As Reported by the Senate Judiciary Committee 1 123rd General Assembly 4 Regular Session Sub. H. B. No. 490 5 1999-2000 6 REPRESENTATIVES WILLAMOWSKI-NETZLEY-TAYLOR-TERWILLEGER- 8 TIBERI-VAN VYVEN-WINKLER-HARTNETT-DAMSCHRODER 9 _________________________________________________________________ 10 A B I L L To amend section 153.56 of the Revised Code to 12 clarify the provisions pertaining to the time 13 period within which a lawsuit must be brought to 14 recover money due to any person for labor or work 15 performed or materials furnished in a public improvement project. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 17 Section 1. That section 153.56 of the Revised Code be 19 amended to read as follows: 20 Sec. 153.56. (A) Any person to whom any money is due for 29 labor or work performed or materials furnished in a public 31 improvement as provided in section 153.54 of the Revised Code, at 32 any time after performing the labor or work or furnishing the 33 materials, but not later than ninety days after THE COMPLETION OF 34 THE CONTRACT BY THE PRINCIPAL CONTRACTOR AND the acceptance of 35 the public improvement FOR WHICH THE BOND WAS PROVIDED by the 36 duly authorized board or officer, shall furnish the sureties on 37 the bond, a statement of the amount due to the person. (B) A suit shall not be brought against sureties on the 39 bond until after sixty days after the furnishing of the statement 41 described in division (A) of this section. If the indebtedness 43 is not paid in full at the expiration of that sixty days, and if 44 the person complies with division (C) of this section, the person 45 may bring an action in the person's own name upon the bond, as 46 provided in sections 2307.06 and 2307.07 of the Revised Code, 47 2 that action to be commenced, notwithstanding section 2305.12 of 48 the Revised Code, not later than one year from the date of 49 acceptance of the public improvement FOR WHICH THE BOND WAS 50 PROVIDED. (C) To exercise rights under this section, a subcontractor 53 or materials supplier supplying labor or materials that cost more 54 than thirty thousand dollars, who is not in direct privity of 55 contract with the principal contractor for the public 56 improvement, shall serve a notice of furnishing upon the principal contractor in the form provided in section 1311.261 of 57 the Revised Code. 59 (D) A subcontractor or materials supplier who serves a 62 notice of furnishing under division (C) of this section as 63 required to exercise rights under this section has the right of 64 recovery only as to amounts owed for labor and work performed and 65 materials furnished during and after the twenty-one days 66 immediately preceding service of the notice of furnishing. 67 (E) For purposes of this section, "principal contractor" 70 has the same meaning as in section 1311.25 of the Revised Code. 71 Section 2. That existing section 153.56 of the Revised 73 Code is hereby repealed. 74