Home>Levelset Community>Legal Help>if some is extended an unsecured personal (for which no paperwork was signed) for a cash amount of 3000.00, can the lender place a mechanic's lien on the property of the borrower if no work was done at property

if some is extended an unsecured personal (for which no paperwork was signed) for a cash amount of 3000.00, can the lender place a mechanic's lien on the property of the borrower if no work was done at property

received a personal unsecured without any paperwork being signed. Lender(personal friend) want contract signed that has unacceptable terms, i.e. sale of personal property for existing mortgage payoff if loan is not repaid within specific time. Trying to determine the applicability of a Mechanic's Lien in the state of Maryland for a personal cash loan for which nothing to do with the personal property was discussed

1 reply

May 6, 2019

That's an interesting question. Mechanics lien rights arise due to construction work performed which goes unpaid. So, when no work is performed at all, mechanics liens generally won't be an appropriate remedy. That definitely doesn't mean that a lien can't be filed against the property - but the rules surrounding the debt and lien claim would follow rules that are generally not associated with the Maryland mechanics lien statute. But, if payment is owed, a creditor may be able to lien the property of the borrower, depending on the situation. If you have other questions about liens in the personal loan/personal property context, sites like Avvo or JustAnswer might be able to provide some help with those questions.

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