I will be filing a mechanics lien and would like to know if I can include interest and the filing fee and if so how do I calculate the interest.
1 reply
Aug 16, 2018
Colorado is one of the few states where interest may be included in a lien claim. We explored this topic in this article: Including Interest and Late Fees In A Colorado Mechanics Lien. As noted in that article, though, including other fees may be risky and could lead to an overstated or invalid lien claim. Attorney fees and filing fees might be awarded by a court if legal action is later required, but including those amounts in a lien claim may not be a great idea. Unfortunately, § 38-22-101(5) doesn't appear to provide much clarity on when that interest will begin to accrue. It reads as follows: "All claimants who establish the right to a lien or claim under any of the provisions of this article shall be entitled to receive interest on any such lien or claim at the rate provided for under the terms of any contract or agreement under which the laborers were furnished or the labor or material was supplied or, in the absence of an agreed rate, at the rate of twelve percent per annum."
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