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can someone file a lien on if they don't finsh in the date as agreed.

I am a contractor and I hired a sub contractor to perform a work for a house that I am remolding. the subcontractor did not finish the work in the time agreed ( March 17, 2018) in writing. in the contract I have a penalty of $500 for every day after March 17, 2018. I have also a clause stating that no payment shell be made unless work is satisfactory complete.

1 reply

Mar 26, 2018

First, whether a claimant can file a mechanics lien and whether a claimant can file a valid mechanics lien may be two separate questions completely. Often, even where there are obvious flaws with a lien claim, that claim might be filed. Granted, upon challenging the lien (or if a claimant attempts to enforce their lien), any flaws with a claim may be brought to light and could ultimately result in the discharge of a claim. Anyway, if a claimant has provided work and has not been paid in full for their work, the claimant might have a right to file a lien - even where that work is performed beyond a given deadline. That a contract provides for payment only after substantial completion would seem to have little effect on a lien filing (though it could impact the enforcement of such a lien). In Texas, a subcontractor has a lien if they furnish labor or materials for construction work. That lien secures payment for labor or material furnished. The lien may be in the amount of (but may not exceed) an amount equal to the proportion of the total subcontract price of the labor the has been performed and/or materials that have been furnished (minus sums already paid). While there is a deadline as to when such a lien may be filed, filing a lien early - and even before final payment is due - is permissible in Texas.

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