What is Joint Check Agreement in Retail? Explained

A Joint Check Agreement is a contractual arrangement involving multiple parties. Typically, it involves a contractor, subcontractor, and sometimes the project owner. In a Joint Check Agreement, payments are issued jointly to the subcontractor and the supplier of materials or services. This mechanism helps ensure that funds intended for the subcontractor are used to pay the supplier directly. This agreement adds a layer of financial protection and transparency in construction projects, mitigating the risk of non-payment to suppliers and fostering a collaborative payment process within the contractual framework.