Georgia Subcontractor Agreement Template | Statutory Compliant
Generate a construction subcontract tailored to Georgia law — with statutory prompt payment deadlines, retainage caps, lien waiver rules, and anti-indemnification protections built in.
Contract Parties
Subcontractor
Project & Schedule
Payment Terms
Total subcontract price for your scope of work.
Georgia rules: Georgia does not cap retainage by statute on private construction; retainage is negotiated between the parties.
Days after GC receives owner payment.
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Download a clean, print-ready PDF with all Georgia statutory clauses included — prompt payment, retainage, lien waiver, and indemnification.
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Subcontractor Agreement
Construction Subcontract — State of Georgia
This Subcontractor Agreement (the “Agreement”) is made and entered into as of October 5, 2026 by and between [General Contractor Name] (“General Contractor”) and [Subcontractor Name] (“Subcontractor”), governed by O.C.G.A. Title 20, Chapter 5 and the laws of the State of Georgia.
General Contractor
[General Contractor Name]
Subcontractor
[Subcontractor Name]
Project Owner
—
Project Address
—
Contract Price
[Contract Price]
License #
—
1. Scope of Work
Subcontractor shall furnish all labor, tools, equipment, and materials necessary to complete the agreed scope of work in a good and workmanlike manner, in compliance with all applicable building codes.
2. Payment
GC shall pay Subcontractor within 10 days after receiving payment from the Project Owner. Under O.C.G.A. § 13-11-2, the general contractor must pay subcontractors within 15 days after receiving payment from the owner. If the owner doesn’t pay within 45 days of the invoice, the sub may issue a written demand, and interest accrues at 1% per month on late amounts.
3. Retainage
GC may withhold 10% retainage from each progress payment. Georgia does not cap retainage by statute on private construction; retainage is negotiated between the parties. Georgia’s Prompt Payment Act requires timely release once entitlement is established, but there is no statutory cap on private jobs.
4. Lien Waivers
Georgia does not require statutory lien waiver forms; waivers are enforceable if they clearly identify the project, amount, and date. Under O.C.G.A. § 20-5-11, a conditional waiver (as described in the lien statute) is effective only on receipt of payment, and unconditional waivers should only be signed after payment clears.
5. Mechanics Lien Rights Preserved
Georgia requires filing a Claim of Lien within 3 months (90 days) of the last date work or materials were furnished. Georgia requires non-privity subcontractors (second-tier and below) to serve a Notice of Commencement of Action or a Notice to Contractor within 30 days of first furnishing labor or materials, or 30 days after the GC files a Notice of Commencement, whichever is later.
6. Indemnification
Georgia does not have a specific anti-indemnification statute for construction contracts; broad-form indemnity is generally enforceable if clearly worded. Subcontractors should negotiate limits and rely on the Prompt Payment Act for late-payment remedies.
7. Governing Law
This Agreement is governed by the laws of the State of Georgia, including O.C.G.A. Title 20, Chapter 5 (Georgia Lien Law) and Georgia Prompt Payment Act at O.C.G.A. § 13-11-1 et seq..
[General Contractor Name] — General Contractor
Print Name / Title
[Subcontractor Name] — Subcontractor
Print Name / Title
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Georgia Payment & Retainage Rules
Under O.C.G.A. § 13-11-2, the general contractor must pay subcontractors within 15 days after receiving payment from the owner. If the owner doesn’t pay within 45 days of the invoice, the sub may issue a written demand, and interest accrues at 1% per month on late amounts.
Retainage Cap
Georgia does not cap retainage by statute on private construction; retainage is negotiated between the parties. Georgia’s Prompt Payment Act requires timely release once entitlement is established, but there is no statutory cap on private jobs.
Pay-When-Paid
Your agreement states that owner payment is a timing mechanism, not an absolute condition precedent — preserving your right to payment and statutory remedies under O.C.G.A. Title 20, Chapter 5.
Lien Waivers
Georgia does not require statutory lien waiver forms; waivers are enforceable if they clearly identify the project, amount, and date. Under O.C.G.A. § 20-5-11, a conditional waiver (as described in the lien statute) is effective only on receipt of payment, and unconditional waivers should only be signed after payment clears.
Your Mechanics Lien Rights in Georgia
This agreement expressly preserves your right to record a mechanics lien and serve statutory preliminary notices — no pay-if-paid, pay-when-paid, or lien waiver clause in the document can waive your lien rights beyond payment actually received.
Georgia requires filing a Claim of Lien within 3 months (90 days) of the last date work or materials were furnished.
Georgia requires non-privity subcontractors (second-tier and below) to serve a Notice of Commencement of Action or a Notice to Contractor within 30 days of first furnishing labor or materials, or 30 days after the GC files a Notice of Commencement, whichever is later.
Deadlines matter: missing a Georgia lien or notice deadline can permanently waive your security interest in the project. Calendar both dates the day you mobilize on site.
Indemnification Limits Under Georgia Law
Georgia does not have a specific anti-indemnification statute for construction contracts; broad-form indemnity is generally enforceable if clearly worded. Subcontractors should negotiate limits and rely on the Prompt Payment Act for late-payment remedies.
Georgia Subcontractor Agreement FAQs
When must a general contractor pay me under Georgia prompt payment law?
Under O.C.G.A. § 13-11-2, the general contractor must pay subcontractors within 15 days after receiving payment from the owner. If the owner doesn’t pay within 45 days of the invoice, the sub may issue a written demand, and interest accrues at 1% per month on late amounts. Your subcontract should mirror these statutory deadlines so that late payments automatically trigger the statutory interest and remedies without negotiation.
How much retainage can a GC legally withhold in Georgia?
Georgia does not cap retainage by statute on private construction; retainage is negotiated between the parties. Georgia’s Prompt Payment Act requires timely release once entitlement is established, but there is no statutory cap on private jobs. Your agreement should specify the exact retainage percentage, the release schedule (typically at substantial completion and final completion), and payment of statutory interest on withheld retainage.
Are pay-if-paid clauses enforceable in Georgia subcontracts?
While Georgia has not enacted a blanket statutory ban on pay-if-paid clauses, courts and statutes in most states treat "pay-when-paid" as a reasonable timing provision rather than an absolute condition. Check O.C.G.A. Title 20, Chapter 5 (Georgia Lien Law) and Georgia Prompt Payment Act at O.C.G.A. § 13-11-1 et seq. for specific restrictions, and make sure your subcontract states that payment from the owner is not an absolute condition precedent to your right to be paid.
What lien waiver rules apply in Georgia?
Georgia does not require statutory lien waiver forms; waivers are enforceable if they clearly identify the project, amount, and date. Under O.C.G.A. § 20-5-11, a conditional waiver (as described in the lien statute) is effective only on receipt of payment, and unconditional waivers should only be signed after payment clears. Never sign an unconditional waiver until payment has actually cleared your bank account, and make sure your waiver identifies the specific billing period and amounts to avoid losing lien rights on future work.
Can a Georgia subcontract require me to indemnify the GC for the GC’s own negligence?
Georgia does not have a specific anti-indemnification statute for construction contracts; broad-form indemnity is generally enforceable if clearly worded. Subcontractors should negotiate limits and rely on the Prompt Payment Act for late-payment remedies. Always read the indemnification clause carefully — even in states with anti-indemnity statutes, "broad form" indemnity for joint negligence is typically still enforceable.
How do I preserve my mechanics lien rights in Georgia?
Georgia requires filing a Claim of Lien within 3 months (90 days) of the last date work or materials were furnished. Georgia requires non-privity subcontractors (second-tier and below) to serve a Notice of Commencement of Action or a Notice to Contractor within 30 days of first furnishing labor or materials, or 30 days after the GC files a Notice of Commencement, whichever is later. Send statutory notices by certified mail or another trackable method, keep copies of everything, and calendar the deadlines immediately upon each project’s completion.