For over 100 years, construction liens have been protecting the rights of general contractors and subcontractors in the state of Oregon. They allow contractors to protect themselves in the unfortunate case that an owner refuses payment on improved property. Each state has its own laws for filing a mechanic’s lien. Below, the Portland contractor lawyers at Cotney Construction Law will discuss the specific requirements for filing a mechanic’s lien in Oregon.
Notice of Right to a Lien
For residential properties above $2,000 in cost, an Information Notice to Owner about Construction Liens must be provided to an owner that you contract with directly. If you do not contract directly with the owner, a Notice of Right to a Lien must be sent to the owner. This notice must also be given if the property is sold within 75 days after work on the property has finished. In Oregon, commercial properties do not require that a preliminary notice be sent.
The above notice must be handed to or mailed to the property owner. Failure to deliver the notice could result in your license being suspended, the lien being rejected, and a fine of up to $5,000.
In Oregon, the deadline to file a mechanic’s lien is either 75 days after work and/or materials were provided on the property, or 75 days after construction on the property is completed, whichever comes first. Any lien filed after this deadline cannot be enforced.
In order to file a mechanic’s lien with the Oregon Construction Contractors Board, please contact a Portland contractor lawyer today. The complex nature of filing a mechanic’s lien in Oregon means it is imperative that you speak with a lawyer before moving forward. Just sending a preliminary notice to the wrong address could result in an invalid claim.
Once the lien is filed, the claimant has 20 days to send a notice to the owner that a lien has been filed. Failure to send this notice could result in forfeiture of any awards post foreclosure of the lien.
There are many missteps and deadlines to keep in mind when attempting to retrieve payment on work and materials provided. If you decide to move forward with a mechanic’s lien, it would be incredibly beneficial to do so with the aid of a Portland contractor lawyer.
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.