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Can I file a lien against a retailer when my service rendered to them was as a subcontractor?

Illinois

We were subcontracted by a National Service company to provide lock repair services to a few local retail shops (~10 separate invoices totaling about $3,000). The national service company has refused to pay their invoices. Can I file a lien directly against the local retailer location? If for nothing else but to put heat on the national service company to pay their submitted invoices. This company has a track record of bilking their subcontractors. We are not their only victim per a quick review of their google and yelp listings.

4 replies

Dec 29, 2022

You ask if you can file a Mechanics Lien against property owned by the national company that hired you to do work at local retail shops (you descibe "10 separate invoices totalling about $3,000"). 

The Short Answer is "No." 

You see, a Mechanics LIen is a specific statutory vehicle meant to ensure contractors get paid for improvements to property. The lien arises by law, and only affects the improved property. If you were to file a Mechanics Lien against property owned by the entity that hired you, it would not only be stricken, it would be sanctionable as a "slander of title." 

So, you could file 10 individual Mechanics Liens as to the improved properties. But, it really seems as if you should obtain a judgment for breach of contract against the entity that hired you, file a certified copy of the judgment as a "Judgment Lien," and go from there. Finally, you could always do both - file the 10 Mechanics Liens and sue your customer. 

In any event, I recommend you consult with an Attorney before making a final decision. Best of luck!

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Dec 30, 2022
Maybe. There is not enough information provided to answer your question. However, assuming you have not run out of time to serve the required notices, you would need to file a separate lien for each location and each contract or a purchase order with the national contractor. You might do better just filing a lawsuit against the contractor.
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Dec 30, 2022

Based on what you’ve said below, there is nothing preventing you from filing liens directly against the retailers the same way you would property owners of a construction project.

Feel free to reach out to me directly with any questions.

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Jan 3, 2023
If in Illinois, yes, a Sub-Contractor does have mechanics lien rights. The law is very technical as far as notice and time periods. I’d strongly urge you to read the law and have a lawyer or professional lien claimant company handle this.
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