What is a Mechanic’s Liens?
A mechanic’s lien is a legal claim for unpaid construction work. When a contractor files a lien, they gain a security interest in the home or property. The lien clouds the real estate title, making it difficult for the homeowner or property owner to sell it until the lien claim is paid.
If they are not paid, general contractors, subcontractors, and material suppliers have a right to assert a lien upon the property for the value of work performed, or the cost of the materials supplied, to improve such property or supplies delivered to the project site.
These type of liens are called a mechanic’s liens, and it ensures the rights of people who provide labor and or materials to increase the value of the property.
While the theory is straightforward, Kansas and Missouri have:
- Very specific notice and service requirements
- Deadlines that must be met, and
- Specific language that should be used
In order for a mechanic’s lien or subcontractor’s lien to be enforceable – do not put yourself at risk!
If you are a company that works in the construction industry we recommend that you use the knowledge and experience of a construction lawyer, like MSB partner Stan Bachman, to ensure that you are preparing the necessary documents and complying with the rules required to make your lien enforceable should you need to invoke it.