US Virgin Islands Mechanics Lien Guide and FAQs

In the US Virgin Islands, mechanics lien protection extends to general contractors, subcontractors, sub-subcontractors, and any person who provides labor and/or materials.

Note that the right to file a mechanics lien may be restricted if the prime contractor or owner obtained a bond for the project. If a bond is obtained, the claimant may only file a lien for an amount due that is not covered by the bond. To file a claim against the bond, proper notice of the claim must be filed with the surety and the prime contractor within 60 days after last furnishing labor and/or materials. Suit on the claim against the bond must be initiated within 1 year after last furnishing labor and/or materials.

In the US Virgin Islands, a mechanics lien, referred to as a “Notice of Lien”, must be filed within 90 days of the date on which the lien claimant last furnished labor and/or materials to the project.

No. In the US Virgin Islands, the mechanics lien need only be recorded in the office of the recorder in the district in which the project takes place.

As a practical matter however, it may be best practice for a lien claimant to send a copy of the mechanics lien to the property owner as it may facilitate payment.

No. For prime contractors, the lien is limited to the amount claimed to the unpaid part of the prime contract less the aggregate amount secured by the liens of all subcontractors.

For subcontractors and suppliers, the lien is limited to the lesser of the amount unpaid under its contract, or the part of the contract price remaining unpaid under the prime contract at the time the owner receives notification of the subcontractor’s right to claim the lien and any additional part of the prime contract price paid prior to the filing of a notice of commencement.

Generally, this means that the lien amount is limited to the amount unpaid under the subcontract, as the additional information may not be available to the claimant.

In the US Virgin Islands, an action to enforce a mechanics lien must be initiated within 90 days of the lien’s recording. However, the lien may be extended for additional 90 day periods. It cannot be extended for longer than 1 year from the time of completion of the project.

A US Virgin Islands mechanics lien has priority over any encumbrance recorded after the date on which the mechanics lien attached.

If the owner recorded a notice of commencement and it is still effective, the claimant’s lien attaches as of the time the notice of commencement was recorded. If no effective notice of commencement is in place, the claimant’s lien attaches at the time his mechanics lien (referred to as a notice of lien) is recorded.

Competing mechanics liens have equal priority and funds are shared pro-rata if there are not enough to fully cover all claims.

No. A mechanics lien in the US Virgin Islands requires a description of the real estate subject to the lien sufficient for identification.

No. A US Virgin Islands mechanics lien does not need to be notarized.

US Virgin Islands lien law does not impose any specific licensing requirements in order to file a valid mechanics lien. However, it is never advisable to perform work unlicensed if a license is required.

Yes, a mechanics lien may be filed against an individual condominium just as against any other property, provided the lien claimant has valid mechanics lien rights.

US Virgin Islands law requires that a lien claimant release their lien rights upon full or partial satisfaction of the lien. The lien claimant is required to record a signed cancellation statement within 10 days of full or partial satisfaction of the lien, which must include the reference location for the notice of lien.

The US Virgin Islands do not have statutory lien waiver forms; therefore, you can use any lien waiver form. Since lien waivers are unregulated, be careful when reviewing and signing lien waivers.

US Virgin Islands law is silent regarding advance lien waivers.