Five Important Services to Know about when it Comes to Mechanics Lien

Five Important Services to Know about when it Comes to Mechanics Lien

Most of us know how important it is to have mechanics liens in today’s construction industry. In order to complete a project, no matter how big or small it is, the same procedures, protocols and processes have to be followed. In order to make sure that paperwork is completed properly, and to make sure everybody gets paid, mechanic’s liens have to be offered as well. Getting this right, however, can be quite complicated. It is for this reason that various services are offered in order to help people get their liens right. If you are considering taking out a lien, you may need one of these services.


Service 1 – Preliminary Notice

This is a notice that is of importance to the owner of the property. Simply put, they will get a notice that states they are hiring someone to provide equipment, services, labor or materials in order to improve the property itself. This could involve remodeling or removing existing structures or adding new ones, for instance.

Service 2 – Mechanics Lien

This is perhaps the most important service of all. Mechanics lien services can be offered to both real and personal property. Depending on the type of property, it is known under different names. Essentially, a lien is placed against a property’s title, meaning that a financial interest has been lodged against it. Only the party placing the lien can have it removed. These services are vital because it ensures that contractors are able to enforce payments due to them.

Service 3 – Stop Notice

A stop notice is offered by suppliers or contractors on projects. This lists exactly what types of materials and supplies have been or will be used during a certain project. It also shows the expected overall cost, as well as any payments made from either side.

Service 4 – Bonded Stop Notice

The bonded stop notice is a different type of notice. There are a few others, but this is the most commonly used. Various complicated legalities are involved with bonded stop notices, but it basically means the lien is sold at 125% of the original claim. Essentially, it is a type of damage recovery system.


Service 5 – Miller Act Notices

Finally, there is the Miller Act. This exists for any federally funded projects. Basically, if a contractor or other type of construction or mechanic expert is not paid for their services offered to a federal construction project, they are at liberty to file a Miller Act Notice against the bond of the general contractor. This ensures that they will get paid the money that they are owed for their services.

Each of these services is vitally important. In order to protect themselves, all suppliers, contractors and vendors should speak to legal experts in the field of mechanics’ liens, thereby ensuring that their situation is properly addressed. This will give them the opportunity to better understand their rights and responsibilities and how to make sure they are given what they are due.

Back to Top