Education · Contract surety · Liens & payment · US and Canada
How to make a payment bond claim: a guide for subcontractors and suppliers (US and Canada)
How to make a claim on a payment bond: Miller Act claim notice, who can claim, what to send the surety, CCDC 222 and Ontario Form 31 timing. Education only.
How to make a payment bond claim: a guide for subcontractors and suppliers (US and Canada)
Last verified: October 11, 2026 (PT) · Published: October 13, 2026
Education only / verify at source / not legal advice. Payment bond deadlines are strict, and whether you qualify depends on the bond actually issued, the statute behind it and the facts of your job. Global Guarantors publishes industry education from public statutes, regulations and published bond forms. We aren't a surety, broker or law firm, and we don't file claims. Confirm with counsel or the bond's own terms before relying on any date on this page.
If you're a subcontractor or supplier and you haven't been paid on a bonded construction job, you may have a claim against the payment bond. A payment bond (in Canada, usually a labour and material payment bond) is a promise by the contractor and its surety that the people who supply labor and material to the project will be paid. When the contractor doesn't pay, the bond gives you somewhere else to go.
A payment bond claim isn't automatic, though. It lives or dies on three questions:
Are you a covered claimant under the bond or the statute that requires it?
Did you give the right notice, to the right party, on time?
Did you sue within the bond's or the statute's time limit, in the right court?
This guide works through those questions for the US federal Miller Act, a typical US private bond (the AIA A312-2010), and in Canada the CCDC 222-2024 standard form and Ontario's Form 31 for public contracts. It ends with a ten-step claim checklist, a quick-reference table and FAQs.
What a payment bond claim is (and what it isn't)
A payment bond has three parties. The principal is the bonded contractor. The surety backs the contractor's promise. The obligee is the owner that requires the bond. The people the bond really protects are the unpaid subcontractors, suppliers and workers, whom the bond or statute calls claimants and defines precisely.
A payment bond claim is a claimant's demand that the surety pay what the principal owes for labor or material that went into the project. It isn't an insurance claim. If the surety pays, it expects to be repaid by the principal and its indemnitors. Our surety vs insurance explainer covers that difference, and surety claims basics covers conditions precedent and how sureties investigate.
Three framing points:
The surety stands behind the principal's payment obligation, not beyond it. It will ask the principal for its position, and if the principal disputes the amount (back-charges, unapproved changes), the surety can dispute it too.
It's a safety net, not a lever. The Associated General Contractors of America's claims guide (a secondary industry source hosted by the Surety & Fidelity Association of America) describes the bond as a safety net against a credit decision gone wrong, not a tool to pressure a contractor over an amount honestly in dispute.
The bond is capped. Once the surety has paid its penal sum (the bond amount) across all claimants, its liability generally ends.
Who can claim: tiers and "claimant" definitions
A first-tier claimant contracts directly with the prime contractor. A second-tier claimant contracts with one of the prime's subcontractors. Each framework draws the line in a different place.
US federal (Miller Act). First and second tier are protected. The second tier is someone with a direct contract with a subcontractor but no contract, express or implied, with the prime (40 U.S.C. § 3133(b)(2)). More remote tiers are outside the bond: in J.W. Bateson Co. v. United States ex rel. Board of Trustees (1978), the Supreme Court held that "subcontractor" means someone who contracts with the prime, and in Clifford F. MacEvoy Co. v. United States ex rel. Calvin Tomkins Co. (1944) it held that a supplier to a mere supplier of the prime can't recover.
US private (AIA A312-2010). Public summaries (secondary sources) say the 2010 edition broadened the claimant class from the 1984 form's first- and second-tier definition to anyone who may assert a mechanic's lien. Standard forms are sometimes modified, so read the bond.
Canada (CCDC 222-2024). Only persons with a direct contract with the Principal for labour, material or both: first tier only. Defined utilities and rental equipment count, with rent-to-own equipment limited to its prevailing rental value.
Ontario public contracts (Form 31). Broader. It covers Subcontractors (direct with the Contractor) and Sub-subcontractors (direct with a Subcontractor), plus unions and workers' trust funds for unionized workers. A sub-subcontractor's entitlement is capped at what the Contractor would have owed it under the Construction Act, and the form says a sub-subcontractor doesn't need to have preserved or perfected a lien.
Who can claim depends on the bond form and your tier. Private and state bonds vary; read the bond.
US federal jobs: the Miller Act claim, step by step
The Miller Act (40 U.S.C. §§ 3131–3134) requires payment bonds on federal construction because liens can't attach to federal property, a point the Supreme Court made in Bateson, citing F.D. Rich. The bond takes the place of the lien.
When there's a bond. The statute's text says contracts over $100,000 (§ 3131(b)); the FAR applies the inflation-adjusted $150,000 (FAR 28.102-1(a)). For contracts over $35,000 and up to $150,000, the contracting officer picks two or more alternative payment protections, such as a payment bond, an irrevocable letter of credit or a tripartite escrow (FAR 28.102-1(b)). So a small federal job may not carry a surety bond at all. The payment bond generally equals the total contract amount unless the contracting officer makes written findings, and it can't be less than the performance bond (§ 3131(b)(2)).
First tier. The statute requires no notice from a first-tier claimant, though your subcontract may. If you haven't been paid in full within 90 days after the day you last performed labor or supplied material for which you claim, you may sue on the bond (§ 3133(b)(1)).
Second tier. You must give written notice to the prime contractor within 90 days from your last labor or material (§ 3133(b)(2)). It must state with substantial accuracy the amount claimed and the name of the party you furnished material to or worked for. Serve it either:
by any means giving written, third-party verification of delivery to the contractor at any place it keeps an office or does business, or at its residence; or
in any manner the U.S. marshal for the project's district may serve a summons.
Notice only to the surety, or only to the sub that hired you, may not satisfy the statute. Copy the surety if you like, but the Miller Act notice goes to the prime.
Suit. It must be brought in the name of the United States for the use of the claimant ("United States ex rel. [claimant]"), in the U.S. District Court for a district where the contract was to be performed, regardless of amount (§ 3133(b)(3)), and no later than one year after your last labor or material (§ 3133(b)(4)). The government bears no costs (§ 3133(b)(5)). Our news note on a late Miller Act suit in Florida, listed under Related reading, shows what a missed year costs.
Waivers. A waiver of your right to sue on the bond is void unless it's written, signed by you and executed after you've furnished labor or material (§ 3133(c)). A pre-work waiver in a subcontract doesn't remove federal bond rights.
For state "little Miller Acts" and the wider federal picture, see our Miller Act and little Miller Act guide. Confirm with counsel or the bond's own terms.
Getting a copy of the payment bond
You can't claim on a bond you haven't read. Get a copy early, ideally before you deliver anything.
Federal jobs:
Certified copy on affidavit. The agency must furnish a certified copy of the payment bond and the contract to anyone who submits an affidavit that they supplied labor or material and weren't paid, or are being sued on the bond (40 U.S.C. § 3133(a); FAR 28.106-6(c)). A preparation fee may apply. The copy is prima facie evidence of the original's contents, execution and delivery.
Surety name and address. The contracting officer must give it, on request, to any sub or supplier that has furnished or been asked to furnish labor or material (FAR 28.106-6(b)).
Before you sign. For non-commercial contracts, the contracting officer must promptly give the surety's name and address, the penal amount and a copy of the bond on written or oral request from a sub or supplier, including a prospective one, for a reasonable fee (FAR 28.106-6(d)).
From the prime. FAR 52.228-12, used in Miller Act-bonded contracts other than for commercial products or services, requires the prime to promptly give a copy of the payment bond to a prospective sub or supplier that asks.
The GSA's Miller Act pamphlet (agency guidance, revised August 2009) suggests giving the contracting officer the prime's name, a project description and the contract number. The standard federal construction payment bond form is Standard Form 25A (FAR 28.106-1(c)); our SF 25A wording card is listed under Related reading.
Private and Canadian jobs. This page doesn't cover an equivalent statutory right. The National Association of Surety Bond Producers' FAQ (secondary) suggests asking the general contractor or owner for the fully executed bond, preferably before you ship. The CCDC 222-2024 and Form 31 claim schedules both list a copy of the executed bond among suggested enclosures.
What goes in a claim package
Notice preserves your rights; the package gets you paid. This list draws on the suggested-enclosures lists in the CCDC 222-2024 and Ontario Form 31 notice schedules (described, not reproduced), public summaries saying the AIA A312-2010 "Claim" calls for eight categories of information (secondary), and the AGC guide (secondary).
The bond: number, surety, principal, obligee, penal sum.
Your subcontract or purchase order, with approved and pending changes.
The prime contract and project identifiers, if available.
All invoices, plus a reconciliation.
All payments received, plus a reconciliation showing how each was applied.
Proof of your last day of work or supply: delivery tickets, daily reports, timesheets, rental logs.
Notices and correspondence, including any notice of non-payment to the principal.
Schedules, original and latest, where relevant.
Any lien, adjudication or court filings.
A named contact for the surety.
The surety will ask the principal for its side. Per the AGC guide (secondary), anything showing the principal acknowledged the debt, like an approved pay application or signed change order, tends to speed review. Keep a record of what you sent and when.
What to gather before you file a payment bond claim.
Step-by-step payment bond claim checklist
A general sequence, not advice on your claim. At every step, confirm with counsel or the bond's own terms.
On the first missed payment, identify the bond. Public or private? Federal, state or provincial? Get a copy.
Work out your tier against the bond's or statute's claimant definition.
Fix your last-furnishing date from your records: the last day of contract work or material. Whether punch-list, corrective or warranty work moves it is fact-specific; ask counsel. Don't make a site trip just to create a later date.
Calendar every clock. Miller Act: second-tier notice in 90 days and suit in one year, both from your last furnishing. CCDC 222-2024 and Form 31: Notice of Claim in 120 calendar days; suit within one year after the contractor's last work, including warranty work. State and private bonds have their own.
Send written notice the right way. Miller Act second tier: to the prime, with third-party-verified delivery or marshal-style service. CCDC 222-2024: to the surety, copied to principal and obligee, by registered mail, fax or email to the bond's addresses. Form 31: the same, copied to contractor and owner.
Send the claim package to the surety's address on the bond, and keep proof of delivery.
Track the surety's clock. CCDC 222-2024 and Form 31 (subcontractors): acknowledgement in 3 business days; position by the earlier of 10 business days after your information or 25 after the notice; undisputed amounts paid within 10 business days of the position. Form 31 sub-subcontractor claims: 15 and 35. AIA A312-2010 (per public summaries): 60 days.
Keep lien and adjudication rights alive in parallel. Don't let a bond claim lull you past a lien deadline.
Diary the suit deadline and involve counsel well before it.
On payment, expect a release. Under CCDC 222-2024 and Form 31, the surety is subrogated to your rights for what it paid, and you extend your warranties on the paid work to it.
US private and state jobs: AIA A312 and little Miller Acts
Private projects. No federal statute stands behind a private payment bond; the bond's wording and state law govern. Many private jobs use the AIA A312-2010, a copyrighted form. We don't reproduce it. These points come from public summaries:
AIA Help Center (publisher summary). A312-2010 is two separate bonds. The payment bond assures the contractor's labor and material bills are paid, limited by the bond amount. It has mediation and arbitration provisions and replaced the A312-1984, which expired December 31, 2011.
ACS Lawyers (J. Ahlers, February 2011; secondary). The 2010 payment bond requires a written "Claim" with eight categories of information (§16.1, per the summary) before the surety's obligations arise. The surety has 60 days to respond; missing that doesn't waive its defences but, under §7.3 (per the summary), exposes it to the claimant's later attorney fees. Under §12 (per the summary), suit must be filed within the earlier of one year after submitting the Claim or one year after last performing work, so continued punch-list work after a Claim may not extend the limit.
Claimants without a direct contract with the contractor may face an earlier notice requirement. Read the bond.
Our AIA A312-2010 wording card is listed under Related reading.
State and local public work. Most states have a "little Miller Act" with its own tiers, notice, service and suit rules. We don't summarize them here; start with the Miller Act and little Miller Act guide linked above. For one state rewriting its procedure, see Colorado SB26-074 payment bond claims. Confirm with counsel or the bond's own terms.
Canada: CCDC 222-2024 and Ontario Form 31
Canada has no single federal Miller Act. Labour and material payment bonds are usually required by contract, often on a CCDC form, or, for Ontario's public sector, by statute.
CCDC 222-2024 labour and material payment bond
CCDC 222 is the Canadian Construction Documents Committee's copyrighted standard labour and material payment bond, approved by the Surety Association of Canada (SAC). This summary draws on SAC's public specimen and its "CCDC Bond Forms 2024" page. See also our CCDC 222-2024 wording card.
Who's a claimant: direct contract with the Principal only.
When you can claim: once unpaid after payment was due under your contract. According to the Surety Association of Canada's "CCDC Bond Forms 2024" page, the 2002 edition's bar on claiming before 90 days after your last work has been removed.
Notice deadline (condition precedent):120 calendar days after your last labour or materials; for holdback, 120 calendar days after you should have been paid in full.
How: a written Notice of Claim (the bond's Schedule A) to the Surety, copied to the Principal and Obligee (the Schedule A template's copy line lists only the Principal, but the bond's notice clause requires both), by registered mail, fax or email to the bond's addresses, with deemed-receipt rules. With co-sureties, the first-listed surety is enough. The Schedule A template also recites that you've given the Principal the notice your subcontract requires, so check that clause too.
Surety's response: 3 / 10-or-25 / 10 business days, with reasons for any disputed amount.
Suit (condition precedent): within one year after the Principal last performed work on the contract, including warranty work, counted from the contractor's last work, not yours. In Québec, coverage ends one year after that date. Suit goes to a court where the work is.
Also: where a claimant can't sue directly, the obligee holds the bond in trust; the obligee needn't tell claimants the bond exists; the surety's liability is capped at the bond amount, and it may seek court direction if claims exceed it.
Some owners still specify CCDC 222-2002, with different timing. Check which edition was issued on your job.
Ontario public contracts: the Form 31 payment bond
Section 85.1 of Ontario's Construction Act requires contractors on public contracts (the Crown, municipalities, broader public sector organizations) to furnish a labour and material payment bond that extends protection to subcontractors and labour and material suppliers, plus a performance bond; architects and engineers are excepted. Under O. Reg. 304/18, this applies at a contract price of $500,000 or more, with coverage of at least 50% of the contract price (above $500 million, the owner sets at least $250 million, subject to a balancing test). Under O. Reg. 303/18, the payment bond is Form 31 (2025/11); Form 32 is the companion performance bond. Section 85.2 gives a right of action against surety and principal on default, per the bond's terms.
Form 31 tracks CCDC 222-2024 timing, with differences:
Broader claimants: subs, sub-subs, unions and trust funds.
Two notice schedules: A for subs, B for sub-subs, each to the Surety copied to Contractor and Owner (Schedule B's own copy line lists the Contractor and the hiring Subcontractor but not the Owner; section 3 of the bond requires copies to the Contractor and Owner, so copy all three).
Same 120-day rule, including holdback.
Sub-sub response time: 15 and 35 business days instead of 10 and 25.
Adjudication: if a notice of adjudication covers substantially the same subject, the surety's obligations are stayed until the determination; a surety that pays on an interim determination can later sue for a final one.
Ontario court and law; suit within one year after the Contractor's last work, including warranty. Surety address changes are posted on the Financial Services Regulatory Authority of Ontario website.
Other provinces and federal Crown work differ. Read the bond and tender documents.
Miller Act suit runs from the claimant's last furnishing; CCDC 222 / Form 31 suit runs from the contractor's last work, including warranty.
Bond claim vs lien claim
A lien is statutory security against the land or, in Canada, the holdback. In Ontario, a lien generally must be preserved within 60 days under section 31 and perfected within 90 days after the last day it could be preserved (s. 36(2)); our Ontario holdback guide (Related reading) covers the rest. No lien attaches to US federal property, which is why the Miller Act exists.
A bond claim is against the surety's promise, with its own notice and suit clocks.
They can run in parallel. Both CCDC 222-2024 and Form 31 list any claim for lien among suggested enclosures, and Form 31 doesn't require sub-subs to preserve a lien. Don't assume one protects the other. Confirm with counsel or the bond's own terms.
A lien bond is different again: security posted to vacate a registered lien so the lien charges the security instead of the land. See our hub on lien bonds in Canada.
Lien vs bond claim: different security, different clocks.
Common mistakes that sink payment bond claims
Wrong tier: a third-tier supplier on a federal job, or a second-tier sub under CCDC 222, may not be a claimant.
Wrong recipient: Miller Act second-tier notice goes to the prime, not just the surety.
No proof of service: keep third-party delivery verification or the bond's required method.
Wrong start date: notice clocks run from last labor or material, not invoice date; suit clocks may run from a different date (yours under the Miller Act, the contractor's under CCDC 222-2024 and Form 31).
Negotiating past a deadline: a promise of payment doesn't stop the clock.
Wrong court or caption: a Miller Act suit is "United States ex rel." in federal district court.
Pre-work waivers: void under the Miller Act (§ 3133(c)); private bonds and state law differ.
Assuming unlimited cover: liability is capped at the bond amount, which other claims may use up.
Quick reference: US vs Canada
Miller Act (US federal)
AIA A312-2010 (US private; per public summaries)
CCDC 222-2024 (Canada)
Ontario Form 31 (public contracts)
Who can claim
First and second tier
Anyone who may assert a mechanic's lien
Direct contract with Principal only
Subs + sub-subs (+ unions / trust funds)
Notice
Second tier: written, to the prime, within 90 days of last furnishing
"Claim" to surety; non-direct claimants: read the bond
To surety (copy Principal + Obligee) within 120 calendar days; holdback 120 days after due
Same 120-day rule; Schedule A (sub) / B (sub-sub)
Suit
Within 1 year after your last furnishing; U.S. District Court; "United States ex rel."
Earlier of 1 year after Claim or after last work
Within 1 year after Principal's last work incl. warranty; court where work is
Same; Ontario court
Surety response
Not set by statute
60 days
3 / 10-or-25 / 10 business days
Same for subs; 15 / 35 for sub-subs
Getting the bond
§ 3133(a); FAR 28.106-6; FAR 52.228-12
Ask contractor or owner
Ask Principal or Obligee
Ask Contractor or Owner
Private and state bonds vary. Confirm with counsel or the bond's own terms.
FAQs
Can I claim before the job is finished?
Often, yes. Miller Act clocks run from your last furnishing, not project completion. Under CCDC 222-2024, you may give notice once payment is overdue; SAC says the 2002 form's 90-day wait is gone.
I supply a supplier. Am I covered?
On a federal job, generally not (MacEvoy). Private and state bonds define claimants their own way.
Do I have to tell the owner?
Miller Act second-tier notice goes to the prime. CCDC 222-2024 and Form 31 notices go to the surety, copied to owner and contractor.
Is the surety my insurer?
No. It backs the contractor's promise and expects repayment from the contractor. See the surety vs insurance explainer under Start here.
Does a bond claim replace my lien rights?
Not necessarily. They're separate remedies with separate deadlines.
What to verify at the source
The executed bond on your job: its claimant definition, notice addresses and deadlines.
The CCDC 222 edition: 2002 and 2024 timing differs.
AIA A312-2010 notice for claimants without a direct contract with the contractor. Read the bond.
Whether later work moves your last-furnishing date. Ask counsel.
State and other provincial rules, which this page doesn't cover.
Guardrails
Forms described, not reproduced. CCDC 222-2024 and AIA A312-2010 are copyrighted. Read the bond actually issued for exact wording.
AIA A312-2010 points come from public summaries (AIA Help Center; ACS Lawyers), labeled as secondary.
No state little Miller Act deadlines and no timelines for provinces other than Ontario appear on this page.
No premiums, ratings, carrier names or typical payout times are stated or implied.
No notice-letter template. The checklist lists contents, not wording.
Not legal advice. Deadlines are strict and fact-specific.
Ontario Form 31, Labour and Material Payment Bond under Section 85.1 of the Act (rev. 11/25) — Ontario Court Forms
FAR 28.106-1 (bond forms; SF 25A, Payment Bond) — acquisition.gov
Association source
Surety Association of Canada, "CCDC Bond Forms 2024" (removal of the 2002 edition's 90-day restriction on advancing a claim; surety response timelines) — SAC
Agency guidance
U.S. General Services Administration, Public Buildings Service, "The Miller Act" (pamphlet, rev. August 2009; guidance, not regulation) — GSA PDF
Secondary (industry and publisher summaries)
AIA Contract Documents Help Center, "Summary: A312-2010 Performance Bond and Payment Bond" — AIA
ACS Lawyers (J. Ahlers), "2010 AIA Revisions to A312 Payment and Performance Bonds" (February 24, 2011) — ACS Lawyers
Associated General Contractors of America, "The Contract Surety Bond Claims Process" (April 2014; hosted by SFAA) — PDF
National Association of Surety Bond Producers, producer FAQ and "What to do when a subcontractor client isn't getting paid" — FAQ PDF · Pipeline article
Global Guarantors is an educational reference, not a surety, broker or law firm. Deadlines are strict and fact-specific. Confirm with counsel or the bond's own terms.
