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Can a contractor in the state of NY file a lien on property with no contract?

New YorkPayment DisputesRight to Lien

Can a contractor in the state of NY file a lien on property with no contract? I had a dishonest contractor I thought was a friend come do temp replies to my house after a storm, no contract was signed nor was a price talked about I let him submit a bill to my insurance company which I paid via my own funds from my checking account. The checks were cashed and now he’s threading a lien

1 reply

Jul 13, 2020
New York generally doesn't require that a written contract be in place for a mechanics lien to be filed. Though, for New York home improvement projects, the lack of a contract may make it hard for them to file a valid lien or to prove the value on their lien claim. With that being said, a contractor can't take payment on the one hand, then file a lien for those same amounts on the other. Doing so will result in an invalid and unenforceable lien - and it could even result in a willfully exaggerated lien, as laid out at § 39 of New York's mechanics lien statute. If that happens, then the lien would be void, and the claimant may end up becoming liable for the exaggerated lien. If your contractor is threatening a lien claim after being paid in full, sending them a demand letter requiring them to stand down might get them off your back. Including evidence of payment (i.e. copies of checks or bank statements), and letting them know you understand your legal rights can help to force them to walk away. These articles may be helpful, too: (1) I Just Received a Notice of Intent to Lien – What Should I Do Now?; and (2) A Mechanics Lien Was Filed on My Property – What Do I Do Now?
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