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Home>Levelset Community>Legal Help>Does the clock start when the material is shipped to the subcontractor or when the subcontractor actually start working on the project? Thanks

Does the clock start when the material is shipped to the subcontractor or when the subcontractor actually start working on the project? Thanks

IndianaLien DeadlinesPreliminary Notice

We will ship material to a customer of ours but they may be delayed in starting the project they are hired to do. When does the clock start ticking as far as sending notices? This is in Indiana but could also happen in Kentucky and Ohio

1 reply

Aug 10, 2018
That's a great question. Generally speaking, the date that materials are delivered to the project should be sufficient for the "start date" or "first furnishing" of a material supplier. It would be unlikely that a deadline for first furnishing would be based on the actions of a third party, plus sending a notice late tends to be a lot riskier than sending notice a little early. Of course, there may be some differences state-by-state, so let's look at Indiana, Kentucky, and Ohio's notice requirements. First - Indiana. In Indiana, based on § 32-28-3-1, preliminary notices should be sent based on "the date of first delivery or labor performed". Thus, it would appear that, in Indiana, it would appear that the time runs from when the material is actually delivered. Looking at Kentucky, the statute doesn't really clarify what will count as "first furnishing" - so using the date when materials were delivered should be sufficient. In Ohio, under § 1311.05 of the lien statute, notice must be sent "at any time after the recording of the notice of commencement or amended notice but within twenty-one days after performing the first labor or work or furnishing the first materials..." Thus, notice may be sent at any point after the Notice of Commencement has been filed and will not be considered early, and the deadline for sending notice will be based on when material is furnished.
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