Home>Levelset Community>Legal Help>I filed a mechanics lien for 6044.00 against a property that I recently remodeled for a owner to rent out. I filed the lien on Feb 20, 2018. Most of the 6044.00 was for additional work that had tone done for the new septic system to meet code and for two sets of steps installed to enter the house safely and meet code. The owners LLC had an attorney draft a letter to me stating they were breaking the contract and I was liable for the additional costs over and beyond the original contract. Can I foreclose on the house and mechanics lien ? I have all supporting receipts and labor and pictures to back up the work.
I filed a mechanics lien for 6044.00 against a property that I recently remodeled for a owner to rent out. I filed the lien on Feb 20, 2018. Most of the 6044.00 was for additional work that had tone done for the new septic system to meet code and for two sets of steps installed to enter the house safely and meet code. The owners LLC had an attorney draft a letter to me stating they were breaking the contract and I was liable for the additional costs over and beyond the original contract. Can I foreclose on the house and mechanics lien ? I have all supporting receipts and labor and pictures to back up the work.
Please see mechanics lien filed by ZLien on Feb 26,2018 on 775 South School Road Little York IN
1 reply
Mar 13, 2018
Where a mechanics lien has been filed for nonpayment and an owner still refuses to pay, a lien foreclosure action may be one of the next steps to recovering the debt. Of course, a lien foreclosure requires the initiation of a lawsuit - a much more formal action than filing a mechanics lien. Generally, it might be a good idea to add an additional step or two prior to foreclosing a lien - such as sending additional demand for payment, and/or a Notice of Intent to Foreclose the lien. While not a required or filed document in any state, a Notice of Intent to Foreclose serves as a final warning shot. It signals to an owner that, if ignored, the mechanics lien will be foreclosed on their property. You can learn more about that document here: Notice of Intent to Foreclose. Anyway, it's important to keep the deadline to foreclose the lien in mind - sacrificing the ability to foreclose the lien for the sake of extending additional demand out of courtesy would be a risky endeavor. In Indiana, all lien claimants must initiate the enforcement of the lien within 1 year of the date the lien was received for recording. However, if a Notice to Foreclose was sent by the property owner to a lienor, then this time period will be shortened to a mere 30 days. Finally, keep in mind that other methods of recovery may still be on the table. When considering whether to foreclose or choose some other course of action, it's wise to consult a local construction attorney - they will be able to review the circumstances surrounding your claim and help create a plan of action.