Frequently Asked Questions - North Dakota Mechanics Lien
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What is a North Dakota mechanics' lien claim?
Liens filed on private property or on funds relating to a public project are known as North Dakota Mechanic's Liens. When a North Dakota lien is filed with regard to work performed on privately owned property, it attaches to and encumbers the fee simple ownership of property. When a North Dakota lien is filed with regard to work performed on a publicly or government owned property, it attaches to the fund of money which the public agency has allocated for a project. The reason for this is that you cannot force the sale of publicly owned land (public agencies mean any county, city, town, township, public commission, public board or other municipality authorized by law to make contracts for the making of any public improvement in any city, town, township or other municipality).
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Who can file a North Dakota mechanics' lien Claim?
Contractors, as well as subcontractors, sub-subcontractors and suppliers can file North Dakota mechanics lien. Suppliers to suppliers, architects, surveyors, engineers, professional soil testers, mappers, and demolition/excavation also have lien rights. Equipment lessors have lien rights if contracted directly by the property owner.
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Are pre-lien notices for a North Dakota mechanics' lien Claim required?
Yes. North Dakota has preliminary notice requirements. No claimant is entitled to a North Dakota mechanics lien unless it first serves written notice upon the owner, informing him that if payment is not made on the lien claimant's account within 10 days of mailing, a North Dakota mechanics lien will be perfected. The notice must be recorded.
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Can you file a North Dakota mechanics' lien Claim without a pre-notice?
No. The pre-notice is required.
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When should a North Dakota mechanics' lien Claim be filed?
North Dakota mechanics' liens on private property must be filed within 90 days of the last date the lienor provided materials or services to the Project. However, North Dakota lien rights are not lost if the time frame is not met except against bona fide purchasers for value.
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How much does it cost to file a North Dakota mechanics' lien Claim?
LienItNow.com prepares, files and serves North Dakota mechanics' liens for a fee of $290.00.
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Do I need a contract in order to file a North Dakota Mechanics Lien Claim?
North Dakota requires a contract and the date of the contract is a requirement of the lien form.
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How does filing a North Dakota mechanics' lien Claim help me get my money?
On a private project, the North Dakota mechanics' lien places an encumbrance on the property that makes it difficult to resell or re-finance the property without first removing the lien.
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What is a North Dakota Stop Notice and why should it be filed?
LienItNow.com prepares and serves North Dakota Stop Notices for a fee of $125.00. A Stop Notice is a notification that has the ability to enhance the effectiveness of a mechanic's lien. A 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 Stop Notice, that company has notice that it should withhold sufficient money to satisfy the stop notice claim. The purpose of the North Dakota 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 North Dakota mechanics' lien Claim?
LienItNow.com prepares, files and serves Amendments to North Dakota mechanics' lien Claims for a fee of $250.00. Amendments to a mechanics' lien claim are often needed when something about the 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.
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When should a North Dakota Discharge of mechanics' lien claim be filed?
LienItNow.com prepares, files and serves North Dakota 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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How much does it cost to file an Extension of a North Dakota mechanics' lien Claim?
LienItNow.com prepares, files and serves extensions of North Dakota mechanics' lien Claims for a fee of $85.00. All lien claims expire after a certain period of time, and filing an extension of the mechanics' lien claim prolongs the expiration date. North Dakota does not require an extension of mechanics' lien claims and foreclosure actions must be brought within 3 years.
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Can I file a Bond Claim on a North Dakota Project?
LienItNow.com prepares, files and serves North Dakota 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 North Dakota payment bond?
LienItNow.com prepares, files and serves North Dakota 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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