Indiana Mechanics Lien Requirements
Indiana law sets forth specific requirements that unpaid construction parties must follow in order to file a mechanics lien claim.
Generally, Indiana gives mechanics lien rights to any party who provides labor or materials to a permanent improvement on real property. Contractors, subcontractors, suppliers to prime or subcontractors, laborers, and equipment lessors are all eligible to file an Indiana mechanics lien if they are not paid for their work or materials.
Suppliers to suppliers have recently been declared to have mechanics lien rights in Indiana.
Indiana’s lien filing deadlines depend on the nature of the project.
Under Indiana mechanics lien law, there are 3 different types of projects:
- Residential projects (1-2 units)
- State-regulated utilities projects (heat, light, water, power)
- All other projects (commercial or industrial)
For residential projects in Indiana, the deadline to file a mechanics lien in Indiana is 60 days from the last date that the contractor or supplier provided services, labor, or materials.
For all other projects, the lien must be filed within 90 days of the last date that the claimant provided services and labor.
Indiana mechanics lien law requires parties who do not have a direct contract with the owner to provide preliminary notice. Sending this notice is required in order to preserve their lien rights. The notice required is called a Preliminary Notice to Owner of Mechanic’s Lien Rights. Parties should send preliminary notice to the property owner via certified mail with return receipt requested.
- Visit Indiana Preliminary Notice Requirements to learn the rules and deadlines.
An option to further secure rights includes sending a Notice to Owner of Personal Liability that works similar to a Stop Notice. Because it is not required, there is no deadline by which it must be sent. It should be sent to the property owner via certified mail with return receipt requested.
Lien form requirements
An Indiana mechanics lien form must contain the following information:
- Claim amount
- Name and address of the claimant
- Owner’s name and address (as shown on the property tax records of the county)
- Legal description of the property, and street and number – if any – of the lot or land on which the house, mill, manufactory or other buildings, bridge, reservoir, system of waterworks, or other structure may stand or be connected with or to which it may be removed.
A legal description of the property is required by Indiana mechanics lien law. A property description can be determined legal if it is obtained from the latest entry in the transfer books of the county auditor, the transfer books of the township or county assessor at the time the lien is being filed.
Download a free Indiana mechanics lien form, prepared by construction attorneys.
Indiana claimants must record their mechanics lien with the recorder’s office in the county where the property is located. Claimants must provide at least two copies of the Indiana mechanics lien form. Once the lien has been recorded, the recorder is required to send one of the duplicate copies of the lien to the property owner a copy via priority mail no later than 3 business days after recording.
Enforcing the lien
A mechanics lien doesn’t last forever. If unpaid, Indiana claimants must take action to enforce their lien within 1 year from the date of recording.
However, if the Indiana property owner provides a 30-Day Notice to Foreclose, the enforcement deadline is shortened to 30 days.