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Hello, I am wondering if I still have lien rights. Can somebody help with that?

Hello, I am a subcontractor on a job that we completed on 6/15. I have yet to be paid and would like to file a lien, but I'm not sure if I still have lien rights. I did sign a Subcontractor's Conditional Final Waiver of Lien which states that once I am paid in full I will not file a lien. I have still not received my final payment.

1 reply

Aug 21, 2018

In Massachusetts, a first-tier subcontractor's mechanics lien can be looked at as a two-part process. For the first step, a Notice of Subcontract must be recorded by earliest of several dates:

(a) 60 days after filing notice of substantial completion;
(b) 90 days after filing notice of termination;
(c) 90 days after last furnishing labor or materials to project.

The second part of the process, called a Statement of Account, must be filed by the earliest of:

(a) 90 days after the recording of the Notice of Substantial Completion;
(b) 120 days after the recording of the Notice of Termination;
(c) 120 days after the lien claimant last furnished labor or materials to the project.

There is an additional requirement for sub-subs (and suppliers to subs) that they must provide a notice to the direct contractor within 30 days of commencing work.

Conditional lien waivers are only effective upon the satisfaction of the condition - so a waiver conditioned upon payment is only valid to the extent that the payment is made. Note, however, that to the extent the waiver claims payment was actually made - or that payment through some particular through date was actually made - it may be sufficient to waive lien rights. To the extent a waiver is truly conditional, the condition must be met prior to effectiveness.

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