AFTER you have successfully filed your lien, the owner doesn’t always automatically pay what you say is owed. Alaska law requires that a mechanic’s lien be enforced (or legal proceeding begin) within 6 months after the date the Claim of Lien was recorded.
However, Alaska does allow a lien to be extended for an additional 6 months if an Extension Notice is recorded in the same recording office as the original lien within the original 6 month period.
Once you have received payment or have reached a settlement, Alaska State Statutes do not provide who is to cancel a lien when it is satisfied, or by what time the lien needs to be cancelled. LienItNow.com recommends that the lien claimant discharge the lien when payment has been received.
The most difficult part of filing a lien is making sure you complete each required step within the correct timeline.
To place a mechanic’s lien in Alaska, if a Notice of Completion is not recorded by the property owner, the Claim of Lien must be recorded no later than 120 days after the completion of the construction contract or the last day it provided materials or labor to the project.
Lien claimants who receive advance notice of a filing of a Notice of Completion by the owner have 15 days thereafter to file an Alaska claim of lien.
If the lien claimant has not given a Notice of Lien Rights (pre-lien), it also has 15 days to file a claim of lien after the recording of the Notice of Completion.
A lien claimant who recorded a Notice of Lien Rights (pre-lien) has 90 days after either the completion of the construction contract or the last day it provided materials or labor to the project.
Once the lien has been recorded, Alaska law does not require that a lien claimant serve the recorded lien on the owner.
Should you need to enforce the mechanic’s lien, you must be careful that the information included in the Alaska Mechanic’s Lien is valid and will not void the lien.
Almost every day, I am asked if the cost of filing a lien is allowed to be included in the amount due listed on the mechanic’s lien. Alaska law specifically states that the amount able to be claimed in a lien is“the contract amount”. Anything included in the contract price is allowed to be included in the lien amount, anything not included in the contract price will void the lien if included in the amount.
Alaska Law requires “a legal description sufficient for identification” in order for the lien to be valid. Be sure to include the legal property description that is listed in the county property records.
Last but not least, if you do not have the mechanic’s lien notarized, the clerk will deem it to be invalid.
In Arkansas, liens filed on private property or on funds relating to a public project are known as Mechanic’s Liens. When a mechanics lien is filed with regard to work performed on privately owned property, it attaches to and encumbers the fee simple ownership of property.
Contractors, as well as subcontractors, design professionals, sub-subcontractors and material suppliers can file a construction lien in Arkansas. If a company supplies material to a material supplier, they are not eligible to file a mechanics lien claim.
Ten days prior to the filing of a mechanics lien claim, Arkansas requires that a construction lien claimant give the owner, or the owner’s agent, or both of them, notice that a mechanics lien claim is going to be filed.
On 1 to 3 family residential projects, prior to the furnishing of materials or labor, the principal contractor must provide the owner with a formalized notice that materials and labor will be used in the construction of the project and the owner is responsible for payment.
Suppliers on commercial construction projects must send written notice of non-payment to the general contractor and the owner within 75 days of the date on which the supplies were provided. This notice does not apply to residential projects.
After the appropriate pre-notice has been provided to the owner, Prime contractors, subcontractors, materialmen and design professionals must file a mechanics’ lien within 120 days of the last date the claimant provided labor or materials to the project.
For more information on filing an Arkansas Construction Lien, an Arkansas Mechanics Lien, or an Arkansas pre-lien notice, please visit http://lienitnow.com/arkansas-faq.asp.