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Commercial Property Foreclosure Leins in Texas

Texas

We were General Contractors on a new driveway ramp, stem wall, entry way steps, and ADA parking ramp for a commercial property. After completion of the job the tenant refused to submit our invoices to the landlord until multiple additional change orders were completed. We tried to request the landlord be present at a meeting with the tenant, but he did not send the request to the landlord. It wasn't until communication broke down that we were able to find out who the landlord was but have not received any communication from the tenant or the landlord since we sent a summary of a mediated meeting. Neither the landlord nor tenant are responding to communication attempts. We are going to put a lien on the commercial property, but a fellow contractor suggested we file a Foreclosure Lien as well. Is this something we can do on a commercial property and if so, how do we go about filing this in Travis County in Texas? Any help would be much appreciated. Thank you for your time and help during this difficult time.

1 reply

Nov 22, 2021

You really should retain a construction attorney to review and evaluate your legal position based on the contract and pertinent documents.  

There is no such thing as a "Foreclosure Lien" separate and apart from the Affidavit of Statutory Mechanic's Lien provided under Chapter 53 of the Texas Property Code, or an Affidavit of Constitutional Lien provided under the Texas Constitution (for original contractors who have contracted directly with the owner or the owner's agent).

When dealing with a tenant, a contractor may only have rights to file a lien against the tenant's leasehold interest, unless the owner of the real property (the landlord) has commissioned the construction.

So retain a construction attorney as soon as possible so that your Property Code lien rights do not expire. Since mechanic's liens can be filed over the internet, the construction attorney can be based about anywhere as long the attorney understands Texas mechanic's lien laws and principles.

Good luck.

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