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How can I protect my payment rights

Georgia

I am a materials provider to a subcontractor working in Tucker GA. Materials were first provided on August 10th and last delivered on October 7th

2 replies

Oct 15, 2020

As a material supplier to a subcontractor, your lien and bond rights depend on whether you sent a notice to contractor within 30 days of last providing materials. If not, you may not have lien rights if the contractor or owner filed a Notice of Commencement in the property records of the county where the project is located.

Let me know if you need assistance with determining the scope of your rights and how to move forward. If you do have lien rights, you have 90 days from October 7 to file a claim of lien.

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Oct 15, 2020

Material supplies have quit a bit of advantages over over creditors. If you customer used the materials on a construction project, then you may be able to place a lien against the project. The lien acts similarly to collateral for you which means if your customer does not pay you (after you pursue your legal remedies), then you may look to the real esate itself for payment. Liens must be filed within 90 days of the last day in which you supplied materials (or 60 days from the date of an unpaid lien waiver). There are many other requirements which must be met in order to take advantage of the benefits of filing a lien such as whether or not there is a valid Notice of Commencement on the Project, whether or not you were required to file a Notice to Owner, do you have a proper accounting for the supplies provided to the project?, etc. For more information, please feel free to downloan our copy of the Georgia Suppliers Handbook (please note that the lien wavier information will change effective January 1, 2021).

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