US2006271478A1PendingUtilityA1

Construction payment management system and method with hierarchical invoicing and direct payment features

59
Individually held — no corporate assignee on recordPriority: Jun 29, 2004Filed: Jul 12, 2006Published: Nov 30, 2006
Est. expiryJun 29, 2024(expired)· nominal 20-yr term from priority
Inventors:Patrick J. AllinCharles C. CherryWilliam H. EichhornMichael FlynnHoward L. NidenRichard PedersenMatthew R. Bagley
G06Q 40/03G06Q 30/04G06Q 20/102G06Q 20/14G06Q 50/16G06Q 40/04G06Q 40/06G06Q 10/06313G06Q 30/00G06Q 10/0631G06Q 10/00G06Q 10/103G06Q 50/08G06Q 20/40G06Q 40/12G06F 3/0484G06Q 40/00G06Q 40/02G06Q 10/06G06Q 20/10
59
PatentIndex Score
0
Cited by
0
References
0
Claims

Abstract

A system and method for managing a construction payment process. One method embodying the invention can include creating an electronically-executed first request for payment on behalf of a first participant in a construction project, transmitting the first request for payment to a second participant in the construction project, creating an electronically-executed second request for payment based on the first request for payment, transmitting the second request for payment to a payment source in the construction project, directing transmitting a payment to the second participant from the payment source, and directly transmitting a payment to the first participant from the payment source.

Claims

exact text as granted — not AI-modified
1 . A method of managing a construction payment process, the method comprising the acts of: 
 creating an electronically-executed first request for payment on behalf of a first participant in a construction project;    transmitting the first request for payment to a second participant in the construction project;    creating an electronically-executed second request for payment based on the first request for payment;    transmitting the second request for payment to a payment source in the construction project;    directly transmitting a payment to the second participant from the payment source; and    directly transmitting a payment to the first participant from the payment source.    
   
   
       2 . The method of  claim 1  wherein the electronically-executed first request for payment includes at least one of an electronically-executed invoice and an electronically-executed sworn statement.  
   
   
       3 . The method of  claim 1  wherein the electronically-executed second request for payment includes at least one of an electronically-executed invoice and an electronically-executed sworn statement.  
   
   
       4 . The method of  claim 1  wherein the payment source includes at least one of an owner, a lender, a title company, a general contractor, and a subcontractor.  
   
   
       5 . The method of  claim 1  and further comprising the act of receiving approval of the first request for payment from the second participant.  
   
   
       6 . The method of  claim 1  and further comprising the act of receiving approval of the second request for payment from the payment source.  
   
   
       7 . The method of  claim 1  and further comprising the act of reconciling the first request for payment based on a budget of the construction project.  
   
   
       8 . The method of  claim 1  and further comprising the act of reconciling the second request for payment based on a budget of the construction project.  
   
   
       9 . The method of  claim 1  and further comprising the acts of receiving a lien waiver from the first participant and storing the lien waiver.  
   
   
       10 . The method of  claim 9  wherein the received lien waiver corresponds to payment requested for a current draw.  
   
   
       11 . The method of  claim 9  wherein the received lien waiver corresponds to payment requested for a prior draw.  
   
   
       12 . The method of  claim 9  and further comprising the act of electronically executing the lien waiver.  
   
   
       13 . The method of  claim 9  wherein the act of directly transmitting payment to the first participant includes transmitting to a payment system an instruction to pay the first participant and receiving from the payment system an acknowledgement that the first participant has received funds.  
   
   
       14 . The method of  claim 13  and further comprising the act of substantially simultaneously releasing the lien waiver after receiving the acknowledgement.  
   
   
       15 . The method of  claim 13  wherein the act of transmitting to a payment system an instruction to pay the first participant includes generating an automated payment instruction and transmitting the automated payment instruction to at least one of an automated clearing house system, a wire transfer system, a debit card system, a credit card system, and a check generating system.  
   
   
       16 . The method of  claim 1  and further comprising the acts of receiving a plurality of lien waivers from a plurality of participants, storing each one of the plurality of lien waivers until all of the plurality of lien waivers are received, and transmitting an instruction to pay the plurality of participants when all of the plurality of lien waivers are received.  
   
   
       17 . The method of  claim 1  and further comprising the acts of receiving a plurality of lien waivers from a plurality of participants, storing each one of the plurality of lien waivers, and transmitting an instruction to pay each one of the plurality of participants when each one of the plurality of lien waivers is received.  
   
   
       18 . The method of  claim 1  and further comprising the acts of receiving a plurality of lien waivers from a plurality of participants, storing each one of the plurality of lien waivers, transmitting a first instruction to pay at least one of the plurality of participants when at least one of the plurality of lien waivers is received, and transmitting a second instruction to pay at least one other of the plurality of participants when all of the plurality of lien waivers are received.  
   
   
       19 . The method of  claim 1  and further comprising the acts of generating a budget for the construction project and automatically generating at least one of the first request for payment and the second request for payment based on the budget.  
   
   
       20 . The method of  claim 19  and further comprising the act of generating at least one of an automated sworn statement and an automated lien waiver based on at least one of the first request for payment and the second request for payment.  
   
   
       21 . A construction payment management system comprising: 
 an application server storing a draw module, the draw module generating an electronically-executed first request for payment on behalf of a first participant in a construction project, transmitting the first request for payment to a second participant in the construction project, generating an electronically-executed second request for payment on behalf of the second participant based on the first request for payment, transmitting the second request for payment to a payment source, directly transmitting a payment from the payment source to the first participant, and directly transmitting a payment from the payment source to the second participant.    
   
   
       22 . The construction payment management system of  claim 21  wherein the electronically-executed first request for payment includes at least one of an electronically-executed invoice and an electronically-executed sworn statement.  
   
   
       23 . The construction payment management system of  claim 21  wherein the electronically-executed second request for payment includes at least one of an electronically-executed invoice and an electronically-executed sworn statement.  
   
   
       24 . The construction payment management system of  claim 21  wherein the payment source includes at least one of an owner, a lender, a title company, a general contractor, and a subcontractor.  
   
   
       25 . The construction payment management system of  claim 21  wherein the draw module receives approval of the first request for payment from the second participant.  
   
   
       26 . The construction payment management system of  claim 21  wherein the draw module receives approval of the second request for payment from the payment source.  
   
   
       27 . The construction payment management system of  claim 21  and further comprising a budget module for reconciling the first request for payment based on a budget of the construction project.  
   
   
       28 . The construction payment management system of  claim 21  and further comprising a budget module for reconciling the second request for payment based on a budget of the construction project.  
   
   
       29 . The construction payment management system of  claim 21  and further comprising an electronic holding bin receiving and storing a lien waiver from the first participant.  
   
   
       30 . The construction payment management system of  claim 29  wherein the lien waiver corresponds to payment requested for a current draw.  
   
   
       31 . The construction payment management system of  claim 29  wherein the lien waiver corresponds to payment requested for a prior draw.  
   
   
       32 . The construction payment management system of  claim 29  and further comprising an electronic signature service to electronically execute the lien waiver.  
   
   
       33 . The construction payment management system of  claim 29  wherein the electronic holding bin receives a plurality of lien waivers from a plurality of participants and stores each one of the plurality of lien waivers until all of the plurality of lien waivers are received and wherein the draw module transmits an automated instruction to pay the plurality of participants when all of the plurality of lien waivers are received.  
   
   
       34 . The construction payment management system of  claim 29  wherein the electronic holding bin receives a plurality of lien waivers from a plurality of participants and stores each one of the plurality of lien waivers and the draw module transmits an automated instruction to pay each one of the plurality of participants when each one of the plurality of lien waivers is received.  
   
   
       35 . The construction payment management system of  claim 29  wherein the electronic holding bin receives a plurality of lien waivers from a plurality of participants and stores each one of the plurality of lien waivers and the draw module transmits a first instruction to pay at least one of the plurality of participants when at least one of the plurality of lien waivers is received and a second instruction to pay at least one other of the plurality of participants when all of the plurality of lien waivers are received.  
   
   
       36 . The construction payment management system of  claim 29  wherein the draw module directly transmits a payment to the first participant by generating and transmitting to a payment system an automated instruction to pay the first participant and by receiving from the payment system an acknowledgement that the first participant has received funds.  
   
   
       37 . The construction payment management system of  claim 36  wherein the draw module substantially simultaneously releases the lien waiver after receiving the acknowledgement.  
   
   
       38 . The construction payment management system of  claim 36  wherein the payment system includes at least one of an automated clearing house system, a wire transfer system, a debit card system, a credit card system, and a check generating system.  
   
   
       39 . The construction payment management system of  claim 21  and further comprising a budget module for generating a budget for the construction project.  
   
   
       40 . The construction payment management system of  claim 39  wherein the draw module generates at least one of the first request for payment and the second request for payment based on the budget.  
   
   
       41 . The construction payment management system of  claim 40  wherein the draw module generates at least one of an automated sworn statement and an automated lien waiver based on at least one of the first request for payment and the second request for payment.

Join the waitlist — get patent alerts

Track US2006271478A1 — get alerts on status changes and closely related new filings.

We store only your email — no account needed. See our privacy policy.