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Can I file a lien on a property

Texas

I am a GC working for the owner of the property. We sent a Conditional lien release and Progress Payment App for construction that has been completed on 12/15/20. On 1/15 I sent them a Notice of Intent as I have not yet been paid. They are currently in breach of their contract and are telling me that they don't want to pay the payment according to the pay schedule in the contract and want to wait until another portion of the job is completed.

3 replies

Jan 25, 2021

The short answer is yes. The longer answer is that you can file a Texas Constitutional lien, but you would need to send a notice letter prior to filing for a statutory lien. The lien schemes in Texas are complicated, so it is definitely worth reaching out for assistance to make sure the process is handled correctly.  

Very best,

Ben House 

281-762-1377

ben@houseperron.com

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Jan 25, 2021

You may have mechanic's lien rights. However, you should retain a construction attorney to help you evaluate your lien rights. If you file an invalid mechanic's lien, you could be liable for violating the Texas Fraudulent Lien Act, which can impose $10,000 in statutory damages or actual damages, whichever is greater, plus attorney's fees and court costs. So, filing an invalid lien can be risky.

The legal analysis would start with a review of the contract, and extend to the communications which have occurred.

Retain a construction attorney to evaluate your rights.

Good luck.

 

 

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Jan 26, 2021
You should be able to lien the job – and do not wait since lien rights expire every month. I say “should” because there are other issues that affect my answer to your question.
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