Chapter2 short sections

Payments & the cascade

How money waterfalls down the pyramid

Part 1

Paying closes clocks

Record an outbound payment to update the matching invoice's balance and payment deadline. An inbound payment can start a downstream duty when the governing law and evidence connect it to that subcontractor's work.

For Manitoba, review the upstream receipt and attributable amount on the invoice. A project-wide receipt alone does not establish every subcontractor's entitlement. Federal projects use their separate statutory counting rules.

Record a payment

Part 2

Follow the payment chain for this project

Open the invoice to review its recorded payments, outstanding balance and supporting evidence. Record whether money was received or paid, the payment date and the amount attributable to that invoice.

Provincial regimes can impose a seven-day downstream duty after an upstream payment, as well as a fallback date when upstream money has not arrived. The fallback depends on jurisdiction and payer depth. Manitoba, for example, progresses through day 35, day 42, day 49 and onward from the proper invoice given to the owner.

Federal projects use a separate statutory ladder and counting rules. Use the deadline on the specific invoice and check its source facts; do not substitute a generic day count for the project's governing rule. Jurisdictions & deadlines covers the starting point.

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