Frequently Asked Questions - Georgia Mechanics Lien BBB Business Review

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Why LienItNow? provides online mechanics lien forms to help contractors, sub-contractors, and suppliers secure the payment they need. In three simple steps, complete your mechanics lien on your own time in only 10 quick minutes. Once a time-consuming process for construction companies, makes filing your mechanics lien faster and easier than ever. can also help you create bond claims, pre-lien notices and lien releases.

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What is a Georgia mechanics' lien claim?

One of the benefits of working on a construction project in Georgia is that as someone who provides work or materials to the jobsite, mechanics lien rights are generally available. But what a mechanics lien is, how it works and why it is needed are all questions that may not be common knowledge. Mechanics liens in Georgia are documents that are filed with the county in which the construction site is located, and provide notice to the owner, as well as any potential purchasers or lenders, that money is owed for work performed on that property.

How a Georgia mechanic's lien works: By filing a mechanics lien in Georgia, the contractor or supplier makes the construction site it's collateral. Construction liens are a mechanism to ensure overdue payment does not become non-payment. By filing a lien on the property, a Georgia contractor gains the ability to foreclose on, or sell the property, and obtain payment from the sale proceeds. But to force a sale resulting from a property lien, the lien must first be filed timely and correctly and any prelien notice requirements must have been properly performed.

Why a mechanics lien is necessary: Overdue payments for work performed or materials delivered to a construction project can be hard to collect. Luckily, Georgia provides statutory rights to those working on a construction project, allowing them to use the property as security for work performed. The Georgia lien laws allow the filing of a property lien when payment is owed for work performed that improves real estate. This is an extraordinary right, and not generally available outside the construction industry. However, Georgia legislators decided that contractors and suppliers should be able to use the real estate they improved to obtain payment in the event of a default. Using the Georgia mechanics lien laws is a necessary advantage, and places pressure on the owner, as well as any delinquent contractors, to ensure payment is made before a forced sale takes place.

In short, in Georgia, liens filed on private property for the value of work or materials provided to a construction project are known as Mechanic's Liens. Georgia mechanics liens get filed with the clerk of the superior court in the county in which the construction site is located, and attach to and encumber the ownership of property, making it difficult to sell, transfer or finance the real estate without first resolving the lien.

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How a Georgia mechanic's lien works:
Who can file a Georgia mechanics' lien Claim?
Are pre-lien notices for a Georgia mechanics' lien Claim required?
When should a Georgia mechanics' lien Claim be filed?
How much does it cost to file a Georgia mechanics' lien Claim?
Do I need a written contract in order to file a Georgia Mechanics Lien Claim?
How does filing a Georgia mechanics' lien Claim help me get my money?

On a private project, the Georgia mechanics' lien places an encumbrance, similar to a mortgage, on the property to which work or materials were provided; because of the filing of the mechanics lien claim, everyone that is seeking to either buy or provide a loan to that property is given notice that there is a claim on the property. That makes it it difficult to resell or refinance the property without first removing the Georgia mechanics lien. The lien claim on the property also allows the lienor the opportunity to foreclose on, or force a sale of, the real estate that the lienor improved with its work or materials.

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What is a Georgia Stop Notice and why should it be filed
What is an Amendment to a Georgia mechanics' lien Claim?
When should a Georgia Discharge of mechanics' lien claim be filed?
How much does it cost to file an Georgia Extension of a mechanics' lien Claim?
Can I file a Bond Claim on a Georgia Project?
Do I need to file a Pre-Notice to make a claim against a Georgia payment bond?

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