Miller Act Claim Statute of Limitations Is Not Extended By Remedial Work – Confirmed by Louisiana Federal District Court

Thanks to Rob Pitkin (@KCconstrlawyer) for calling my attention through Twitter to a recent Miller Act decision out of Louisiana Eastern District federal court:  Contracting King, Inc. v. Creek Services, LLC.

There is nothing ground breaking about this decision, but it does contain a nice long discussion of the Miller Act’s statute of limitation.  In case you don’t know about the Miller Act’s time limitations, read all about the Miller Act on our blog, or take a look at the court’s explanation here:

An action brought under 40 U.S.C. § 3133, “must be brought no later than one year after the day on which the last of the labor was performed or material was supplied by the person bringing the action.” § 3133(b)(4).

(Remember too that certain parties must also file a Notice of Miller Act Claim within 90 days of last furnishing labor and/or materials).

But knowing this 1-year requirement is only half the battle.  You must also understand what starts the 1-year clock, or in other words, what the law means by “last of the labor was performed or material was supplied.”  Does that include warranty work?  punchlist work?  off-site project close-out work?  The Contracting King court explains:

The majority of circuits that have addressed this issue have held that remedial or corrective work or materials, or inspection of work already completed, falls outside the meaning of ‘labor’ or ‘material’ under [the statute of limitations]. Citing U.S. v. International Fidelity Ins. Co., 200 F.3 456, 459 (6th Cir. 2000).

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Miller Act Claim Statute of Limitations Is Not Extended By Remedial Work   Confirmed by Louisiana Federal District Court
Miller Act Claim Statute of Limitations Is Not Extended By Remedial Work   Confirmed by Louisiana Federal District Court
Miller Act Claim Statute of Limitations Is Not Extended By Remedial Work   Confirmed by Louisiana Federal District 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