WELSBACH ELEC v. MASTEC N. AM


7 N.Y.3d 624 (2006)

859 N.E.2d 498

825 N.Y.S.2d 692

WELSBACH ELECTRIC CORP., Respondent, v. MASTEC NORTH AMERICA, INC., Appellant.

Court of Appeals of New York.

Decided November 20, 2006.


Attorney(s) appearing for the Case

Goldberg Segalla LLP, Albany (Thomas M. Moll of counsel), for appellant.

Murtagh, Cohen & Byrne, Rockville Centre (Edward T. Byrne and Paul J. Murdy of counsel), for respondent.

Goetz Fitzpatrick, LLP, New York City (David E. Wolff, Denis B. Frind and David Kuehn of counsel), for American Subcontractors Association, Inc., amicus curiae.

Chief Judge KAYE and Judges CIPARICK, GRAFFEO, READ, SMITH and PIGOTT concur.


OPINION OF THE COURT

ROSENBLATT, J.

For well over a century, parties to construction contracts in New York were permitted by decisional law and by statute to agree to "pay-if-paid" provisions. Agreements of that type create a condition precedent by which the subcontractor will not be paid unless the contractor has been paid. In 1995, however, we held in West-Fair Elec. Contrs. v Aetna Cas. & Sur. Co....

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