Finished a commercial TI, landlord posted a letter of Non responsibly on window, how do I go about lien
1 reply
Feb 18, 2020
In California, an owner is entitled to file a Notice of Nonresponsibility to limit the availability of mechanics lien rights against their property due to a tenant's improvement. And, if the owner knows about the improvements underway at their property and fails to file a proper and timely Notice of Nonresponsibility, then the owner will not be able to avoid responsibility for the lien. Notably, the deadline for a Notice of Nonresponsibility is incredibly short.
California's Notice of Nonresponsibility requirements are strict
A California Notice of Nonresponsibility must be recorded with the county recorder and posted to the project property within 10 days of the owner becoming aware of the improvement. Otherwise, it won't be effective to block lien rights. And, to be sure, § 8442 of the California Civil Code explicitly allows for a mechanics lien against the owner's interest in the property if the owner knew about the improvement but failed to record and post a Notice of Nonresponsibility.
So, if the owner knew about the project for more than 10 days before recording or posting the Notice of Nonresponsibility, then posting one to the job site won't have any effect on lien rights. Plus, it's probably worth checking into the property record to determine whether the notice was recorded as well as being posted. It's possible an owner might try to get by with simply posting the notice.
However, if the owner did manage to timely record and post a Notice of Nonresponsibility, then mechanics lien rights would not be available against the owner's interest in the property (i.e. a lien wouldn't be available against the land, itself). Though, a lien could be claimed against the tenant's interest in the property (i.e. against their lease).
For more information on exactly how to file a California mechanics lien: How to File A California Mechanics Lien – Step By Step Guide To Get You Paid.