Learn about mechanic’s liens

When you hire a mechanic, you trust them to perform a service on your behalf. You trust them to complete the work you’ve hired them to do, whether it’s something simple like changing the oil or more involved like rebuilding an engine. What occurs, however, if they fail to uphold their bargain? What can you do if a mechanic does a subpar job or doesn’t finish the work they were supposed to do?

Fortunately, legal recourse is available to you: filing a mechanic’s lien. This post will give you a rundown of a mechanic’s lien filing service. By the time you’re reading, you’ll know everything you need about this legal tool and whether or not it’s right for your situation.

Mechanics Lien: An Overview

It is frequently necessary to obtain mechanic’s liens to hire construction workers. The lien is in effect until the project is complete and all workers get paid.

It’s crucial to remember from an investment perspective that mechanic’s liens typically have a higher priority. This priority establishes the hierarchy of claims in foreclosure or repossession.

You can trace a mechanic’s lien’s conceptual roots back to early American history. Thomas Jefferson invented the lien to establish a landed gentry in the young country. He presented the Mechanics Lien Act to the Maryland legislature in 1791. Large tracts of productive land existed in the U.S., and a mechanic’s lien assisted citizens in commercializing the land and establishing farms. It is known as a mechanics lien.

A contractor may file a mechanic’s lien if a property owner fails to pay. A subcontractor may file a mechanic’s lien if a primary contractor fails to make timely payments for their work and materials.

For instance, to complete a section of a construction project, a contractor might hire a subcontractor to deliver and pour concrete. However, the property owner is not a party to the subcontractor’s agreement with the contractor.

The subcontractor may file a mechanic’s lien if the contractor doesn’t pay them for the concrete they supplied for the project. They would compel the owner to get involved because the lien would be against the property.

Components of a Mechanic’s Lien

The Notice of Intent to Lien

The first part of a mechanic’s lien is the notice of intent to lien. The contractor files the notice and gives the property owner notice that the contractor intends to file a lien if payment is not made. You must file the notice within 120 days after the last day of work performed on the property.

The Affidavit of Lien 

The second part of a mechanic’s lien is the affidavit of lien. The contractor files the affidavit after completing all work on the property and has yet to be paid. You must file the affidavit 180 days after the last day work was performed on the property.

The Claim of Lien 

The third and final part of a mechanic’s lien is the claim of a lien. The contractor files the claim of lien after receiving a notice from the property owner that they will not make payment. You must file the claim within 90 days of receiving notice from the property owner that you will not make payment.

Ending Note

While a mechanic’s lien can be an effective way to ensure you always get paid for your work, it’s essential to understand how they work and the steps involved in the lien filing service. By following these tips, you can ensure your claim is processed as quickly and smoothly as possible.