How long do I have before filing a claim of lien after filing a NNP on a bond?
I sent a copy of the NNP to the owner/contractor.
1 reply
Feb 17, 2020
In Florida, the "Notice of Nonpayment" is used when a payment bond exists on the project, and stands in for protection that would otherwise by provided by a mechanics lien.
A mechanics lien is a claim against the property itself, and ultimately could result in the foreclosure sale of the property to satisfy the debt owed to the claimant. In some cases, whether because the project is on public property which cannot be subject to liens and a bond is mandatory, or because the private property owner wanted to shield his/her property from lien claims, a payment bond can be provided instead. The payment bond is a theoretical "pile of money" that provides the security against nonpayment that the property would otherwise provide.
If a bond exists, and a notice of nonpayment is provided, the claimant must initiate an action to enforce the bond claim within 1 year from the date on which labor or materials were last furnished to the project. Note, however that this period may be shortened by action of the property owner.