Earlier this year, we posted about some substantial changes to Utah’s mechanic lien laws. The new regulations amend and revise the existing mechanic lien laws in Utah to provide for the following big picture changes:
- There is now a right to lien for “preconstruction services,” which are services that are performed in anticipation of construction;
- To preserve the right to file a “preconstruction lien,” the new law creates a “Notice of Retention,” which acts like a preliminary notice for these services, and must be filed within 20 days of first furnishing preconstruction services to a project.
- Preliminary notices are now always required on Utah projects (state and private) regardless of whether a notice of commencement is or is not properly filed.
- Any agreement to waive lien rights before payment is now void.
- Lien Priority of mechanics liens over mortgages and construction loans is strengthened.
A more detailed analysis of the lien law changes is found in our blog post from May 2011, when we discussed each change in detail: Changes to Utah Mechanic Lien Laws Take Effect August 1, 2011.
This is an alert that the new Utah lien laws are now in effect.