Mass. App. Ct. 2022).
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Tocci Bldg. Corp. v. Iriv Partners, LLC, & Another (& a Companion Case )., 190 N.E.3d 1077 (Mass. App. Ct. 2022). · cites it 7× “A Superior Court judge properly granted summary judgment for the plaintiff construction contractor and against the defendants, a manager and property owner, on the plaintiff's claims that periodic progress payments on each of seven applications it submitted had been in whole or…”
Bus. Interiors Floor Covering Bus. Trust v. Graycor Constr. Co. Inc. & Others (Mass. Super. Ct. 2024). · cites it 23× “The prompt pay act, G. L. c. 149, § 29E (prompt pay act or act), which we interpret for the first time in this case, requires that parties to a construction contract approve or reject payment within strict time limits and provides procedures for doing so.”
Bus. Interiors Floor Covering Bus. Trust v. Graycor Constr. Co. Inc. (Mass. 2024). · cites it 19× “The prompt pay act, G. L. c. 149, § 29E (prompt pay act or act), which we interpret for the first time in this case, requires that parties to a construction contract approve or reject payment within strict time limits and provides procedures for doing so.”
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2021). · cites it 12× “Among other things, it timely processed pay applications when such applications were complete and accurate; reviewed, negotiated, and—when appropriate—approved change orders in accordance with the terms of the contract; and complied with Mass. Gen. Laws ch. 149, § 29E. 174. Like…”
J.C. Cannistraro, LLC v. Columbia Constr. Co. (Mass. 2026). · cites it 8× “The prime contract was a "contract for construction" as defined in G. L. c. 149, § 29E (a), and was therefore subject to the provisions of the prompt pay act.”
Soep Painting Corp. v. Graycor Constr. Co., Inc., & Others. (Mass. App. Ct. 2023). “The judgment resulted from the allowance of the plaintiff's motion for partial summary judgment, which was based on its claim that the defendant had violated the Prompt Payment Act, G. L. c. 149, § 29E. In essence, the defendant's argument on appeal is that, even assuming that…”
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2019). “Counts Seven and Eight are claims against Malden only for violations of Mass. Gen. Laws ch. 149, § 29E, concerning construction contracts (Count Seven), and for unfair and deceptive trade practices under Mass.”
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2022). “Counts 7 and 8 were claims against Malden Storage for violations of Mass. Gen. Laws ch. 149, § 29E, concerning construction contracts (Count 7), and for unfair and deceptive trade practices under Mass.”
Riverview Constructors, LLC v. Rcs Learning Ctr., Inc., & Others (& a Consol. Case). (Mass. App. Ct. 2025). “93A and the prompt payment law, G. L. c. 149, § 29E. Those claims settled before trial.”
Primoris Energy Servs. Corp., Primoris Indus. Constructors v. A/Z Corp. (D. Mass. 2026). “149, § 29E (2010), legislative history, and caselaw—none state in so literal terms that applying the Massachusetts Prompt Payment Act to payment applications submitted after work is completed violates any particular public policy. The authorities address only the deadlines for…”
— Mass. Gen. Laws ch. 149, § 29E(a) — 1 case
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2021). “Among other things, it timely processed pay applications when such applications were complete and accurate; reviewed, negotiated, and—when appropriate—approved change orders in accordance with the terms of the contract; and complied with Mass. Gen. Laws ch. 149, § 29E. 174. Like…”
— Mass. Gen. Laws ch. 149, § 29E(c) — 1 case
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2021). “Among other things, it timely processed pay applications when such applications were complete and accurate; reviewed, negotiated, and—when appropriate—approved change orders in accordance with the terms of the contract; and complied with Mass. Gen. Laws ch. 149, § 29E. 174. Like…”
— Mass. Gen. Laws ch. 149, § 29E(d) — 1 case
BRT Mgmt. LLC v. Malden Storage LLC (D. Mass. 2021). “Among other things, it timely processed pay applications when such applications were complete and accurate; reviewed, negotiated, and—when appropriate—approved change orders in accordance with the terms of the contract; and complied with Mass. Gen. Laws ch. 149, § 29E. 174. Like…”
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