MECHANIC'S LIENS

A Mechanic’s Lien is a document that contractors, engineers, material suppliers, designers, etc., (the “mechanic”) has recorded at the County Recorder’s office. The purpose of a Mechanic’s Lien is to provide the “mechanic” a lien on the property that work was done on for which they have not been compensated for. In other words, it puts a “hold” on the property until the “mechanic” is paid. The lien then gives the “mechanic” the right to foreclose on that property that has the lien on it by filing a lawsuit.

Unfortunately, there are instances wherein the property owner could be the one responsible for paying the lien even though they already paid once for all of the work that was done on their property. This can occur when an owner pays the prime contractor in full for the job, but the prime contractor does not pay the subcontractor in full. If that subcontractor then places a lien on the property, the owner could then be responsible for the outstanding monies due to that subcontractor.

Mechanic’s Liens, as well as Stop Notices and Bonds, are documents that should not be taken lightly. There are many requirements in place as well as timing as to when certain things should be done and/or filed. Mechanic’s Liens have been discussed and litigated many time throughout California Law. Because California law is very different than other state’s laws, it is very important to seek the aid and advice of a competent California construction attorney for help with the Mechanic’s Lien process, even before you realize you need to record one. You do not want to miss out on important deadlines that could preclude you from getting paid.