Protecting Your Construction Lien Part 1
In this two-part article, we will discuss 11 tips on how to better protect your construction liens. As a contractor, it is extremely beneficial to be aware of these tips before entering into any project, and it is highly recommended to hire a Jacksonville construction attorney to assist you in this process. To view the second half of this article, please visit Part 2.
1. Confirm Property Ownership Where Construction Work Is Accomplished
As a contractor, it is your responsibility to obtain a copy of the deed displaying ownership in the County where the property, the subject of the construction, is located. Examine the contract with your Jacksonville construction lawyer to ensure that the other party in your contract is the appropriate owner of the property.
2. Acquire Notice Of Commencement
It is the owner’s responsibility to prepare and sign the Notice Of Commencement and post a copy at the construction site. Securing this document is vital, because it contains the names and addresses where the varying notices required under the lien law are to be sent.
3. Secure Copies Of Involved Bonds
The Notice of Commencement will specify if the project is bonded, and if so, it will also issue the name of the bond company. Be sure to procure a copy of the bond and analyze it to make certain that you are following the correct procedures for filing a claim against the bond.
4. Provide Your Notice to Owner
For those that do not have a contract directly with the owner, they need to send a Notice to Owner within 45 days from first date of work on the project either through certified mail, overnight delivery or in person within fifteen days.
5. Respond To Owners Request for Copy of Subcontractors and Suppliers In An Expedient Manner
The owner has a right to request information regarding all subcontractors and suppliers that are contracted to perform work under the general contractor. As a contractor, you must respond to this request by supplying the list within 10 days of receipt.
6. Respond to Requests for Sworn Statements of Account
An owner has the right to obtain a Sworn Statement of Account before a suit is filed by a lienor, in an attempt to enforce its lien. As a lienor, you must supply the written sworn statement issuing the information requested within 30 days of receiving the request.
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.