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Can a lien be filed even before a bill is presented?

North CarolinaCollections Lien Deadlines

Can a contractor file a lien even before he has requested payment? We had a septic system installed 10/9/19 and 10/10/19. No bill was presented. A lien was filed 10/11/19 at 8:38 am. We feel we were not given a chance to pay. We thought a lien could be placed only if payment was not made within 30 days.

1 reply

Oct 17, 2019

Filing a mechanics lien before even billing a project is certainly in poor form, but it may also run afoul of North Carolina's mechanics lien laws. § 44-A12(b) of the North Carolina mechanics lien statute states that a mechanics lien "may be filed at any time after the maturity of the obligation secured thereby but not later than 120 days after the last furnishing of labor or materials..." And, generally, an obligation to make payment won't arise until after the work has been billed. So, it would seem that there's a strong chance a North Carolina mechanics lien which is filed before the work is even billed may actually be a premature lien filing, and that issue may well invalidate the lien filing and render it unenforceable. And, regardless of whether it's even allowed, mechanics liens should be a last-ditch option, and certainly after the work has been billed. Plus, other tools - like invoice reminders, demand letters, or even Notices of Intent to Lien - should typically be utilized before jumping straight into a lien. Hope this was helpful! For more info on North Carolina's mechanics lien rules: North Carolina Mechanics Lien Guide and FAQs. Additionally, I think this resource should be valuable: A Mechanics Lien Was Filed on My Property – What Do I Do Now?

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