Table of Contents
Retention
Description
The retention is a portion of the increase in value of an advance invoice that the client may withhold during the construction phase for the duration of performance claims against the contractor.
The retention is usually a percentage, but fixed amounts are also possible. The amount can be based on the net or gross amount of the respective partial invoice. The type and amount of the retention is contractually agreed.
Withdrawals do not have their own due date. They are value added by submitting a partial final or final invoice and receive their due date. Retentions in the Customer open item list listed as an open amount.
similar terms
Execution guarantee, contract performance guarantee