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Does a Lien Affect Your Credit Score?

Levelset

If you receive a notice that a lien has been filed on your property, you may wonder how it will affect your credit score and your ability to borrow money or get credit. Mechanics liens are different from other collection instruments, so they are treated differently when it comes to reporting on your credit history. What is a lien?

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You Risk Paying Twice When Sub-Contractors Don’t Pay Their Bills

Wolgast Corporation

Liens Can Wreak Havoc on Funding. On top of that, that they expect you, the owner, to guarantee to the Bank and the Title Company that the project will be lien-free during construction. The lien laws protect people that supply the resources to build a building. By Brian Stadler, Wolgast President & CEO. Why should you care?

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Is Filing a Lien or Bond Claim Risky?

Construction Equipment

When a construction company has difficulty getting paid, state laws allow it to file a bond claim or mechanics lien. Nate Budde, chief legal officer for zlien , discusses the importance of providing preliminary notice and the risks of filing the claim. Read Budde's advice on protecting your company from nonpayment here.

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What Contractors Need to Know About Surety Bonds

Construction Marketing

Surety bonds are financial guarantees that are issued to ensure the individual or company who obtains the bond will perform work in a legally compliant manner and will avoid fraud and misconduct. Surety – The bonding company that guarantees the principal’s ethical operations and legal compliance by issuing the bond.

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7 Things Contractors Need to Know About Retainage

Fieldwire

The practice dates back to the 1840s, dreamed up as a measure to reduce the owner’s risk and ensure that the project is fully completed according to the job specifications. Retainage does not extend the mechanics lien deadline A mechanics lien is perhaps the most powerful tool that contractors have to force payment.

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Virginia Joins 11 Other States Prohibiting Pay-If-Paid Clauses in Construction Contracts

Best Practices Construction Law

shifting the risk of nonpayment … “Payment from the Owner to the Contractor is a condition precedent to payment from the Contractor to the Subcontractor.”). Generally, most states that have addressed the issue allow “pay if paid” clauses so long as there is clear and unambiguous language shifting the risk of non-payment to the subcontractor.

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constructionattorneyblog: illinois supplier denied mechanics lien

Construction Lawyer

His book, Legal Guide to AIA Documents, published by Aspen Publishing, is in its fifth edition. The information provided here is not intended to be a solicitation for legal services, nor does it constitute legal advice. In other words, you use the stuff we post here at your own risk. A Legally Inclined Weblog. >.

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