Avoid These Two Common Mechanics Lien Mistakes
If you are owed payment, the mechanics lien is a common tool to utilize. Before you try to navigate this process on your own, speak with a Nashville mechanics lien law attorney. At Cotney Attorneys & Consultants, we are highly experienced in perfecting liens for our construction clients. Our construction lawyers have a firm understanding of the requirements to file a lien in Tennessee. In this brief article, a Nashville construction lien lawyer will discuss a few of the common mistakes contractors make when they file their own lien.
You Failed to File the Lien on Time
Although lien deadlines can vary depending on your role on a project (general contractor or subcontractor), one common mistake construction professionals make is that they focus on the date they gave the bill to the owner instead of the final date they completed work. For example, a subcontractor would need to exercise their lien rights within 90 days of the last day of the month in which they performed work or provided materials. If the subcontractor fails to provide a timely notice, their lien rights will no longer be valid.
Another important item to consider is that the notice of nonpayment needs to be served early enough to ensure that it is received prior to the 90-day deadline. For example, if a subcontractor sent the notice of nonpayment on the 90th day and it wasn’t received until after this date, the claim of lien would no longer be valid.
Your Notice of Nonpayment Was Incomplete
If a deadline is looming to preserve lien rights, a contractor may rush to get the notice of nonpayment out the door and fail to include all of the required information in the notice. For example, if a contractor failed to provide a sufficient description of the work or didn’t list what equipment or materials they utilized on the project, this would be considered insufficient notice of nonpayment. Other common mistakes include listing an inaccurate amount owed or omitting the date of the last day of work. It’s critical that contractors partner with a Nashville construction lien lawyer to ensure that their notice of nonpayment features all of the required information to ensure your claim is valid.
Although these two above lien mistakes are common, there are dozens of other ways that a construction professional can extinguish their lien rights. Some contractors fail to send the lien to the right party, others fail to preserve their lien rights for each month they didn’t receive payment, and some fail to respond to a notice of completion from an owner. Remember, any of these common mistakes that compromise your lien rights can easily be avoided when you partner with an attorney that is highly experienced in filing liens and preserving lien rights for construction clients.
If you would like to speak with a Nashville mechanics lien law attorney, please contact us today.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.