Are temporary labor suppliers required to serve notice of furnishings in Ohio?

10 months ago

This is regarding Labor only, what is the best way to protect lien rights in Ohio

Senior Legal Associate Levelset
477 reviews

Most Ohio construction businesses must send a Notice of Furnishing in order to preserve their right to file a mechanics lien when hired by someone other than the owner. This includes both subcontractors and suppliers. However, “laborers” are not required to send the notice. To be sure, § 1311.05(G) of Ohio’s mechanics lien statute reads: “No laborer must serve a notice of furnishing in accordance with this section to preserve lien rights.

Still, it’s important to understand how the term “laborer” is used in the context of the statute. § 1311.01(C) defines the term to include “any mechanic, worker, artisan, or other individual who performs labor or work in furtherance of any improvement.” 

So, an individual supplying manual labor or work on a job would likely not need to send a Notice of Furnishing in order to preserve their right to file an Ohio mechanics lien (though, it’s a good idea to send one anyway). But, a company providing work or laborers to a job likely would.

For more information on Ohio’s Notice of Furnishing rules and mechanics lien requirements:

– Ohio Preliminary Notice Guide and FAQs
– Ohio Mechanics Lien Guide and FAQs

Disclaimer: The information presented here is not legal advice and should not be construed as such. Rather, this content is provided for informational purposes. Do not act on this information as if it is advice. Further, this post does not create any attorney-client relationship. If you do need legal advice, seek the help of a local attorney.
Chief Legal Officer Levelset
134 reviews

Ohio has pretty specific Notice of Furnishing rules and requirements, but there are some situations in which a Notice of furnishing does not need to be sent in order for a participant to retain the ability to file a valid and enforceable mechanics lien.

A notice of furnishing is never specifically required if:

1) the property owner (or other party authorizing work) fails to file and post a notice of commencement;
2) the project is on a single or double family residence or condominium;
3) the potential lien claimant is a wage laborer

If any of the above situations apply, a valid and enforceable lien may be filed without the claimant having previously provided a Notice of Furnishing.

Senior Legal Associate Levelset
477 reviews

Laborers, themselves, do not need to send an Ohio Notice of Furnishing in order to preserve their right to lien. However, a company supplying or employing laborers would not seem to fall under the Ohio mechanics lien statute’s definition of “laborer” – so, if they intended to assert mechanics lien rights, they’d likely need to send a Notice of Furnishing.

We got a question pretty similar to this one the other day here on the Expert Center, and I think the answer would be valuable here:  Are temporary labor suppliers required to serve notice of furnishings ?

Finally, for more information regarding Ohio’s notice and mechanics lien rules, here are some resources that will be valuable:

– Ohio Preliminary Notice Guide and FAQs
– Ohio Notice of Furnishing: The Why, Who, What, When, and How
– Ohio Mechanics Lien Guide and FAQs

Disclaimer: The information presented here is not legal advice and should not be construed as such. Rather, this content is provided for informational purposes. Do not act on this information as if it is advice. Further, this post does not create any attorney-client relationship. If you do need legal advice, seek the help of a local attorney.
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