Construction Law

What Does “Lienable” Mean? featured image

What Does “Lienable” Mean?

Liens are important tools that contractors can use to ensure that they receive payment. It is a legal claim against an asset as a way to try to get overdue payment. Your company can put a legal claim over someone else’s property for the debt that they owe, which can make it difficult for the property owner to sell the property without first settling with you what they owe. In this editorial, a construction lawyer in Wilmington, NC clarifies what the term lienable means and how it could impact your construction business.

Lienable Definition

Lienable means that you can place a lien on a property and that the property is eligible for you to make a claim against in the event that the other party does not pay you what they are supposed to, under the terms of your contract. Within the construction industry, you could potentially have the ability to put a lien on new construction and renovation projects. There are specific state and county rules that you must follow to be able to put a lien against a piece of property. 

What is Lienable?

Improvements and building projects are generally lienable in the event that you don’t get paid. This can even happen if the general contractor doesn’t pay a subcontractor, as they might be entitled to put a lien against the property to seek compensation for their work. These tend to be tangible improvements and physical changes to a property.

What is Not Lienable?

Certain improvements that are not physically attached to the property itself may not be eligible for a mechanic’s lien. For instance, furniture, interior decor, outdoor furniture, and decorative elements, even if you construct the decor yourself, may not be eligible for a lien. In general, it is a good idea to seek payment upfront for these items, as it may be difficult to have these improvements included in your lien.

The majority of construction projects that your team completes are lienable. However, there are some exceptions that can limit your company’s ability to secure full payment. If you have questions about construction liens, contact a contractor attorney in Wilmington, NC from Cotney Attorneys & Consultants. We are happy to help you answer any questions that you might have about what is lienable and what is not, as well as to help you seek payment for your hard work.

If you would like to speak with a contractor attorney in Wilmington, NC, 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.