We are a material supplier that fabricates and ships metal panels for building exteriors. We supplied panels to a car dealership in New Jersey. A preliminary notice WAS sent, but sadly the deadline to file the lien was missed. We received a message through LevelSet that the deadline to foreclose on the line is in a few days. Do we still have some sort of legal claim or have we missed our chance? We are owed $15,689. Preliminary Notice was sent 02/26/2021 - Deadline to file a construction lien WAS 06/03/2021 (missed) - Deadline to foreclose on lien 03/04/2022
Dear Ms. Snyder,
Liens are often the best way for a contractor or supplier to get paid, but they are not the only option. If you have a signed contract or purchase order, you can file a complaint alleging a breach of contract claim. Depending on the party with whom your company contracted, you could also likely allege a claim for a violation of the NJ Prompt Payment Act. This statute gives successful litigants interest and attorneys' fees if the case is adjudicated. However, those punitive relief elements generally increase the likelihood that the dispute will be settled.
If your company's claim is worth $15,689, I also note that you could elect to sue in New Jersey's Special Civil Part. The jurisdictional limit for Special Civil is $15,000, but cases are processed on an expedited basis using a form complaint and limited streamlined discovery. For choosing to abandon the $689, you would be able to secure a judgment much faster than you could in the civil division.
Please reach out if you would like to discuss. I only represent contractors and suppliers, and I respectfully aver that you will not find another construction attorney in PA/NJ who operates as efficiently as I can.
Thanks,
Colin Schmitt
cschmittlaw@gmail.com
609.400.1006
Dear Mr Schmitt,
Thank you for your quick response to our lien question. I am pleased to hear your suggestions to pursue the outstanding balance. I have forwarded your message to our CFO along with your contact information. I will send a follow up response if he advises me to reach back out to you.
We truly do appreciat your input.
Thank you!
Lisa Snyder - CEI Materials