If we still have equipment that is being used by the customer, how do we reflect accumulated rental fees in the lien?

7 months ago

We rented a 30 yd dumpster to a customer and it was subsequently contaminated with asbestos. We cannot collect our dumpster until it has been abated and the State has signed off on it. We have filed a Levelset lien (#295339) for the original drop-off charge (5/30/19), plus the rent accumulated through the date of the original lien (12/16/19), a total of $1,741.95. However, since the customer still has our dumpster, charges continue to accrue.

How do we best reflect the additional amounts due as time passes? Do we somehow amend the lien or do we file additional liens as time passes, or is there some other mechanism?

The customer is the property owner, so we are in the GC position on the lien.

Thank you.

Senior Legal Associate Levelset
437 reviews

In most cases, mechanics liens are filed after work is done on the given project and charges cease to accrue. So, the Texas Property Code’s provisions on mechanics liens don’t really discuss situations where payments continue to become due after the given lien has been filed.

Conceivably, though, a claimant could amend their lien claim to reflect new amounts owed but unpaid on the project as long as the deadline to file a lien has not yet passed. Lien amendments certainly aren’t unheard of, and they’re actually pretty common in practice (though Texas’ lien laws don’t specifically provide for the ability to do so). However, the county recorder’s office may end up treating that as a separate lien claim when recording the document. As long as the amounts stated are actually owed for materials or equipment provided to the project, though, those amounts will generally be subject to lien.

Levelset discusses mechanics lien amendments here: Mechanics Liens: Can a Lien be Amended?

Disclaimer: 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 help of a local attorney.
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