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<p class="MsoNormal"><span style="color:#1F497D">Folks: I should have clarified this is NOT a lien issue. This is a breach of contract issue only. I’m aware of the proper payments provisions of Chapter 713, but they’re not on point in this situation. That
said, if a case discussed payments to subs and also happened to involve issues of lien law, that might be helpful, depending on whether it turned on the contract’s terms or the lien law. Hopefully that clarifies things a bit. And thanks again for any tips.<o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> Reese J. Henderson, Jr.
<br>
<b>Sent:</b> Friday, February 19, 2016 3:55 PM<br>
<b>To:</b> clc-discussion@lists.flabarrpptl.org<br>
<b>Subject:</b> Set off for Payments Made to Downstream Parties<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Does anyone have a good case cite (or several) for the proposition that a n upstream party (e.g., owner/general contractor) may deduct payments made to parties further downstream (subs, sub-subs, suppliers, etc.) from the amount owed under
their contract with their GC/subcontractor? The subcontract in my case allows it (and direct payments were in fact made), but I’m looking for a case cite that says the same thing.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Thanks in advance.<o:p></o:p></p>
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