The Texas Little Miller Act is a construction law and the state version of the Miller Act that protects subcontractors and suppliers hired to work on public construction projects in Texas. The law requires using two different types of bonds to ensure all parties are paid: payment bonds and performance bonds.
As the construction company or supplier, you are protected by payment bonds. Payment bonds are financial guarantees that your company will be paid even if the principal contractor defaults on their financial obligations. Contractors are required to obtain performance and payment bonds for any public works contract that is $25,000 or more. Enforcing a Texas Little Miller Act can be complicated, but below is an overview of the process and information on contacting our firm if you need additional assistance.
Understand Preliminary Notice Requirements and Claims
In the heat of conflict, it can be tempting to file a Texas Little Miller Act claim immediately. Still, Texas law has different notice requirements for various types of contractors and suppliers.
First-Tier Subcontractors and Suppliers
First-tier subcontractors and suppliers are not required to give preliminary notice, and a claim can be filed immediately. Claims must be written and submitted to both the surety company and the prime contractor. The claim must be filed within the appropriate time frame, 90 days after the last day of the month in which the work was performed or supplies given.
Second-Tier Subcontractors and Suppliers
On the other hand, second-tier subcontractors and suppliers are required to give preliminary notice to the prime contractor and the surety company. Preliminary notice must be given to the surety company and the prime contractor 15 days after the second month when the work was done or materials were supplied.
If the payment is not rendered after the preliminary notice, subcontractors and suppliers can file a claim with the surety company and the prime contractor. This time frame is the same as claims for first-tier subcontractors and suppliers.
Notices and claims have specific requirements for how they can be filed, what they must contain, and how they must be delivered. Your attorney can better walk you through this process at your consultation.
File a Lawsuit to Enforce the Claim
You are entitled to recourse through a lawsuit if the claim is not paid. If you are owed payment under the Texas Little Miller Act, National Lien & Bond attorneys are here to help. These seasoned attorneys have filed countless Texas Little Miller Act Claims and Miller Act Claims nationwide. National Lien & Bond has represented parties on over 25,000 projects, obtaining over $9 billion in client compensation. Contact National Lien & Bond to start your claim today.