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I was last in Cary, NC in May and have been in communication with my worker who is still there

North CarolinaRecovery Options

I was working with the Mortgage company as the Insurance claim paid the money to the Mortgage company. The homeowner has been using delay tactics as the home is still not finished and when he didn't pay us we said we wouldn't couldn't do any more work. However, my worker was still there with the approval of the homeowner and I've been in communication. However, the last communication I have with that worker was in October 2018. Now that the mortgage company is delaying the payout to me they suggested I do a lien. Can you help

1 reply

Nov 14, 2018
That's an interesting situation. First, let's talk mechanics lien basics. Then we'll get to North Carolina specifics and other potential options for recovery. Mechanics liens secure payment for construction work that is performed and unpaid. It's a strong remedy because, when a lien is filed, it puts a cloud on the owners property - making it much harder to sell or take out a loan against the property. What's more, if the lien claim remains unpaid, the lien claimant can ultimately foreclose the lien, and the owner could potentially lose their property. Now let's talk North Carolina. Lien rights are pretty straightforward for parties hired directly by North Carolina property owners. Under the North Carolina lien statute, "any person who performs or furnishes labor or professional design or surveying services or furnishes materials or furnishes rental equipment pursuant to a contract . . . with the owner of real property for the making of an improvement thereon". While mechanics liens provide a lot of protection, they also have strict requirements. First, on certain projects, notice must be sent before such a lien can be filed - and failure to send a required notice could potentially result in the loss of lien rights. Further, the deadline to file a North Carolina mechanics lien is strict - a lien must be filed within 120 days from the last date on which the claimant provided labor or materials to the job. Of course, a lien can be filed before this time. While there are a number of other requirements for filing a lien, these two are often considered two of the most important in North Carolina. If filing a mechanics lien feels like a good option for recovery here, you can learn more about how to do that from this zlien article: How to File a Mechanics Lien in North Carolina. If a lien doesn't seem like the right option, note that there are a number of other potential options for recovery - and zlien discusses some of those here: Don’t Want to File a Mechanics Lien? Here Are 5 Other Options.
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