It's been one year since I have not got paid from a residential customer can I still feel a mechanic lien on property I've done work on
1 reply
Nov 7, 2019
New Jersey, like many other states, has strict deadline requirements for notices and mechanics lien filings. In order to obtain a mechanics lien on New Jersey residential property, a lien claimant must file a Notice of Unpaid Balance within 60 days of last furnishing. After that, they must send an arbitration demand and have the dispute reviewed by the American Arbitration Association. Then, finally, a mechanics lien would need to be filed within 120 days of last furnishing labor or materials to the project.
So, if a prospective lien claimant has waited more than 60 days after last furnishing labor or materials to begin their claim, the right to file a New Jersey mechanics lien against residential property would very likely not be available. More on New Jersey residential liens here: New Jersey Residential Mechanics Lien: A Convoluted Process.
Options outside of the mechanics lien process
Mechanics liens are only one tool available for recovering construction payments. There are always other options that can help lead to payment.
Invoice reminders and demand letters
Less-formal recovery tools can help to recover payment. Sending a document like an invoice reminder can be a small push in the right direction, and reminding a customer that they still owe payment might be enough to convince them to do the right thing and make payment.
Being a little more forceful with something like a demand letter can do the trick as well. Sending a demand letter with specific threats can work to get payment talks in the right direction. More on that here: Demand Letters for Contractors – How To Write One That Gets You Paid.
Potential legal claims for unpaid construction debts
Further, while mechanics liens have short and stict deadlines, legal claims tend to remain available for a bit longer. So, a breach of contract claim, unjust enrichment claim, or even a claim under the New Jersey prompt payment lawsall might be on the table.
Further, note that for smaller claims (under $3,000), New Jersey Small Claims Court might be an option for keeping costs down and recovering payment more efficiently. Though, for ultimate clarity on recovery options, it'd be wise to consult a New Jersey construction attorney. They'd be able to review any relevant documentation and circumstances then advise on how best to move forward.