How to Make the Most of Your Mechanics Lien
1. Put the Pressure On and Collect:
Match your mechanics lien with a bond claim or a stop notice and increase the odds of collecting.
2. Preliens - Necessary Protection.
Don't just roll the dice and hope you'll get paid on a project. File a prelien when you start: most States require it.
3. Move It or Lose It.
Filing deadlines are tight and strict, so don't make a mistake by waiting until its too late to file your claim.
Put the Pressure On and Collect
Football teams don't win games by using only one tactic: they win by using every tool at their disposal, maximizing the pressure on their opponent. The same is true with mechanics liens. Filing more than just a mechanics lien claim puts the squeeze on the company not paying you.
Using a mechanics lien, bond claim, and stop notice are all ways to ratchet up the pressure and increase the chances of getting paid quickly.
When you serve all three documents together, you'll really get attention. Next time you're not getting paid, check with us to see if you can file any one or all of these documents. In the meantime, you can read more about bond notices, stop notices and mechanics liens by visiting LienItNow.com's FAQ Section on the website.
Pre-liens: Necessary Protection
If you're a subcontractor or a supplier, chances are that you need to provide some form of a prelien notice in order to file a lien. Different States call prelien notices different things: they're also known as preliminary notices, notices of intent, lien warnings, etc. But whatever name is used, they all have the same purpose: letting the owner know that you're on the project and that you may be filing a lien if you're not paid for the work you do. The timing requirements for filing a prelien notice also differ from State to State, with some States requiring prelien notices right when you start work or deliver materials, and others requiring them right before a lien is filed. While there are many loopholes that may make your lien valid even if you forget to file a prelien notice, its better to be safe than sorry:
LienItNow recommends providing a prelien notice at the beginning of every project to ensure your potential mechanics lien claim will be valid.
If you need more information regarding prelien notices, and where and when they are required, check out our Prelien Notice FAQ page.
Move It or Lose It.
Every day we receive calls, emails and live chat requests that ask the same question: "Am I too late to file my mechanics lien?" Avoid having to ask that question by filing early. When your receivables are more than 45 days past due, start the mechanics lien filing process. Filing deadlines vary from State to State, but one thing is constant: if you miss the filing deadline, your lien may be invalid.
Don't take chances with your receivables, make sure you file your mechanics lien as soon as your receivables are overdue.
For lien filing deadlines, make sure to check out your State's specific requirements in our FAQ Section.