Home>Levelset Community>Legal Help>Do we have protection from our prelim that was filed for $5,000 for a mechanics lien we want to file for $85,000?

Do we have protection from our prelim that was filed for $5,000 for a mechanics lien we want to file for $85,000?

CaliforniaMechanics Lien

I'm looking at project 714 W. Potrero we are owed $85K and I filed an intent to lien on 11.19.19. I am just learning about the Mechanic's lien process as it relates to filing a prelim. Can we file a Mechanic's Lien for $85K when we only have one prelim on file that was sent last Dec 2018 for $5K? Our company wasn't filing prelims when the job started in 2017. The one I filed last year was because that is where we were at with what they owed us. But since then more proposals and work has been done but no additional prelims were filed. Can you confirm in your records only 1 prelim for $5k has been filed? Does that mean our lien rights are only for$5K?

1 reply

Nov 30, 2019

Good morning -- While I cannot answer whether Levelset recorded only one preliminary notice for $5,000, I can tell you that if $5,000 was a good faith estimate that was derived from a rational basis at the time it was served, it should protect your entire $85K claim on the project. Remember to have your lien recorded within 90 days from actual completion of the project or 30 days from a valid notice of completion, whichever is first! ---CN

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