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How to have a Mechanics Lien removed

6 days ago

Hello,
I am a homeowner who was remodeling my home in 2015. I obtained my building material through a building supply company. At that time the building supply company put a Mechanics lien on my property until job was completed and at that time I paid in in full. Now at this present time when I applied at my bank for a small personal loan the bank notified me that this lien was still on my property. After a few phone calls I was told that company was acquired by another company and they had no responsibility to my issue. I was then told by the original owner if I paid a $75 fee he would remove it.
Please help me understand how someone that has been paid in full on time now wants money to remove the lien. What are my recourse’s to get this lien removed. I have complete paper trail, Check, receipt, etc. Thank you,
Pam

Principal Cavanaugh & Quesada, PLC

Hi Pam,

I’m sorry your local supply company left their lien in place even after you paid them in full.

1. Under Michigan’s lien statute, when a lien has been paid in full, the lien claimant is required to discharge their lien.

The specific language for this requirement is in Section 127(1) of the Michigan Construction Lien Act: “When any claim of lien has been fully paid, the lien claimant shall deliver to the owner, lessee or other person making payment a certificate, witnessed and acknowledged as a discharge of mortgage, that the claim has been paid and is now discharged.”

2. But if the supply company won’t discharge their satisfied claim of lien, and if its lien is more than one year old (you said the lien was recorded in 2015), your other option is to submit an affidavit to the county clerk where the property is located stating when the lien was recorded and the identity of the lien claimant.  The county clerk then is obligated under Section 128 of the lien statute to review the court records to see whether a foreclosure action has been commenced and, if not, provide you with a certificate to that effect.  This certificate is then recorded (by you) with the register of deeds. This recorded certificate has the legal effect of discharging the lien. I’m not sure if LevelSet has this affidavit among their suite of documents. If not, you can contact me for further help.

Peter Cavanaugh / Tel: (248) 543-8320

 

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Anonymous

Hi Peter,

Thank you so very much for the information that you have provided to me. I will go down to the County tomorrow and try to correct this. If I need any additional help I will be in touch, however this information should do the trick.

Thank you,

Pam Palmer

Principal Cavanaugh & Quesada, PLC

Pam,

I searched for a sample affidavit online and found this one from Clinton County, Michigan.

 

https://www.clinton-county.org/DocumentCenter/View/144/Affidavit-Form-for-Construction-Lien-DOC?bidId=

Peter Cavanaugh

 

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