Mechanics liens are documents that can ensure that you will eventually get paid for the services and materials you have rendered on a home. They are used in the even that a client does not pay for the services that they received. So what exactly is a mechanics lien and how do the work? Let's take a look at this infographic.
It’s simple a mechanics lien is typically filed by subcontractors, laborers, suppliers or contractors who have not been paid for their services or materials. They can be filed for essentially any unpad material or services that have been rendered. The lien will go against the house or vehicle. If the owner of said property wants to sell the property in the future, the lien must be paid off.
Step one for the claimant is to give the owner 20-30 days of notice that a lien will be filed against their property. If the claimant is not paid within that time frame then the next step is to file a mechanics lien in the county where the property is located. Finally the claimant has a specified time frame to work out a solution with the property owner, or file a lawsuit.
Simply put, by paying your bill. But you can also put a lien waiver in the contract.
The lien can include the cost of labor, materials and services rendered on the property. However, the lien can not include attorney fees, property damage, emotional distress or other qualitative damages.
Mechanics liens are a last line of defense to ensure that you are able to be paid for the material and services you have rendered This infographic was produced by RODA Marketing.
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