Menu
Home>Levelset Community>Legal Help>I recently used you guys in Pennsylvania. Now I am being challange in court based upon the validity of the lien filier.

I recently used you guys in Pennsylvania. Now I am being challange in court based upon the validity of the lien filier.

PennsylvaniaMechanics Lien
Anonymous Sub-Subcontractor

We recently retained your firm for a lien in Pennsylvania. Another involved party has challenged and moved to dismiss my lien. Based on 2 reasons. 1. A corporation has to have a PA lawyer to file a lien for them. They are stating that your company and its members or register agents are not members of the bar association? Is that correct?? And if so what are the next move? I am due in court May 17th to show cause.

3 replies

Levelset Admin at Levelset
| 1,002 reviews
Apr 9, 2020
Corporations must be represented by an attorney in order to bring an action (lawsuit) before the court. However, Pennsylvania's mechanics lien statute contemplates that claimants may file their mechanics lien claims on their own behalf. And, of course, a mechanics lien filing isn't a lawsuit or action before a court. The principle that mechanics lien claimants are entitled to file their own papers has long been upheld under PA law - cited at J.H. Hommer Lumber Co., Inc. v. Dively, 401 Pa.Super. 72, 584 A.2d 985, 987 (1990); at Tesauro v. Baird, 232 Pa.Super. 185, 335 A.2d 792, 794 (1975); and originally at McClintock v. Rush, 63 Pa. 203, 205 (1869). To quote McClintock (and Tesauro): "The act evidently contemplated that the claimants should prepare their own papers..." So, while a corporation certainly couldn't bring legal action like a lien enforcement claim or breach of contract claim - filing papers to secure a Pennsylvania mechanics lien doesn't rise to that level since the claim isn't an action or appearance before the court. Meaning, Pennsylvania claimants should be free to file their own mechanics lien claims - through an agent or otherwise. And, to be sure, claimants are still filing their own lien claim even when that's done with the assistance of software and appointed agents (like Levelset).

It's completely normal for an owner to challenge your mechanics lien claim

As a final note, it's completely normal for an owner or other party to challenge your mechanics lien filing. This is true regardless of whether there's actually an issue present. That doesn't mean that lien challenges should be taken lightly, however. If someone else on the job has secured representation to challenge your lien claim, it'd be wise to consult with a Pennsylvania construction attorney who's intimately familiar with the state's mechanics lien laws. They'll be able to review the challenge to your claim and advise on how best to combat the allegations that the claim is improper. Plus, they'll help to avoid common pitfalls that might undermine an otherwise valid claim. For more background on having a lien challenged: My Lien Was Challenged: What Do I Do?
The information presented here is not legal advice and should not be construed as such. Rather, this content is provided for informational purposes. Do not
act on this information as if it is advice. Further, this post does not create any attorney-client relationship. If you do need legal advice, seek the helSee More...
See More...
3 people found this helpful
Helpful
Attorney at MBM Law
| 13 reviews
Apr 9, 2020
It is well-established in Pennsylvania that “[A] corporation may appear and be represented in our courts only by an attorney duly admitted to practice.” Walacavage v. Excell 2000, Inc., 480 A.2d 281 (Pa. Super. 1984); Atrium I Nursing Research & Rehab. Ctr. v. Dep't of Human Servs., No. 945 C.D. 2016, 2017 WL 962452, at *1 (Pa. Commw. Ct. Mar. 13, 2017). The Courts also have repeatedly and consistently held that they lack jurisdiction to consider the claims of corporation when they are raised by non-attorney. David R. Nicholson, Builder, LLC v. Jablonski, 163 A.3d 1048, 1054 (Pa.Super. 2017). More importantly, the Courts have consistently stricken or dismissed pleadings and filings by corporations that were not represented by a Pennsylvania-licensed counsel. Id. The Courts only have allowed partied to overcome this requirement is a few certain exception that are not applicable to your contractor. In addition, because the right to file a mechanics liens is provided by statute and is inconsistent with the common law, the Courts require strict compliance with the requirements of the Mechanics lien law. As a consequence, I feel that the chance of defeating the preliminary objections is likely remote. Thus, if the deadline for filing the lien has not expired, I would recommend retaining a Pa-licensed counsel and re-filing the lien.
2 people found this helpful
Helpful
Levelset Admin at Levelset
| 69 reviews
Apr 9, 2020
As per Matt's comment, a company can file its own mechanic's lien paperwork in PA. When you file through the Levelset tool, you are filing your own mechanic's lien.  Your lien was not "filed by" Levelset.  It was "filed by" your company.  Your company authorized an agent to sign for you.  Anyone who signs your mechanics lien is an agent of your company, because your company is not a person. Your company cannot sign anything. Only it's agents can sign. As per Steven's comment, a company must be represented in court by a licensed attorney. A company cannot represent itself because it is not a person.  It must be represented by some agent.  While an agent can do things for you like sign papers (and liens), an agent cannot perform heart surgery, clean someone's teeth, sell real estate, or represent you in court -- all of those things require specific licenses.  As a result, if you are due in court, and "you" are a "company," you need to get a licensed attorney. I couldn't make sense of Steven's answer as to what he is saying about the underlying argument regarding your lien.  Whether he was saying you can't file your own paperwork in court, or you can't file a mechanics lien yourself (if the former, I agree, but if the latter, I disagree with that). It sounds to me like the other side (your legal opponent) is making an argument that is putting words in your mouth. They are claiming that "Levelset filed a lien" for you.  But, in fact, you filed a lien for you.  You used Levelset to prepare the document in the same way as you could have used Microsoft Word to merge words onto a page, and then used FedEx to send the words to a filing office. The other counsel wouldn't argue that Microsoft Word filed your lien, or that FedEx filed your lien.  Get an attorney to represent you in the show cause, and get the attorney soon enough so they can file an opposition to present your argument. Good luck!
6 people found this helpful
Helpful