{"id":988,"date":"2020-09-15T07:00:26","date_gmt":"2020-09-15T11:00:26","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=988"},"modified":"2024-04-25T23:20:29","modified_gmt":"2024-04-26T03:20:29","slug":"how-to-file-a-mechanics-lien","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/how-to-file-a-mechanics-lien\/","title":{"rendered":"How to File a Mechanic\u2019s Lien"},"content":{"rendered":"\n
\"Image<\/figure><\/div>\n\n\n\n

When businesses don\u2019t get paid for working at someone\u2019s\nhome, their super power is the mechanic\u2019s lien. Recorded in the county where\nthe work is done, it attaches to the title of the home. The last thing a\nhomeowner wants is a cloud on the title. Liens make a home hard to sell, to borrow\nmoney against, or to refinance until the lien is resolved. So, warning the\nclient of an intent to record a lien usually has the desired effect: the client\npays the bill.<\/p>\n\n\n\n

Strong stuff! It\u2019s said that Thomas Jefferson<\/a> introduced the mechanic’s lien into U.S. legal practice, to encourage construction workers to build in the early days of the country. In those days, construction workers were called mechanics. Today, the instrument is interchangeably referred to as a mechanic\u2019s lien or a construction lien.<\/p>\n\n\n\n\n\n\n\n

Who Can File?<\/h2>\n\n\n\n

The mechanic\u2019s lien is simpler than suing to enforce a\ncontract, and is available to most any contractor who worked on, or supplied equipment\nor materials for, a job related to a permanent home improvement. There are\nlimits, though. For example, the Kansas construction lien law<\/a> allows filings\nfor \u201clabor, equipment, material or supplies\u201d insofar as they are \u201cused or\nconsumed at the site of the property\u201d involved. Suing under contract law is still available to the contractor,\nand can cover more scenarios and result in a higher payment. A lien can recover\nthe amount already due and left unpaid \u2014 not the entire job.<\/p>\n\n\n\n

Subcontractors too can file mechanic\u2019s liens against\nhomeowners to recover payment owed for finished work, even though the general\ncontractor is the party responsible for paying the subcontractor. If they\ncouldn\u2019t use a mechanic\u2019s lien, subcontractors providing work or supplies might\nlack leverage to make general contractors keep financial promises. A\nsubcontractor using a lien effectively holds the property owner responsible for\nkeeping the general contractor honest.<\/p>\n\n\n\n

But no matter who uses it, this super power should only be wielded after requests and warnings have failed to produce fair and agreed-upon payment. Beware of overstepping the law\u2019s bounds. Here\u2019s an example of a frivolous and excessive lien law<\/a>, from Washington state. It can force the contractor not only to show up in court, but also to pay costs and fees.<\/p>\n\n\n\n

What Kind of Notice is Required? <\/h2>\n\n\n\n

A valid lien follows a unique set of requirements of the state\nwhere the job is done. Contractors file in the county recorder\u2019s office or local\ncircuit court to claim their interest against the property. A subcontractor must\nfirst send a demand letter to the general contractor for the payment owed, and\nmay need to send a notice of intent to the homeowner, too. The homeowner needs\nto be given a certain number of days to pay the balance. Only then can the subcontractor\ncan file a lien.<\/p>\n\n\n\n

What kind of notices must you give during a work project to preserve\nyour right to file a lien for unpaid bills? Some states require:<\/p>\n\n\n\n