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How to defend against a Mechanics Lien

1 week ago

If a contractor, that I intend on paying after the final inspection has been passed, files a lien against my property can I defend against the lien by paying him the balance due of the contract?

Legal Associate Levelset

In Colorado, once a mechanics lien has been filed, the claimant has 6 months from the date the project was completed, or the last day labor or materials were furnished to enforce the lien claim. Mechanics lien rights are granted based on money that is due or owing to the claimant. Once payment is made, the lien claim is considered satisfied, and the basis of the claim no longer exists.

When the claimant has been paid, owners can send a written request to the claimant to have the lien removed. This is done by filing a Colorado mechanics lien release form (also known as an acknowledgment of satisfaction) in the recorder’s office where the lien was filed. If the claimant doesn’t file the release within 10 days, they can be penalized at a rate of $10 a day until the release is filed.

You may find this article helpful: Construction Lien Release Process: The Timeline is Tricky

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