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How to get paid for outstanding accounts receivable with customer's abandoned equipment?

CaliforniaPayment DisputesRight to LienSlow Payment

We are dealership and have done repair work on customers' equipment. They have refused to pay, but we still have the equipment. How do we either file a lien or a notice to auction the equipment to ultimately get paid?

1 reply

Jan 21, 2020
Liens against equipment, automobiles, and personal property operate a bit differently than mechanics liens do. So, while I'm well versed in California's mechanics lien laws, I'm afraid I don't have much experience with situations like the one you described above. However, if the equipment is considered a "vehicle," then it might be possible to place a vehicle lien on that equipment, and the CA Department of Motor Vehicles site has some information on how to do that. Plus, just like with mechanics liens, the mere threat of placing a lien on equipment might be enough to convince a customer to pay what they owe.
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