It’s been a month since my company finished a job for a builder and I only received 600$ of a 5220$ total. I didn’t sign. Contract with the builder but I can show proof of my work on the property.
1 reply
Mar 5, 2020
North Carolina mechanics lien claimants generally do not need to have a written contract in order to have a valid and enforceable lien claim. As long as the claimant can show that they performed authorized work which was not paid for, the claimant should be able to pursue a valid and enforceable mechanics lien claim. Though, when there's no written contract, it'd be wise to collect any and all relevant documentation that could prove the claim - like texts, emails, purchase orders, receipts, permits, inspections, photographs, etc.
Further, keep in mind that jumping straight to a mechanics lien might not always be necessary. Instead, trying less-aggressive options might be a better first step. For one, sending an invoice reminder can be a helpful way to prod a customer into paying what's owed. Or, if there's a full-blown dispute at hand, something more aggressive like a payment demand letter may be appropriate.
Finally, keep in mind that the threat of a mechanics lien - via Notice of Intent to Lien - will often lead to payment, too. That's especially true where both the builder and the owner are made aware of the potential lien claim on the horizon. It's possible the owner knows nothing about the payment issues on the job and that they'd be willing to help make things right. Often, if the owner knows their contractor hasn't used the project funds properly, they may be able to put additional pressure on their contractor to pay what's owed.