What is a notice of contest of claim against payment bond?

A Notice of Contest of Claim Against Payment Bond is a statutory document typically used when a contractor – or their legal representative – wishes to dispute a demand that has been made for payment of materials, services, and/or labor. This form can also be used by the contractor or their attorney to reduce the amount of time during which another party can commence a claim against a payment bond under Florida law.

In order to file a Florida Notice of Contest of Claim Against Payment Bond, two previous notices must have been recorded by the lienor: A Florida Notice to Contractor and a Florida Notice of Nonpayment. Both notices are required under state law before the Florida Notice of Contest of Claim Against Payment Bond can be executed.

It is important to note that Florida law does have a time limit within which any actions taken against a contractor or against the surety of the payment bond in question must be initiated. This window opens on the last known date on which labor was performed or materials delivered and closes after one year.

Once the signed and notarized Florida Notice of Contest of Claim Against Payment Bond has been served, the lienor has 60 days within which to respond by filing a suit to pursue their claim against the payment bond or their claim will expire.