The plaintiff subcontractor sued the defendant contractor for unpaid holdback and overtime costs related to the installation of millwork at a casino project.
The defendant argued that it was entitled to withhold payment due to a 'pay when paid' clause, as the owner had charged back costs for completing the delayed work.
The court found that the delay was primarily caused by the defendant's failure to deliver materials on time.
The court held that the defendant could not rely on the 'pay when paid' clause because its own default caused the owner's non-payment.
The plaintiff was awarded the holdback amount and a portion of the overtime costs that were explicitly authorized in writing.
