Document Type

Case Summary

Publication Date

10-8-2020

Case Synopsis

In Lehrer McGovern Bovis, Nevada’s Supreme Court held that pay-if-paid provisions in construction contracts, whereby a subcontractor is paid only if the general contractor is paid by the property owner for the work, are generally unenforceable because they violate public policy.2 However, this decision caused some confusion surrounding the enforceability of pay-if-paid provisions, leaving some believing they were no longer enforceable post-Lehrer. Here, the Court took the opportunity to clarify its stance on the enforceability of pay-if-paid provisions in Nevada.

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