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Can I file a lien on a development project?


I have been managing the development improvements on a 13 unit project in Payson for over 2 years now. I was always told that I would receive $10,000 up front and the remaining management fee would be paid when the owner sold the improved lots. I have been paid $9500 to date and the owner now refuses to sign any kind of agreement for the rest when he sells the lots. The work is about 85% finished, and I suspect he's just been holding me off until the work is all done, and then not pay me anything more. I told him I will not do any further work on the project unless he either pays be the remaining management fee, or he signs an agreement that he will pay me when he sells the lots. He still refuses to pay me anything. What are my rights as far as filing a lien on the project for the remaining management fee? I am a licensed real estate agent.

2 replies

Jan 7, 2021

First, keep in mind that Utah law, you can only lien a property if you complied with all requirements including filing of a timely preliminary notice.

Second, a person is only entitled to lien for "construction work" or "preconstruction services" as defined under Utah law. 

You should discuss your situation with a Utah construction law attorney. 

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