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Contractor filed bankruptcy after we paid him in full and the building is still not built. What next?

KansasBankruptcyMechanics Lien

We paid a contractor $24K to build a garage. We paid in full to get a 5% discount. The contractor has since filed bankruptcy and now i want to know if the subcontractors/suppliers he hired can come after me for more money.

1 reply

Nov 28, 2017
I'm sorry to hear that. In Kansas, contractors, subcontractors, and suppliers to contractors and subcontractors are entitled to mechanics lien rights. However, for suppliers to have lien rights, the materials must be actually used in the project. If this is a residential project, subs, laborers, and suppliers must send proper notice before filing a lien. If the project is commercial, no notice is required. If the subs and suppliers are entitled to file liens and if they have abided by the applicable requirements, it is entirely possible that they will file mechanics liens to recover what they are owed for work performed or materials delivered and incorporated. Unfortunately, in this situation, that means having to pay for work twice is a very real possibility.
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