The Construction Trust Fund Act, which imposes a trust on all money paid for public construction projects until all performance claims are fully paid, extends beyond those who are in the direct contractual chain to those who come into possession of funds generated from public projects knowing their source; here, where defendant-third party participated in the diversion of funds paid to the contractor for public projects knowing of their source, the decision finding him in violation of the Act is affirmed.
July 19, 2004 at 12:00 AM
1 minute read
The original version of this story was published on New Jersey Law Journal
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