I recently was hired to place conduit for fiber optics throughout an entire new subdivision. The work was being done for a Prime Contractor for Altice aka Suddenlink, a franchised utility company.
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Nov 26, 2019
The Texas Property Code does allow for a contractor to file one mechanics lien that spans multiple properties. However, there are some complicating factors there - and it's not quite cut and dry that a lien claim will or will not be available.
Before diving in, here are some recent Expert Center answers on this same topic:
- How can I put a lien on multiple properties?- Placing a mechanics lien on a development in Texas
Placing a mechanics lien on an entire Texas subdivision
As mentioned above, a mechanics lien can span more than 1 lot or parcel in Texas. § 53-022(a) of the Texas Property Code states that a mechanics lien will extend to:
"...the house, building, fixtures, or improvements, the land reclaimed from overflow, or the railroad and all of its properties, and to each lot of land necessarily connected or reclaimed.”
However, when these lots, parcels, buildings, etc. are owned separately - separate mechanics lien claims would likely be in order. The Texas Property Code doesn't appear to contemplate that one mechanics lien might be filed spanning the property of multiple owners. Further, if there were multiple, separate contracts executed for the work, then multiple mechanics liens would generally be required, too.
When in doubt, the safest way to claim a lien is to file claims separately. While a lien could potentially be rendered invalid or unenforceable for spanning too many properties - filing a single mechanics lien against a property where work was performed but not paid for carries significantly less risk.
Other options can help recover payment before a lien becomes necessary
Keep in mind that mechanics lien claims are generally the nuclear option, and it's typically a good idea to pursue some other options before escalating things all the way to a lien filing.
For one, sending documents like simple invoice reminders can lead to payment. Sometimes, all that's needed is a little nudge in the right direction. Escalating things a little with something like a payment demand letter can help, too. Demand letters that contain specific legal threats will often help grease the wheels to getting paid. And finally, a Notice of Intent to Lien can be an effective warning shot. Nobody likes a lien claim, so sending the threat of a lien to your customer and the property owner(s) could spark payment, too. More on that here: What Is a Notice of Intent to Lien and Should You Send One?