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 Nevada, prompt payment statutes are designed to ensure that contractors and subcontractors are paid in a timely manner for their work on construction projects. Nevada Revised Statutes (NRS) Chapter 624.624 outlines the specific requirements for prompt payment on both public and private construction projects. For public works projects, the statutes require government entities to make progress payments to the prime contractor within 30 days after receipt of an undisputed request for payment. The prime contractor, in turn, must pay its subcontractors within 10 days of receiving payment. For private projects, the owner must pay the prime contractor within 21 days after receipt of an undisputed request for payment, and the prime contractor must pay the subcontractors within 10 days of receiving payment. If payments are not made within these time frames, interest penalties may apply. The federal Prompt Payment Act also applies to federal construction projects, requiring federal agencies to pay contractors within a specified time frame and providing for interest penalties on late payments.