I read an article in the Multi-Housing News Online about the mechanic lien law changes in California set to become effective January 1, 2011, that quotes a California construction attorney, John C. Pytel, Esq., saying this referring to the increase in notices required under the new laws:
In fact, in addition to the relatively minor changes taking effect Jan. 1, California’s own lien statutes look like they will be subjected to a major overhaul effective July 31, 2012. This seems to be the crest of a national trend as more and more property owners fall victim to confusing lien laws in a turbulent housing market.
Is Mr. Pytel correct here? Are we at the crest of a national trend that will result in stricter notice requirements for mechanic lien claimants, and thus more protection for property owners?
I will stay this, in support of Mr. Pytel’s comment and prediction, there have been a few pieces of legislation across the country that increase the notice requirements on residential projects. See examples in California, Missouri, Illinois and Virginia – all happening in the past year or so.
However, I’m not sure I completely agree with Mr. Pytel.
So many states don’t require notice at all, and the changes have been isolated to those states that already have notice requirements. These requirements were just tweaked a bit to try to make things easier and clearer, and not necessarily to add any layers of required notification.
What do you guys think – are we at the crest of a national trend requiring more notice to make a lien claim?