Knowing Your Lien Rights
For both contractors and subcontractors alike, it’s vital to protect your lien rights. The first step to doing so is knowing what the rules are when it comes to liens. As Bradenton construction lawyers, we’ve helped numerous clients familiarize themselves with lien rights and can help you through the process.
1. What Property Can Be Liened And Who Can Claim A Lien?
As a contractor, it’s important to know that all state, federal, county, and municipal property is exempt from the Construction Lien Law in Florida. Liens are only able to be linked to private properties. Any contractors, subcontractors, and material suppliers (also known as lienors) who supply labor or material for the construction or improvement of private property is eligible to claim a lien on that property for the value of the labor or materials that were given.
2. When Should The Lien Be Recorded?
Contractors, subcontractors, and material suppliers need to record a Claim of Lien within 90 days from the date that the lienor last worked or supplied materials for the job. Additionally, the lienor must deliver a copy of the Claim of Lien to the owner within 15 days from the date it was recorded. The next step for the lienor is to contact their Bradenton construction lawyer to file a lawsuit to foreclose the Claim of Lien. This must be done within 12 months from the date it was recorded. However, if a Notice of Contest of Lien is served from the owner to the lienor, the 12 month time span is decreased to 60 days. If the lienor does not file a lawsuit within these time frames, their Claim of Lien has the right to be rejected.
3. Are There Any Licensing Requirements?
To be eligible to file a Claim of Lien on a private property, it is required by Florida law that the lienor be licensed. When the owner receives the Claim of Lien, they have the right to check to see if the lienor is licensed to perform work. To do so, they can contact the Florida Construction Industry Licensing Board (CILB). If it proves that the lienor is in fact unlicensed, the lien will immediately be rejected.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.