Mechanics Lien: The Process and the Costs

ProCore

You can place a mechanics lien against a property if you aren’t paid for services or materials you supplied. If the owner wants to sell, then the lien has to be paid first. There are many aspects to a mechanics lien that have consequences for the company or person filing one.

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Pain Free Lien Waivers For Contractors, Lenders And Title Companies

Contractor Bookkeeping

Podcast, and were very generous with their time and provided some extremely valuable insights for how you can streamline your lien waiver process. Lien WaiversToday's Guest Article Is From The Team At lienwaivers.io. Geoff Arnold, Luis Trejo And Sean Richardson were interviewed for the Contractors Success M.A.P. The article below is a recap of how it all works.

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Mechanics Lien Infographic

Construction Law Monitor

The Construction Lien Blog (published by me!) yesterday posted a neat infographic focused on the mechanics lien. The mechanic lien laws, however, actually made a great subject for such visualized data, and I invite you to take a look at it over on our blog or below. The mechanics lien infographic visualizes the mechanics lien laws, and also presents some data from a survey Zlien conducted of mechanics lien claimants who filed liens in 2011.

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The Importance Of Knowing Your Lien & Bond Rights

Construction Advisory Report

Lien and bond law is an important mechanism for protecting parties in construction law, and it continues to change on both the state and federal levels. State lien and bond laws are frequently enacted by piecemeal, causing the statutes to be redundant or inconsistent between provisions. Accordingly, it is critical that practitioners continually remain familiar Read more » Construction Claims attorney Bond Claims Cover Lien

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Is the Prospective Waiver of Lien Rights Conscionable?

Green Building Insider

By Bruce Jervis Mechanic’s liens usually provide contractors and subcontractors with their most effective form of payment security on private construction projects. But, contracts sometimes call for constructors to waive or limit their lien rights before they have even performed the work. Are these prospective lien waivers enforceable? The mechanic’s lien statutes in some states prohibit prospective waivers.

Sworn Statement of Amount Due – Louisiana’s Public Lien

Construction Law Monitor

Here at Wolfe Law Group , I have been blogging a lot lately on liens for both public and private projects ( See other posts here ). One way for a contractor who has a sub on any tier below it to cancel the Sworn Statement of Amount Due filed, is to “bond off” the lien.

How Do You Price a Mechanic’s Lien?

Green Building Insider

By Bruce Jervis A mechanic’s lien is a contractor’s best form of payment security on a private construction project. State lien statutes specify the timely steps a contractor must take, from notice to filing to foreclosure. But, what determines the appropriate amount of a lien: the initial filed demand, the reasonable value of the work, or the contract price? The increase reflected work performed, but not yet billed, prior to recording the lien.

When Is a Mechanic’s Lien ‘Willfully’ Exaggerated?

Green Building Insider

By Bruce Jervis Most state mechanic’s lien statutes provide that if a lien claimant willfully exaggerates the amount of its claim, the lien may be declared null and void. Mechanic’s liens provide lien claimants with tremendous leverage against project owners. This leads to a question: How does one determine that a mechanic’s lien claim was “willfully” exaggerated?

More Complaints about Company Mowing Yards without Permission, Placing Lien on Properties

Green Industry Professionals

The letter threatened that Golden Pylon will mow and landscape the yard, and place a lien on the property

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.

Louisiana Suppliers – Extra Notice Needed for Lien Rights

Construction Law Monitor

Over the past holiday season, I was at a Christmas party discussing with a friend of mine who runs an electrical supply company here in South Louisiana, the intricacies of notice provisions before a company like his can file a lien on a private project. This conversation got me thinking that I should report to the supply world what my friend did not understand… Here at the Wolfe Law Group we love liens. My office constantly invalidates liens that were not filed correctly.

Minor Changes To Mississippi Mechanic Lien Laws Now Effective

Construction Law Monitor

This post is to alert our readers to a recent change in Mississippi’s mechanic lien laws recently signed into law by Governor Barbour ( Senate Bill 2363 ). The new law is discussed in more detail on another blog I publish, the Construction Lien Blog: Mississippi Lien Law Now Allows Suit in County Court and Clarifies Statutory Lien Period. Mechanics Lien Mississippi MS Senate Bill 2363 Robert Wise Sharpe & Wise Suzanne Sharpe

Construction Contract Tip: Pay Attention to “Coordination and Cooperation ” Clauses

Best Practices Construction Law

Contract Docs assignment of construction contract Document Management forum selection clause governing law indemnification lien waiver Project Management Busy, busy, busy! I have reviewed five new construction contracts in the past two weeks.

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Bizarre Lien Foreclosure Case May Have Far-Reaching Effects in Washington

Construction Law Monitor

may have far-reaching consequences for claimants, property owners and construction attorneys foreclosing mechanic liens. Until the opinion was published last week, Washington lien law seemed pretty clear on two points: When you file a lien, you can name the owner or reputed owner; but when you foreclose the lien, the foreclosure must be against the actual owner; and. Read the post here: Foreclosing A Mechanic’s Lien in Washington Just Got More Confusing.

Louisiana Lien Waivers Made Simple

Construction Law Monitor

mechanic’s lien is a last-resort measure used by construction procurers to obtain payment withheld by a client. Whether you’re a contractor, supplier or equipment lessor, a mechanic’s lien waiver is an effective way to protect your clients from fraudulent liens.

Leasing Equipment in Louisiana? How To Protect Your Lien Claim

Construction Law Monitor

There is likely no answer for you under the lien law – unless you filed a notice of lease agreement with the owner within the appropriate time frame. Filing Requirements Louisiana Mechanics Lien Notice of Lease Preliminary Notices Private Works Act Public Works Act ZlienYou are in the business of leasing heavy equipment to contractors. You are beginning to provide more and more machinery to jobsites. You just hit your first snag with payment. What do you do?

Louisiana Lien Waivers Made Simple

Construction Law Monitor

A mechanic’s lien is a last-resort measure used by construction procurers to obtain payment withheld by a client. In this day and age, however, many clients harbor valid concerns about fraudulent liens, especially considering Louisiana’s loose requirements for filing a mechanic’s lien. Whether you’re a contractor, supplier or equipment lessor, a mechanic’s lien waiver is an effective way to protect your clients from fraudulent liens.

Lien Bill Introduced in Washington Legislature To Offset Williams v Athletic Field

Construction Law Monitor

Athletic’s Field took the Washington mechanic lien world by storm last year, when it declared a mechanic lien invalid even though the claimant used the specific form provided by the statute. Today, Representative Moeller introduced a bill “addressing the notice requirements for claiming a mechanics’ or materialmen’s lien,” leapfrogging the Washington Supreme Court to legislatively address the impact of Athletic’s Field. Williams v.

Construction Industry News From The Lien Zone

Constructonomics

Preliminary Notice and Mechanics Lien Compliance: How?

Construction Law Monitor

Offsetting these complexities are state laws that provide subcontractors and suppliers with “mechanics lien” rights. These rights have existed in the United States since Thomas Jefferson introduced the first lien legislation more than 220 years ago.

Mechanics Lien and Bond Claims Best Practices

Best Practices Construction Law

He is the founder of Zlien.com , a national mechanics lien filing and compliance management service. Scott writes the Construction Lien Blog , which analyzes construction lien laws and regulations across the nation. Understand Preliminary Notice Requirements and Lien Deadlines.

Mechanics Lien and Bond Claims Best Practices : Best Practices.

Best Practices Construction Law

PACE in Maryland is Not Keeping Pace

Green Building Law Update

Reduce cost of a PACE loan by eliminating the requirement that a PACE lien notice be recorded among the land records. Lower cost of a PACE loan by not collecting recordation tax on a PACE lien notice recorded among the land records.

Missed Your Lien Deadline – What Now?

Construction Law Monitor

True: deadlines dictate when it comes to securing your lien rights. In the construction world, there is no doubt that the deadlines for securing your lien rights are rigid and unforgiving. If you have not filed your lien by the applicable date, you have relinquished that right permanently. Liens Are One (Important) Part of a Bigger Picture. There is no overstating the significance of the mechanic’s lien. The “Back Door Lien”.

Your Mechanics Lien Resource Treasure Trove

Construction Law Monitor

Mechanics Liens used to be a cornerstone topic on this blog; meaning I would write an article about filings, foreclosing and/or litigating a mechanics lien quite frequently. In fact, over the years I sort of consider myself a “lien guy.” ” Insofar as construction law goes, mechanic lien and state or federal bond claims has sort of become my thing. So, where has all of the mechanic lien posts gone?!

Washington Law Protects Contractors from Dangers of Frivolous Lien Statute

Construction Law Monitor

A quick word from the construction law case files: The Court of Appeals, Division 1, out in Washington state, has refused to deem a construction lien as frivolous based upon the complexity of the construction contract at dispute. decided back in May of 2009, that the state’s “frivolous lien” statute, coded under RCW 60.04.081, requires a more in-depth analysis of factual circumstances surrounding the substance of the contract and the lien.

Do it Yourself Mechanics Liens Not a Good Idea

Construction Lawyer Blog

general mechanics liens news View Shawn Goodman''s article in the Spring, 2013, edition of Licensed Architect.

Does Corrective Work Extend a Lien Filing Period?

Green Building Insider

By Bruce Jervis State mechanic’s lien statutes invariably stipulate a deadline for filing a notice or statement of lien in the public records. The purpose is to enable a prospective purchaser or lender to determine whether the property is encumbered by a lien, which would take priority. Featured … Warranty Work Did Not Extend Lien Filing PeriodSeparate Litigation Did Not Excuse Failure to Furnish Bonds

Promises To Pay Mean Squat To Your Lien Deadlines

Construction Law Monitor

Owed money on a construction project, but weary about filing a mechanics lien because the owner or contractor is promising to pay? Well, as the promise to pay “tomorrow,” turns into “Friday,” and turns into “next week,” the time period available for you to file a mechanics lien continues to tick. It’s very important for contractors and suppliers to realize that these promises to pay do not extend the lien period. Your Mechanic Lien Was Bonded…Now What?

Can a Contractor “Prevail” on a Lien Without a Judgment

Green Building Insider

This is the case, in most states, for successful mechanic’s lien claimants. Featured…Contractor Paid through Arbitration – Recovers Attorney Fees under Lien StatuteDispute Can Be Litigated in State Other than Project LocationBy Bruce Jervis Parties to a dispute, under the so-called “American rule,” each pay for their own legal counsel.

Are Lien Waiver Requirements Consistently Enforced?

Green Building Insider

By Bruce Jervis It is standard for construction contracts to require that each payment application include affidavits and lien waivers.

Sports and Construction – Lessons Learned

Construction Law Monitor

When then end of the project rolled around, there would be no substantial competion filed, no adequate demand for payment , no lien filed or any other tool used to secure payment.

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Lenders in Washington May Not Be Able to Rely Upon Lien Release Forms in Light of a Recent Ruling

Responsible Developer

A recent lien foreclosure opinion published by Division II, Court of Appeals of the State of Washington, Shelcon Const. Haymond , 2015 WL 3419603 (2015), may cause construction lenders to examine their practice of wholly relying upon recorded lien releases and, moving forward, to seek further assurances from the releasing party that it has been paid in full. Approximately two years later on June 20, 2008, Shelcon recorded a mechanic’s lien in the amount of $303,291.29.

constructionattorneyblog: illinois supplier denied mechanics lien

Construction Lawyer Blog

illinois supplier denied mechanics lien. An Illinois appellate court has affirmed the trial court's summary judgment against a lumber company's mechanics lien. Hillside was then joined as a defendant because it had recorded a mechanics lien that alleged that the lumber company was owed more than $65,000 for materials used to improve the property. Hillside filed a counterclaim to foreclose its mechanics lien. mechanics liens. constructionattorneyblog.

Litigation Topics for Prime / Subcontractor Contracts

Construction Law Monitor

Lien Waivers. reduce the chance for encumbrances to be placed on the title of the property; Usually not enforceable if lien waiver required before work performed; A good tool for Prime and Owner to reduce exposure; Can be used in an incremental fashion as payments are distributed. I had a speaking engagement today here in Kenner, Louisiana (a suburb of New Orleans) whereby I had the pleasure of speaking to a group of contractors and architects regarding construction contracts.

Following the Williams Lien Case? You Should - Djc.com

Nuts and Bolts

Construction Commodities’ Prices Continue to Rise » Following the Williams Lien Case? The State Supreme Court is considering a case that could have significant ramifications for mechanic’s lien claims. Thousands of liens might be in violation of the law if that interpretation were to stand. . -->. « BNBuilders goes to bat in Arlington. You Should.

Two D.C. Contractors File Liens Against Trump For Unpaid Work

Construction Equipment

contractors who worked on President-elect Donald Trump's new 283-room hotel in the District have filed liens against Trump Old Post Office LLC and construction manager Lendlease US. Two Washington, D.C., Joseph J. Magnolia Inc. claims it is owed $2.98