For general contractors working in Virginia, 2023 marks the end of one of the more prolific contractual rights available—the pay-if-paid defense. Until now, pay-if-paid clauses were a valid means of shifting to subcontractors the risk of owner insolvency or wrongful withholding. In the spirit of freedom of contract, Virginia courts historically held that unambiguous language rendering owner payment a condition precedent to the contractor’s duty to pay subcontractors was enforceable.[1] Not any more. Under the new statutory regime, contractors must pay subcontractors regardless of whether the owner has timely made payment to them. Notably, however, contractors retain general withholding rights arising out of subcontractor default and, on private projects, have been afforded a new 60-day pay period in which the owner is obligated to deliver progress payment or notify them of withholding.…