Frequently Asked Questions - Nebraska Mechanics Lien
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What is a Nebraska Construction Lien Claim?
In Nebraska, liens filed on private property are known as Construction Liens. Nebraska construction liens are regulated by the Nebraska Construction Lien Act, which generally provides for liens against real estate in favor or any person who furnished services for materials under a real estate improvement contract. The purpose of the Nebraska lien law is to protect those who, by providing labor, materials, skills, or services has changed the value of a property. When a Nebraska mechanics lien is filed with regard to work performed on privately owned property, it attaches to and encumbers the fee simple ownership of the property.
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Who can file a Nebraska mechanics' lien Claim?
Every person performing labor upon, providing or hauling equipment, tools or machinery for, or furnishing materials for the construction of a Project. Contractors, subcontractors, sub-subcontractors, suppliers, architects, surveyors or builders can file Nebraska mechanics lien claims.
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Can a mechanics' lien Claim be filed on Public Projects?
In Nebraska, no lien may be filed on public projects or publicly owned property. Contractors are required to obtain bonds on public works, and claims against the bond should be filed instead. A Nebraska bond claim must be filed within 4 months of the final furnishing of services or materials.
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Are pre-lien notices or preliminary notices required in order to file a Nebraska mechanics' lien Claim?
The Nebraska Construction Lien Act provides for certain optional notices, but no mandatory notice requirements. For residential projects, a Notice of Right to Assert a Lien may be given by any claimant to an owner any time after entering into a contract and before a lien is recorded. A Notice of Lien Liability may be required if the owner of the property is considered a “protected party.” A “protected party” is the owner of property with less than 4 non-residential units, an owner of vacant land that is intended in the future to be improved and used as a residence, or an owner of a condominium unit.
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Can you file a Nebraska mechanics' lien Claim without a pre-notice?
When should a Nebraska mechanics' lien Claim be filed?
Nebraska mechanics' liens must be filed within 120 days of the final furnishing of services or materials.
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How much does it cost to file a Nebraska mechanics' lien Claim?
LienItNow.com prepares, files and serves Nebraska mechanics' liens for a fee of $290.00.
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Do I need a written contract to file a Nebraska Mechanics Lien Claim?
No. Oral contracts are sufficient if you have sufficient documentation to show the existence of an agreement or that you performed the work for which you are attempting to file a Nebraska mechanics lien.
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How does filing a Nebraska mechanics' lien Claim help me get my money?
The Nebraska construction lien places an encumbrance on the property that makes it difficult to resell or re-finance the property without first removing the mechanics lien.
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What is a Nebraska Stop Notice and why should it be filed?
LienItNow.com prepares and serves Nebraska Stop Notices for a fee of $125.00. A Nebraska Stop Notice is a notification that has the ability to enhance the effectiveness of a mechanic's lien. A Nebraska Stop Notice, or a notice to withhold funds, is sent to the company that is financing or funding the construction funds for a project. Once that company receives the Nebraska Stop Notice, that company has notice that it should withhold sufficient money to satisfy the stop notice claim. The purpose of the Nebraska Stop Notice is to provide the lender, financiers or funders of the construction project notice that there is money owed to a contractor, subcontractor or supplier so that an inquiry can be made as to why that money is not being paid.
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What is an Amendment to a Nebraska mechanics' lien Claim?
LienItNow.com prepares, files and serves Nebraska Amendments to mechanics' lien Claims for a fee of $250.00. Amendments to a mechanics' lien claim are often needed when something about the lien claim changes. Common changes to a lien claim are increases or reductions in the amount due to the lienor, or a change to the last date of work. Nebraska allows the Construction Lien to be amended within the 120-day filing deadline.. The Construction Lien cannot be amended after the expiration of the 120-day filing period except to lower the amount claimed.
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When should a Discharge of a Nebraska mechanics' lien claim be filed?
LienItNow.com prepares, files and serves Nebraska Discharges of mechanics' lien Claims for a fee of $85.00. Once the lienor has been paid the amount contained in its lien claim, or has come to an agreement that requires the lien claim to be removed from the property records, a Discharge of mechanics' lien Claim should be filed.
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Can I file an Extension of a Nebraska mechanics' lien Claim?
No extensions of Nebraska mechanics' lien Claims are permitted.
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Can I file a Bond Claim on a Nebraska Project?
LienItNow.com prepares, files and serves Nebraska Bond Claims for a fee of $275.00. Bond claims can only be filed on a project where the owner, contractor or subcontractor have obtained a payment bond to ensure that every contractor receives payment for the work performed on the Project. The payment bonds issued by sureties for construction projects have specific timing requirements, but most require claimants to submit claims against the bond within sixty to ninety days from the claimants' last date of work. Bond claims as or more effective than a lien claim because the payment bond acts as a guarantee that payment will be made for work properly completed.
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Do I need to file a Pre-Notice to make a claim against a Nebraska payment bond?
LienItNow.com prepares, files and serves Nebraska Pre-Notices for bond claims for a fee of $50.00. Depending on the terms of the payment bond, pre-notices may or may not be required. LienItNow.com recommends that, prior to or immediately after starting work or delivering materials to a project, subcontractors and suppliers, file a pre-notice that it is a potential beneficiary of the construction project's bond.
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