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Can an Un-Licensed Sub-Contractor from out of state place a lien of any kind on a commercial property?

Nevada

General Contractor hired an unlicensed-out-of-state sub-contractor to complete work on commercial properties. The sub-contractor did not complete work and abandoned the worksite. The sub-contractor is now demanding payment for incomplete work and threatening the General Contractors Customer with threats of liens on the commercial properties that incomplete work was done. Customer of General Contractor does not want to pay General Contractor until a Sub-Contractor signs a release stating that Sub-Contractor will not place liens. Sub-Contractor is refusing to sign statement until paid for 100% of work.

1 reply

Oct 25, 2022
The general answer to the question is No, an unlicensed contractor should not be able to enforce a Mechanic's Lien in a Nevada Court. According to NRS 108.222(2), if the subcontractor was required to be licensed to perform its work on the Project, it would be barred from perfecting the lien unless the subcontractor was properly licensed. If the Subcontractor records a lien, you should be able to get the lien expunged by filing a motion to expunge the lien pursuant to NRS 108.2275 and if you prevail on the motion, the Subcontractor will have to pay for your attorneys' fees in pursuing the motion. In addition, if the subcontractor was supposed to be licensed, they could be turned into the Contractors Board for criminal prosecution, but I would suggest speaking with a construction attorney before you pursue this matter as it could have ramifications on other issues. Good Luck...
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