# Tennessee — Construction prompt payment act deadlines by US state — owner-to-contractor and contractor-to-subcontractor payment windows, retention release deadlines, and late-payment interest rates

For Tennessee, owner-to-gc payment deadline (days) is 30; gc-to-sub flow-down deadline (days) is 30; retention release deadline (days) is 90; late-payment interest rate is 1.5% per month; project types covered is both, verified against its source on 2026-08-15.

- **State:** Tennessee _(verified: appears in the quote below)_
- **Owner-to-GC payment deadline (days):** 30 _(verified: appears in the quote below)_
- **GC-to-sub flow-down deadline (days):** 30 _(verified: appears in the quote below)_
- **Retention release deadline (days):** 90 _(verified: appears in the quote below)_
- **Late-payment interest rate:** 1.5% per month _(verified: appears in the quote below)_
- **Project types covered:** both _(verified: appears in the quote below)_
- **Attorney fees recoverable:** discretionary _(verified: appears in the quote below)_
- **Statutory citation:** Tenn. Code §66-34-101 et seq. _(verified: appears in the quote below)_

## What the source says

> Once the prime has received payment, all other payments must be made within 30 days of receipt of payment. Penalties for Late Payment on Public Projects Any wrongfully withheld payments will be subject to a 1.5% per month interest rate, accruing the day after payment becomes due. If still unpaid for 60 days, the interest accrued up to that point will be added to the principal amount of the debt, and continue to accrue on the increased amount. Tennessee Prompt Payment Frequently Asked Questions Tennessee's prompt payment requirements are found in two separate statutes: One for private construction projects ( <https://advance.lexis.com/api/document/collection/statutes-legislation/id/4X8K-WKT0-R03M-80BY-00008-00?cite=Tenn.%20Code%20Ann.%20%C2%A7%2066-34-101&context=1000516> Tenn. Code Ann. § 66-34-101 et. seq. ), and one for public construction projects ( <https://advance.lexis.com/api/document/collection/statutes-legislation/id/4X8K-V930-R03K-62HT-00008-00?cite=Tenn.%20Code%20Ann.%20%C2%A7%2012-4-701&context=1000516> Tenn. Code Ann. § 12-4-701 et. seq. ). Below are frequently asked questions about both

## Source

- https://www.levelset.com/prompt-payment/tennessee-prompt-payment-faqs/

Last verified: 2026-08-15. Review by: 2027-08-15.
Part of [Construction prompt payment act deadlines by US state — owner-to-contractor and contractor-to-subcontractor payment windows, retention release deadlines, and late-payment interest rates](https://referencesource.org/construction-prompt-payment-deadlines-by-state/).