What happens after a contractor notifies the property owner of their right to file a lien? Generally, upon the project's conclusion, the owner responds by filing a notice of completion with the local recording office.
A notice of completion under Alaska Statute 34.35.071 announces the date of completion of a project under contract. The title holder records the notice in the office of the recorder in the recording district where the affected property is located, but only after the completion of the project. The notice is ineffective if recorded before completion (AS 34.35.071(d)).
A recorded notice of completion initiates the period in which a potential claimant may file a claim of lien. The total time a potential claimant has for filing a lien depends on whether the claimant has given notice of right to lien and whether the owner has given proper notice of his intent to record the notice of completion.
The owner files a notice of completion in the district recorder's office where the property is located, in addition to giving five-days' notice (notice of intent to file) before recording to all claimants who have given a notice of right to lien at least 10 days prior to the notice of completion (AS 34.35.071). If the owner served the claimant with a notice of intent prior to filing the notice of completion, the claimant must file a response within 15 days. Without advance notice, this time expands to 120 days. Therefore, best practice dictates that it makes sense to provide notice of intent.
In addition to the date of completion, an effective notice of completion states the name and address of the property owner, the nature of the owner's interest or estate in the property, a complete legal description of the property, and the name of the general contractor. A notice of completion must be signed and verified by the property owner (AS 34.35.071(b)). Before recording documents, ensure the notice meets standards of form and content as required by AS 40.17.030.
Consult an attorney with questions about using a notice of completion, mechanic's/construction liens, or for any other issues related to real property in Alaska.
Deeds.com Alaska Notice of Completion Forms Have Been Updated as Recently as Monday January 20, 2020
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Select Borough or Census Area where the property is located.