The Sworn Statement is an itemized list of all individuals who have provided improvements, materials or labor and an accounting of all monies due to them.

A homeowner, upon paying the contractor, should expect him or her to pay the subcontractors, suppliers or laborers on the construction project. The Sworn Statement indicates who is owed money, the amounts, and for what supplies or work done. This gives an official record of the items for which the contractor is billing the homeowner.  By law, the contractor shall provide a sworn statement to the owner or lessee, when the contractor request payment or when a demand for the sworn statement has been made by or on behalf of the owner or lessee.

On receipt of this Sworn Statement, the owner or lessee or their designee, must give notice of its receipt, either in writing, by telephone or personally to each subcontractor, supplier or laborer who has provided a Notice of Furnishing under Section 109 or if a Notice of Furnishing is excused under Section 108 or 108A, to each subcontractor, supplier or laborer who has provided a Notice of Furnishing or who is named in the sworn statement makes a request, the owner, lessee or designee shall provide the requestor a copy of the sworn statement within 10 business days after receiving the request.

Homeowners please note: If you choose to pay a subcontractor, supplier or laborer directly without obtaining a Sworn Statement, you are taking a risk! Be sure to obtain one before making any payments to avoid having to pay twice if any problems should arise later.

• Sworn Statement should list each subcontractor, supplier or laborer that the contractor or subcontractor is contracting with to complete the project while giving a detailed accounting the monies owed or spent
• Contractor should provide a completed Sworn Statement to the owner or lessee upon request for payment, or upon request by or on behalf of the owner or lessee
• Subcontractor should also provide a Sworn Statement if requested by the owner or lessee
• Subcontractors should provide a Sworn Statement to the general contractor upon their request for payment
• Upon receipt of the Sworn Statement, the homeowner, lessee or their designee must provide notice to each subcontractor, supplier or laborer (in writing, by telephone or personally) who provided a Notice of Furnishing or if the Notice of Furnishing is excused, to each subcontractor, supplier or laborer who is listed on Sworn Statement.  If any of those persons makes a formal request for the sworn statement, the owner, lessee or designee must provide a copy within 10 business days.
• A contractor or subcontractor giving false information on a Sworn Statement, with the intent to defraud, is guilty of a crime.  Depending on the amount involving the false information and/or if there has been any previous convictions involving giving false sworn statements, contractors or subcontractors found guilty of a misdemeanor or felony; can face from 93 days to 10 years imprisonment and/or files from $500.00 to $10,000.00.  Fines can also be set at 3 times the statement amount whichever is greater

PLEASE NOTE:  INFORMATION PROVIDED INCLUDES CHANGES TO THE CONSTRUCTION LIEN ACT,
PURSUANT TO PA 497 OF 2006 AND PA 572 OF 2006.