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Latest Mechanics Lien Law and News

How Early Should You File a Mechanics Lien?

Few contractors want to jeopardize the job by filing a mechanic's lien to early. If you are a subcontractor, for example, you want to make sure the owner and the general are in good faith taking the steps to pay. And it may be politically unwise to jump the gun on a project. But still you have to protect your rights. But be careful. Many states have what is called an "owner's defense". Namely, once the owner on a residential ...
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Who is a Construction Lender: California’s New Preliminary 20-Day notice for General Contractors

Most of us know that under the new California law fact if July 1, 2012, a general contractor must serve a preliminary twenty day notice if there is a construction lender. That is an absolute prerequisite to later filing a mechanic’s lien. But how do the California statues define a construction lender? First let us rule out what does not qualify as a lender: The owner or developer is using their own funds. The owner is receiving funds from friends ...
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Mechanics Lien for Service Contracts

For the people that have been in the business for a number of years, it can categorically be stated that no one has ever seen it this bad. Before, business was booming. In fact it was so robust, that some contractors would rather take a another job than file mechanic’s lien. Contractors are not just struggling, they have been blotted off the map. When you call them, they are no longer in business, have moved, or cannot even be contacted ...
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