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Stop Notice Filing
In some states, Stop Notices are available to contractors and suppliers as an alternative to (or in addition to) their Mechanic Lien Rights. A Stop Notice is delivered to the prime contractor or property owner, and demands that they withhold enough funds to pay your claim. If the property owner or prime contractor is in possession of funds at the time your Stop Notice is sent, they will be responsible for payment of your claim if they disburse those funds to other parties.
Typically, after sending these Stop Notices, the property owner or prime contractor will stop paying “down the contracting chain” until your claim is resolved.
Stop Notices are available in Arizona, Alaska, California, Mississippi and Washington. If you send a Stop Notice in a state that does not have Stop Notice statutes, the mailing is absolutely worthless! This highlights the importane of knowing what remedies are available in your state.
If available in your project’s state, the Stop Notice may be a beneficial filing because it frequently does not have deadlines (only effective if the receiving party is holding funds), and because it is a remedy available to you in addition to your mechanic lien rights.
Zlien files Stop Notices on applicable projects for a low flat fee of $295. There are no hidden fees or memberships to confuse our pricing. We lead the industry in filing Stop Notices, trusted by thousands in the construction industry. Zlien is the right choice for your company.
The Zlien Difference When Filing Stop Notices
The states who allow Stop Notices have strict requirements, such as what exactly must be included in your Stop Notice Claim, how the Stop Notice must be sent, and who must receive it. Getting all the details right is important.
Rather than have someone at your company spend hours trying to track down the correct forms, collate the required information, research the legal property description, and then take a gamble on whether they are reading the requirements correctly when sending the documents along, let Zlien handle it for you. Processing a Stop Notice through Zlien is simple. You tell us go, and we do everything.
Zlien has helped thousands of contractors and suppliers get paid by filing Stop Notices.
Zlien makes the Stop Notice process simple, because we take care of all the grunt work in getting your Stop Notice filed, and we pay all of the fees (courier, service, recording, postage). You place your order, you sit back and relax, and we handle all the small, time-consuming tasks.
And you can trust Zlien. We handle these Stop Notice claims for thousands in the construction industry everyday. Plus, our systems are second to none in the industry, relying on our proprietary software that understands legal nuances in the Stop Notice laws, ensuring your Stop Notice gets filed fast and correctly. Learn more about Why Zlien is the right choice for your company.
Differences Between Stop Notices and Mechanics Liens
Stop Notices and Mechanics Liens are in the same “Lien Universe,” but they have significant differences. Understanding these differences can be key to making a good decision about whether to file one or both of the documents. A more in-depth analysis of the differences between the Stop Notice and the Mechanics Lien is found on our blog: The Differences Between A Stop Notice And A Mechanics Lien.
ONE: Stop Notice Not Available Everywhere
When unpaid on a construction project anywhere in the United States, the unpaid party can file a mechanics lien. That remedy is available in every state. The Stop Notice remedy, however, is only available in a minority of states including Alaska, Arizona, California, Mississippi and Washington. If the law isn’t available in your project’s state, there’s no such thing as a stop notice.
TWO: Stop Notices Impact Project Funds, Not Project Property
When you file a mechanics lien, your claim is actually made against the project jobsite. If worse comes to worse, you can put the project jobsite on the auction block to pay your claim, and the owner could wind up paying for the work twice. In the Stop Notice world, however, the claim is made only against “project funds,” which simply means the amount of money still in the owner’s control. If the owner hasn’t disbursed funds to the general contractor, those funds are “attached” by filing a Stop Notice.
THREE: Typically Sent And Not Formally Recorded
Another key difference between Stop Notices and Mechanics Liens is that Stop Notices are not usually recorded with the county recorder. Instead, they need only be delivered in some way to the applicable parties. While this makes the filing a bit less bureaucratic, it is actually more risky and difficult, because you may later be called upon to prove that the Stop Notice was sent and delivered on a certain date. Therefore, you want to be careful about who sends your Stop Notices, how they are tracked, and followup on all returned mail and deliveries.
We Include Everything
Our flat fee to file a Stop Notice is all inclusive and includes:
- Researching Legal Property Description
- Researching the Property Owner
- Preparing the Stop Notice Document
- Delivery to All Appropriate Parties and Tracking Stop Notice Deliveries
- Affidavit of Delivery and Service
- Filing and Filing Fees (if Required by State)
- Serving the Lien on Property Owner and Required Parties
- Saving Everything to Zlien Servers
- Claim Deadline and Expiration Monitoring and Notifications
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