Arizona Mechanics Lien
The Notice of Claim of Lien is Arizona’s mechanic’s lien. It must be filed within the time prescribed by law, and is generally available to any party who has not been paid on a construction project. “An exception” exists for owner-occupied residential structures. For these types of construction, only the party who contracted directly with the property owner can file a lien.
In addition, a claimant who has a right to lien may also file a Stop Notice. This liens the funds of the project, rather than the property as a whole. This may be filed in addition to the lien, or instead of the lien, depending on the claimant’s goals.
Arizona Notice of Intent to Lien
Although not required in the state of Arizona, a claimant may deliver a Notice of Intent to Lien to any party to a construction project. This document provides the noticed party with a 10-day period to make payment to the claimant, before a lien is filed.
Delivery of this notice does not suspend the lien period.
Arizona Preliminary Notice
In Arizona, a 20-Day Preliminary Notice must be delivered to the owner, the prime contractor, the lender, and the party who hired the noticing party within 20 days of first furnishing services, labor or materials.
Failure to deliver notice forfeits a party’s right to lien. A late notice is not ineffective, but only preserves the right to lien for services furnished within 20 days of the notice, and thereafter.
Arizona Release of Mechanics Lien
After your claim of lien is satisfied, it must be canceled within 20 days, or you can be subject to penalties. Liens may also be canceled after they expire, or for any other reasons.
Arizona Stop Notice
Anyone with the right to file a mechanics lien in Arizona also has the right to deliver a Stop Notice to the property owner and lender (if any). These notices place a lien on the project’s funds, rather than the project’s property itself.
Which to file (or whether to file both) is up to the claimant, and depends on the claimant’s goals.
The period to file a stop notice is the same as the period to file a mechanics lien.