i need to know what the document is called that contractors must attach to an estimate explaining the lien laws for not paying suppliers. its in a specific font and everything.
1 reply
Jun 3, 2019
That's a good question. Based on the information above, I'll assume you're referring to the requirements created by Fla. Stat. § 713.015. Under that section, direct contracts that exceed $2,500 for the improvement of a single or multi-family dwelling must include very specific language and it must be in at least 12-point font, it must be capitalized, and the text must appear boldface type. Further, if a written contract is used, it must either appear as the first page of the contract. If an oral contract is used, the notice may be given to the owner on a separate page - but if given separately, the notice must be signed and dated.
As for the text of that notice itself, it reads as follows:
"ACCORDING TO FLORIDA’S CONSTRUCTION LIEN LAW (SECTIONS 713.001-713.37, FLORIDA STATUTES), THOSE WHO WORK ON YOUR PROPERTY OR PROVIDE MATERIALS AND SERVICES AND ARE NOT PAID IN FULL HAVE A RIGHT TO ENFORCE THEIR CLAIM FOR PAYMENT AGAINST YOUR PROPERTY. THIS CLAIM IS KNOWN AS A CONSTRUCTION LIEN. IF YOUR CONTRACTOR OR A SUBCONTRACTOR FAILS TO PAY SUBCONTRACTORS, SUB-SUBCONTRACTORS, OR MATERIAL SUPPLIERS, THOSE PEOPLE WHO ARE OWED MONEY MAY LOOK TO YOUR PROPERTY FOR PAYMENT, EVEN IF YOU HAVE ALREADY PAID YOUR CONTRACTOR IN FULL. IF YOU FAIL TO PAY YOUR CONTRACTOR, YOUR CONTRACTOR MAY ALSO HAVE A LIEN ON YOUR PROPERTY. THIS MEANS IF A LIEN IS FILED YOUR PROPERTY COULD BE SOLD AGAINST YOUR WILL TO PAY FOR LABOR, MATERIALS, OR OTHER SERVICES THAT YOUR CONTRACTOR OR A SUBCONTRACTOR MAY HAVE FAILED TO PAY. TO PROTECT YOURSELF, YOU SHOULD STIPULATE IN THIS CONTRACT THAT BEFORE ANY PAYMENT IS MADE, YOUR CONTRACTOR IS REQUIRED TO PROVIDE YOU WITH A WRITTEN RELEASE OF LIEN FROM ANY PERSON OR COMPANY THAT HAS PROVIDED TO YOU A “NOTICE TO OWNER.” FLORIDA’S CONSTRUCTION LIEN LAW IS COMPLEX, AND IT IS RECOMMENDED THAT YOU CONSULT AN ATTORNEY."
If you aren't working on residential property, or if that doesn't sound like what you were referring to with your question, please feel free to come back and ask us another question! For more info on Florida's lien laws and notice requirements, this resource will be valuable: Florida Lien and Notice Overview and FAQs.