Home>Levelset Community>Legal Help>I have served homeowners notice of lein and served them with a lein. How can they use me in small claims court?

I have served homeowners notice of lein and served them with a lein. How can they use me in small claims court?

I've used your company to file a lein against a homeowners for non payment. I have a signed contract with them and they have no paid me the final payment. Clearly states they owe me. Now I just got served a small claims paper saying that I falsely put a lein on their property because they paid me in full. Which clearly they haven't! What should I do? Am I covered because I have a signed contact with them clearly stating they owe me the final payment?? Please call or email me

1 reply

Jul 17, 2020

It's extremely common for a property owner to contest a mechanics lien that's been filed against their property - regardless of whether there's actually any issue with the claim. Levelset discusses that some, here: My Lien Was Challenged: What Do I Do? If an owner has failed to make final payment, and if the mechanics lien claim simply claims amounts that remain owed and unpaid, then the lien claim should generally be valid. Even if there's some issue with the information included in the lien claim - that doesn't necessarily mean the entire claim is invalid. Plus, there's a huge difference between an honest mistake and a fraudulent mechanics lien. After a lien has been filed, it's usually a good time to discuss payment with the customer to try and negotiate a release of the lien claim. But, if the owner is refusing to make final payment, additional recovery steps may be necessary - like sending a Notice of Intent to Foreclose. Levelset discusses possible steps here: The 4 Steps to Take After Filing a Mechanics Lien. Finally, if you're concerned about the validity of the lien claim, or if you want assistance in preparation of a small claims court dispute, consulting with a local Michigan attorney might be useful. You can begin that search here, if you'd like a second opinion on the claim: Find a Michigan Construction Lawyer.

0 people found this helpful

Helpful