756-D - Exceptions for failure of lender to disburse funds.

§  756-d. Exceptions for failure of lender to disburse funds. The date  of payment required by the owner, the  contractor  and/or  subcontractor  pursuant  to section seven hundred fifty-six-a of this article, shall be  extended  to  the  seventh  day   after   the   owner,   contractor   or  subcontractor,  as  the case may be, receives loan proceeds necessary to  make such payment in the event that:    1. the owner, contractor or subcontractor, as the  case  may  be,  has  obtained  a  loan  intended  to  pay for all or part of the construction  contract;    2. the owner, contractor or subcontractor, as the  case  may  be,  has  timely requested disbursement of proceeds from that loan; and    3.  the  lender  is legally obligated to disburse such proceeds to the  owner, contractor or subcontractor, as the case may be, but  has  failed  to do so in a timely manner.