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Do sign companies that file their own NOC still need to send a Notice to Owner?

FloridaNotice of CommencementPreliminary Notice

We are a sign company that is often hired by a large project management company. The project management company is hired by the business owner. And sometimes the business owner is actually renting a commercial space and does not own the property, so there is a property owner as well. It is usually the business owners full responsibility (either stated in the lease or stated in the letter of authority) to take care of any work that needs to be done to the building space including signs. We regularly file an NOC for our part of the work and that NOC will show the business owner and the property owner (as the fee simple title holder). Do we also need to file a Notice to Owner or preliminary notice in addition to the NOC?

2 replies

Nov 5, 2019
Ultimately, Florida's Notice to Owner requirements apply to all parties other than those who are hired directly with the property owner. Thus, when your customer is someone other than the fee title owner of the property, it's typically wise to send notice. However, the definition of "owner" can be a little bit flexible - creating some grey area.

Who's considered an "owner" on a Florida construction project?

Pursuant to § 713.01(23) of Florida's mechanics lien statute, an "owner" is considered "a person who is the owner of any legal or equitable interest in real property, which interest can be sold by legal process, and who enters into a contract for the improvement of the real property."  The last part of that definition might seem to include a project management company. After all, that company is generally the one who will contract for the work. But, the front half of that definition should give some pause. A property management company would likely not be considered a party who owns a transferrable legal or equitable interest in the property. Generally, there are restrictions on the sale or transfer of contracts to third parties, plus a project management company might not actually have legal or equitable interest when they're merely working under a contract to manage the property, without more to the agreement.

There's little harm in sending Notice to Owner - even if that notice might not be required

We say it all the time at Levelset - it's a good idea to send notice, regardless of whether it's actually required. So, in a situation where it's not crystal clear as to whether a Notice to Owner should be sent, it's typically a good idea to send the notice anyway. Doing so can have lots of benefits - beyond just preserving the right to lien. And, a failure to send notice could have unfortunate consequences. For more background on Florida's Notice to Owner requirements: - Florida NTO Guide & FAQs - Florida’s Notice to Owner – How To Prepare & Send Your NTO
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Nov 6, 2019
Yes. Anytime you are not in contractual privity with the property owner you need to send a notice to owner. While there can be exceptions in the landlord tenant context, those are very fact dependent and the safest bet is to serve a notice to owner.
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