§ 756-a. Obligations. It is the policy and purpose of this article to\nexpedite payment of all monies owed to those who perform contracting\nservices pursuant to construction contracts. Except as otherwise\nprovided in this article, the terms and conditions of a construction\ncontract shall supersede the provisions of this article and govern the\nconduct of the parties thereto.\n 1. Billing cycle. The parties to a construction contract may, by\nmutual agreement, establish a billing cycle for the submission of\ninvoices requesting payment for work performed pursuant to a\nconstruction contract. In the absence of an agreement by the parties as\nto the billing cycle, the billing cycle shall be the calendar month\nwithin which the work is performed.\n 2. Invoices. (a) A contractor shall be entitled to invoice the owner\nfor interim payments at the end of the billing cycle. A contractor shall\nbe entitled to submit a final invoice for payment in full upon reaching\nsubstantial completion, as such term is defined in the contract or as it\nis contemplated by the terms of the contract.\n (i) Upon delivery of an invoice and all contractually required\ndocumentation, an owner shall approve or disapprove all or a portion of\nsuch invoice within twelve business days. Owner approval of invoices\nshall not be unreasonably withheld nor shall an owner, in bad faith\ndisapprove all or a portion of an invoice. If an owner declines to\napprove an invoice or a portion thereof, it must prepare and issue a\nwritten statement describing those items in the invoice that are not\napproved. An owner may decline to approve an invoice or portion of an\ninvoice for:\n (1) Unsatisfactory or disputed job progress;\n (2) Defective construction work or material not remedied;\n (3) Disputed work materials;\n (4) Failure to comply with other material provisions of the\nconstruction contract;\n (5) Failure of the contractor to make timely payments for labor\nincluding collectively bargained fringe benefit contributions, payroll\ntaxes and insurance, equipment and materials, damage to the owner, or\nreasonable evidence that the construction contract cannot be completed\nfor the unpaid balance of the construction contract sum; or\n (6) Failure of the owner's architect to certify payment for any or all\nof the reasons set forth in this section so long as the reasons are\nincluded in the owner's written statement of disapproval.\n (ii) Upon delivery of an invoice and all contractually required\ndocumentation, a contractor or subcontractor shall approve or disapprove\nall or a portion of such invoice within twelve business days. Contractor\nand subcontractor approval of invoices shall not be unreasonably\nwithheld nor shall a contractor or subcontractor, in bad faith,\ndisapprove all or a portion of an invoice. Nothing in this section shall\nprohibit the contractor or subcontractor, at the time of application to\nthe owner or contractor, from withholding such application to the owner\nor contractor for payment to the subcontractor or material supplier for:\n (1) Unsatisfactory or disputed job progress;\n (2) Defective construction work or material not remedied;\n (3) Disputed work;\n (4) Failure to comply with other material provisions of the\nconstruction contract; or\n (5) Failure of the subcontractor to make timely payments for labor\nincluding collectively bargained fringe benefit contributions; payroll\ntaxes and insurance, equipment and materials, damage to contractor or\nanother subcontractor or material supplier, or reasonable evidence that\nthe subcontract cannot be completed for the unpaid balance of the\nsubcontract sum.\n (b) Nothing in this subdivision shall authorize the withholding of an\napplication to the owner or contractor for the payment to a\nsubcontractor or material supplier when due to a delay in job progress\nby the owner, contractor or another subcontractor or material supplier\nother than the applicant or applicant's subcontr
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