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Can a Supplier generate an NOI and send to all parties if the balance owed to them is zero?

Arizona

Is there recourse or legal consequences in the event the owner of the project is withholding $10+k from our customer, and we as the supplier generate an NOI (even though the customer has paid us assuming they would be paid from the owner). **We're trying to help our customer recoup funds owed to them, and they have inquired what, if anything we can do to assist. ***

1 reply

May 3, 2021
The recourse would be for them to file a mechanic's lien (assuming they sent a proper preliminary 20-day notice) or if they do not have lien rights they can sue for breach of contract. Either way they should talk to an attorney to determine the strength of their case and whether a lawsuit is worth it.
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