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North Carolina Potentially Extending Lien Rights for Tenant Improvements

Generally, mechanics liens provide strong protection to parties in the construction industry because they encumber the actual property being improved by the lien claimant’s furnishing of labor and/or material. The security and leverage provided by the ability to enforce a claim for payment by foreclosing on the property itself is really what gives the mechanics […]

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Cellular Towers Can Present Unique Situations Regarding Mechanics Liens

Compliance with mechanics lien laws is tough enough when you only need to figure out the required deadlines and the information that needs to be included on the lien itself. It’s even more frustrating when it’s difficult to determine whether or not a lien right even exists, or, if it does, to what the lien […]

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California Mechanics Lien Law: Must Preliminary Notice Be Sent To The Tenant?

Yesterday we published a massive post about California’s preliminary notice requirements when work is commissioned by a tenant. The article mainly addressed whether a party who contracted directly with a tenant would be exempt from sending preliminary notice pursuant to the § 8200(e)(2) statutory exception for those who contract with the “owner.”  The article did […]

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California Mechanics Lien Law: Preliminary Notice Requirements When Work Commissioned By A Tenant

California Civil Code Article 8200 provides that serving a preliminary notice upon the owner, the direct contractor and the construction lender is an absolute pre-requisite to later filing a mechanics lien, stop notice or payment bond claim. There are few exceptions to the California preliminary notice requirement, but one overall exception is within part (e)(2) […]

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What Is A Lien?

Lien. The word gets thrown around like a hot potato on a construction project. Here on this blog, I use the word constantly, and advocate that credit managers “file a lien” to protect a company’s rights to payment. But what exactly is it? How does it work?  What does it do and not do?  This […]

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Massive Mechanics Lien Opinion Released by Arizona Appeals Court

The Arizona (Division I) Court of Appeals last week issued an opinion with a very robust discussion of mechanics lien laws in Wang Elec Inc v. Smoke Tree Resort LLC.  The decision does not  shake much ground in the state’s mechanics lien laws, but it offers a really terrific discussion of the statutory requirements when […]

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Arizona Mechanics Lien Against Terminated Leasehold Interest May Still Have Purpose

When a tenant commissions construction work, it creates a complex mechanics lien situation. Mechanics lien claims, after all, are filed against the property itself. The result is that the property owner would get penalized for a tenant’s contractual default. States handles this situation differently (of course).  While there are ways to file a claim against […]

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Arizona Court Rules Owners Cannot Contract Around Lien Exposure From Tenant Improvements

Arizona’s mechanics lien law provides that a lien is authorized whenever work is furnished at the “instance” of the owner or the owner’s agent. A tenant who acts as the owner’s agent can expose the owner to a mechanics lien claim, and it’s well established in Arizona’s case law that a lease requiring and approving […]

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Colorado Mechanics Lien Available Even When Tenants Contract For Work

Construction projects come in many shapes and sizes. Some are private jobs commissioned by property owners.  Others are public projects commissioned by states, counties, municipalities or the federal government. Sometimes, there are even private projects commissioned to be performed on public property, which may present a mechanics lien conundrum. This blog post talks about a […]

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Miller Act May Apply to Federal Property Leased To Private Parties

The concept of government property leased to a private entity has gotten a lot of press lately, and a lot of discussion on this blog. One may think the situation only rarely arises when a lien claim is sought against a project that is privately commissioned, but is performed on public land leased to a […]

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No Mechanics Lien Rights When Working on Private Improvement on Public Property in New York

It may seem like rare circumstances, but construction improvements for private enterprises upon public property is more common that you think. States, counties and cities frequently lease out public land to private companies to do a variety of things (airports, for example, lease to airlines and vendors).  These private tenants hire companies to make tenant […]

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