The bill amends and reenacts R.S. 38:2191(C) through (E) and enacts R.S. 38:2191(F) to clarify the payment processes under public works contracts in Louisiana. It stipulates that public entities cannot withhold liquidated damages that are contested by contractors from payments due, while still allowing them to assert claims for such damages in ordinary proceedings. The bill also establishes that the prevailing party in these claims is entitled to recover reasonable attorney fees, and public entities can charge interest on recovered liquidated damages at a specified rate.

Additionally, the bill introduces provisions for mandamus proceedings to compel public entities to make payments that are due under contracts, including attorney fees and interest. It specifies that if a public entity fails to make payments without reasonable cause, they can be compelled to pay the amounts due, while also clarifying that claims for liquidated damages are not subject to these mandamus proceedings. Furthermore, it ensures that a declaration of a public works contract being null and void does not affect the amounts owed for work already performed.

Statutes affected:
SB235 Original: 38:2191(C)
SB235 Engrossed: 38:2191(C)
SB235 Enrolled: 38:2191(C)
SB235 Act : 38:2191(C)