Well, as the promise to pay “tomorrow,” turns into “Friday,” and turns into “next week,” the time period available for you to file a mechanics lien continues to tick. And in some instances, the time periods can be quite short.
It’s very important for contractors and suppliers to realize that these promises to pay do not extend the lien period. You only have one shot to file your mechanic lien, and once the window closes, it will never re-open.
So, while a promise to make a payment is a significant comfort (it’s better than an outright refusal to pay), a business should be weary about relying on this promise and foregoing its right to lien. The lien protections will disappear…and your client’s promises? Who knows.
- Set Your Mechanic Lien Amount With Care: The Perils of Small Mistakes and Exaggeration (zlien.com/blog)
- Preserving and Executing Lien Rights Leads to Prompt Payment (constructionlawmonitor.com)
- Your Mechanic Lien Was Bonded…Now What? (zlien.com/blog)
- I Didn’t File My Lien On Time…Now What? (constructionlawmonitor.com)