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Does a delivery service fee for construction materials delivered to a job site qualify for a mechanic's lien?

Texas

We are a delivery service company having entered into an agreement to deliver construction materials (not ours) to a residential remodel site, as a COD payment. Company Rep didn't show and we were forced to drop the materials, without receiving payment, as we had other jobs scheduled and needed to have our rig empty for other work. Now, all we get are excuses instead of payment. Small amount, $200.

2 replies

Jun 23, 2021

You really should retain a construction attorney to review and evaluate your legal position based on the contract and pertinent documents. The right to be entitled to file a mechanic's lien is set out in Texas Property Code Chapter 53, and you really need to make sure that if you file a lien, you have properly and appropriately done so.

Filing an invalid lien could subject you to liability under the Texas Fraudulent Lien Act, and you could be liable for statutory damages of $10,000, or actual damages, whichever is greater, plus attorney's fees. Facing such a claim would add insult to injury.

You should consider preparing a letter to mail by certified mail, return receipt requested, to the builder to set out the facts and to demand the relief that you want. Attach to the letter the invoice, and photographs of the delivered materials. Make sure that your letter is professional and business like as it may be evidence later.  

If your letter does not result in payment, consider filing suit in small claims court, using your letter as evidence.

Good luck.

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Jun 24, 2021

Hello,

You may qualify for lien rights under Chapter 53 of the Texas Property Code.

However, you are not allowed to lien for the amount required to file the lien or additional fees. For a $200 owed to you, you are looking at $300 to file the lien, $1,500 to draft the lawsuit (depending on who you go to), $300 filing fee in the nearest District Court because small claims court does not have jurisdiction, and a $100 service fee to have the lawsuit served on the Defendant.

At this point, you are at $2,200 in costs to chase $200 owed. I don't tell grown folks how to spend their money but you will want to carefully evaluate your next steps.

E. Aaron Cartwright III
214.799.0776
Aaron@EACLawyer.com

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