Those who provide labor and/or materials on a private construction projects in Arizona are required to send a preliminary notice at the beginning of their participation in the project. Failure to provide this preliminary notice may result in the loss of their right to later file a mechanics lien if they remain unpaid. Who Should [...]
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Stop Notice: What Is It?
Much of the space on the Lien Blog is, appropriately, dedicated to posts concerning various aspects of mechanics liens, and to a slightly lesser extent, bond claims. Mechanics liens (on private projects), and bond claims (on public projects) are far and away the most commonly used and widespread avenues for securing extensions of credit in [...]
California Preliminary Notice: Should I Add 20% To The Estimated Contract Value?
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 [...]
Charter Schools: How To Classify
Projects on school property are nearly a constant in the construction industry. Schools seem to always be updating, building, or refurbishing. As Jason recently described, projects on schools can be either public or private depending on the nature of the school itself. Generally, the determination is simple: If it’s a public school, it’s a public [...]
Looking for Legal Advice In Order To Get Paid?
Have you been in the position of not getting paid? If so, you might have looked deeper into mechanics liens and realized all the complex ins-and-outs of lien filing. Not only do liens create leverage on the job but a lien must also meet many requirements in order to be deemed “valid.” The validity is [...]
Should I Wait To Send My Preliminary Notice?
Earlier this week, a subcontractor in Arizona posted a question on Avvo.com about whether he should or should not wait to send a 20 day preliminary notice. The resounding answer from me and other Arizona attorneys was “No, never wait.” Why did we respond in this way? Is it the right response? Is there ever [...]
Mechanics Lien Against Habitat For Humanity And Non-Profit Projects?
Last week, someone in Oregon posted a question on Avvo.com inquiring whether a mechanics lien can be filed against a non-profit project – specifically a Habitat for Humanity project. This is a frequently asked question because the non-profit nature of these projects can create confusion. What type of project is it? Can you lien an [...]
What If Your Mechanics Lien Is Filed After The Owner Sells The Property?
Earlier this week someone asked a question on Avvo.com about whether a mechanics lien would be effective if filed after ab original owner sold the property. This is a great question that comes up pretty infrequently, but depending on the applicable state law, may be a great illustration of how effective and dangerous mechanics lien [...]
Mechanics Liens on Condominiums – An Overview
Mechanics liens on condominiums can be tricky. In fact, this blog has addressed the complexities of condominium projects several times; here, here, and here for example. The reason that condo projects are sometimes more difficult, in terms of properly preserving mechanic’s lien rights and perfecting liens, than other types of projects is generally because the factors [...]
Mechanics Lien: When Is It The Right Time To File?
Filing a mechanics lien is something your company may consider when a customer account goes into default, but you’ll likely be juggling promises to pay, customer relationships and other complexities when making a decision about whether and when to file. This post talks through some of these issues to determine when the time is right [...]
Mechanics Lien on Condominium Projects: How Many Liens Will You Need?
When it comes time to record a mechanics lien every company wants to file the minimum amount of documents. This makes perfect sense. The more documents you need to record the more expensive the lien process will be. Things get a bit sticky when filing mechanics lien claims against a condominium construction project. We’ve addressed [...]
FAQs
Frequently asked questions about credit management and credit risk mitigation through mechanics lien and bond claim compliance, including frequently asked questions about how to manage the lien process and how to file a mechanics lien.
Columnists
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
Funding Gates
The world's first CRM for receivables management.Read More
Gretchen Lynn
Operations Genius at Zlien - She writes all the fun stuff here.Read More
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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