Short Answer: No. Long Answer: This is a question we get a lot related to the California and Arizona preliminary notice requirements. Unfortunately, however, it’s all related to a misunderstanding of the “20% Rule.” The first misunderstanding is that the rule applies to California and Arizona (it only applies in Arizona). The second misunderstanding is [...]
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California Preliminary Notice: The General Contractors Requirement
I received an interesting telephone call from a client recently, which caused me to dig a bit deeper into California’s recent mechanics lien law changes with respect to the “new” requirement that general contractors send preliminary notices. As you’ll see from this post, general contractors certainly have a preliminary notice requirement under the new law, [...]
California Preliminary Notice: A Very Important Document
The preliminary notice requirement is an important factor that is often over looked by many in the construction industry. Here at Zlien we have educated our readers and customers about preliminary notices. They are important in credit policy and also a vital link to filing a valid lien. This blog post is intended to be [...]
California Mechanics Lien: 4 Gray Areas In The Lien Law
Do you have mechanics lien rights? This is a very complex question in any state as all lien legislation is riddled with gray areas and legal rule exceptions. The California legislature just finished two years of amendments to the state’s mechanics lien laws in an effort to stamp out confusion, yet there are still ambiguities [...]
Must California 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 [...]
California 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) [...]
Ultimate Guide To California’s Preliminary Notice
California Preliminary Notices: A Complete Guide From Zlien from Zlien on Vimeo.Zlien is the nation’s leader in publishing information and resources about California’s preliminary notice laws. We’ve finally assembled a collection of this information (all current, including changes that went into effect on July 1, 2012), and titled it the “Ultimate Guide To California’s Preliminary [...]
The 1 Thing Almost Everyone Forgets When Sending California’s Preliminary Notice
Hundreds of thousands of preliminary notices are sent in California in-house by companies every year, and they nearly always forget a very crucial requirement: Filling out and signing a declaration of delivery. When A Declaration Is Required Under California’s Preliminary Notice Laws When? Always! California Civil Code §8118 requires this as a component of every [...]
Get Fined If You Don’t Send California’s Preliminary Notice
California’s new mechanics lien laws are serious about their preliminary notice requirements. Under the new statutes, failing to send a preliminary notice will not only forfeit your mechanics lien, bond claim, or stop payment notice rights, but will also earn you a fine from the California Contractors’ State Licensing Board. What? A fine? This is [...]
General Contractors Must Now Send Preliminary Notice in California
California’s mechanics lien law changed significantly on July 1st, 2012. One change to the preliminary notice provisions effects those who contract directly with the property owner. These previously exempt parties must now deliver a preliminary notice. §8200(e)(2) of California’s new preliminary notice laws states that those ”with a direct contractual relationship with an owner or reputed owner [...]
Best Practices For Sending California Preliminary Notice Under New Law
New mechanics lien laws took effect in California this July 1st. The new laws impact preliminary notices sent on both public and private projects in California. This post examines three best practice to employ when sending a preliminary notice document in the state. Request The Lender and Owner One of the most significant changes for [...]
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Scott Wolfe Jr., JD
CEO of Zlien, and a licensed attorney in six states, he's experienced in construction & corporate credit management laws....Read More
Nate Budde, JD
Zlien's Chief Legal Mind and licensed attorney. Nate is a Stanford & Tulane Grad, a Jeopardy! alumni and more....Read More
Seth Smiley, JD
Construction attorney in California & Louisiana, Seth is an experienced construction litigator and Zlien's COO....Read More
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Gretchen Lynn
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Jason Bull
Zlien's Research Giant - He shares tips and info on how to confirm project, surety or construction party data.Read More
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