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Can I file a lien on a customers office space building

TexasCollections

We fixed a customers pipe that they use on a machine to drill out in the field. We delievered some of it out to the field and some of it they picked up. They have not paid for the invoice and we have sent it out for collections and they still wont pay the invoices. They rent a office suite but that office is in a building with other suites in it. Can I put a lien on that building?

2 replies

Feb 2, 2022

Thank you for your question. A mechanic's lien can only be filed to secure payment for materials and labor for the construction of improvements to real property. Based upon the limited information in your post, it does not appear that your services would qualify for a mechanic's lien.

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Feb 2, 2022

You really should retain a construction attorney to review and evaluate your legal position based on the contract and pertinent documents. The right to be entitled to file a mechanic's lien is set out in Texas Property Code Chapter 53, and you really need to make sure that if you file a lien, you have properly and appropriately done so.

Filing an invalid lien could subject you to liability under the Texas Fraudulent Lien Act, and you could be liable for statutory damages of $10,000, or actual damages, whichever is greater, plus attorney's fees. Facing such a claim would add insult to injury.

You should consider preparing a letter to mail by certified mail, return receipt requested, to your customer to set out the facts and to demand the relief that you want. Attach your contract and unpaid invoice(s) and photographs of your work. Make sure that your letter is professional and business like as it may be evidence later.

If need be, consider filing suit in small claims court (assuming that your claim is less than $20,000), using your letter as evidence.

If you secure a judgment against the customer, you can then impose a judgment lien on the customer's office lease and threaten to seize and sell the lease.

Good luck.

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