We wish we would have
We invite you to learn more about your lien rights.
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The challenge of filing a lien starts long before the lien is actually filed — the biggest challenge may just be figuring out whether you have the right to file a lien in the first place.
Joint check agreements are most common in the construction industry because so many tiers of parties participate on a typical construction project. This reality of the construction business just happens to perfectly fit with the joint check concept.
In many states, including California, sending preliminary notice is a required step in order to maintain the right to file a mechanics lien on a construction project (should a payment issue develop).
The steps required in a project’s journey to completion are importation to how successful the project will be. That’s why choosing the right project delivery method is a crucial step to take before construction begins.
The results are staggering. Despite the fact that more than a third of respondents say they either incentivize early payments or penalize late ones, 92 percent of construction companies say their customers don’t always pay them on time.
In layman’s terms, a “Pay-When-Paid” clause is the prime contractor informing the subcontractor that they will pay them once they receive payment from their customer (usually the property owner, but can also be the developer).
Pay apps – like many things in the construction industry – take a relatively simple concept, and add layers of complexity. By familiarizing yourself with the common forms and requirements, you can position yourself to make your business more efficient and get paid faster.
Each state has different rules and regulations surrounding contractor licensing and the license bonds that go with the process. To make it easier to ensure you’re getting the right contractor bond for your next job, here is a state-by-state guide to bond thresholds for general contractors.
Well guess what — we’ve got some good news for you. The construction industry is different from other industries. That’s because folks in the construction business have access to a demand letter that actually works — it’s called the Notice of Intent to Lien.
The short answer: it is rarely if ever a good idea. The longer answer: it depends on who you represent. Please read on for a brief explanation.
After bonding off a mechanics lien, this bond is substituted for the owner’s property – it is now the subject of the claim for non-payment instead of the project property. When a lien is bonded off, any proceeds recovered from a claim will come from the surety bond instead of the sale or foreclosure of the property.
But here’s another business saying that may not be as well known as the one above, though it’s no less true: “Growth EATS Cash.” Why? Because business growth doesn’t just happen, it needs to be fueled. And the fuel is cash.