Can California Mechanic Liens Be Enforced In Small Claims Court?

Can California Mechanic Liens Be Enforced In Small Claims Court?The answer:  No.

It doesn’t matter whether your mechanics lien claim is for just $300, the small claims courts in California (and most everywhere else) simply do not have the jurisdiction to enforce mechanic lien claims.

This fact is unfortunate for a lot of California mechanics lien claimants, because the costs of proceeding in Superior Court can be expensive. Not only are the filing fees higher, but if you’re a business entity, you may also be restricted from representing yourself and required to hire an attorney. This is not to mention that Superior Court proceedings take longer and are more sophisticated.

I was actually contacted by a state legislators’ offices this week to offer ideas on how to make the mechanics lien process more user-friendly for small contractors, and one of my suggestions was precisely this: to give small claims courts the jurisdiction to foreclose on mechanic lien claims when they are of little value. Otherwise, the foreclosure — while potentially paying off in the end, including attorney fees — becomes complex and maybe more burdensome than necessary.

For now, however, in California, you must file your mechanics lien foreclosure action in Superior Court.

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Can California Mechanic Liens Be Enforced In Small Claims Court?
Can California Mechanic Liens Be Enforced In Small Claims Court?
Can California Mechanic Liens Be Enforced In Small Claims Court?
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About Scott Wolfe Jr

Scott Wolfe Jr. is the CEO of Zlien, a company that provides software and services to help building material supply and construction companies reduce their credit risk and default receivables through the management of mechanics lien and bond claim compliance. He is also the founding author of the Lien Blog, a leading online publication about liens, security instruments and getting paid on every account. Scott is a licensed attorney in six states with extensive experience in corporate credit management and collections law, with a specific emphasis on utilizing mechanic liens, UCC filings and other security instruments to protect and manage receivables. You can connect with him via Twitter, LinkedIn and Google+.Read Scott's Biography Post Here

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