Prompt payment statutes are laws that require the payment of contractors and subcontractors within a certain period of time, and prescribe interest and penalties for late payments. In some states these laws only apply to public works construction projects that are funded by the government—and sometimes only to public works projects over a certain dollar amount. There is also a federal Prompt Payment Act for federal construction projects.

In Arizona, prompt payment statutes are designed to ensure that contractors and subcontractors are paid in a timely manner for their work on construction projects. Arizona Revised Statutes, specifically Title 34, Chapter 2, Article 2, governs the prompt payment for public construction contracts. This law requires that a prime contractor must be paid by the public entity within 30 days of submitting a proper billing statement, and in turn, the prime contractor must pay its subcontractors within 7 days of receiving payment from the public entity. If payment is not made within these time frames, interest penalties may apply. For private construction projects, Arizona's prompt payment statutes are found in Title 32, Chapter 10, Article 2.1. These statutes require an owner to pay the contractor within 14 days after a billing statement is deemed approved and require the contractor to pay the subcontractor within 7 days after receipt of payment from the owner. Interest penalties are also prescribed for late payments on private projects. The federal Prompt Payment Act applies to federal construction projects and requires federal agencies to pay contractors within a certain time frame, typically 30 days, and includes interest penalties for late payments.