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mechanical lien follow --up

TexasMechanics Lien

HI, we did a job 2019, file a mechanical lien with you, contractor made payments june-Dec2020. NO payments recieved this year 2021. open balance $15, 244.07 Need to know what should beour next step

5 replies

Apr 19, 2021
The statute of limitations for confirming a mechanic's lien is either about two years or one year (depending on whether the project is commercial or residential - you do not specify). For a claim of $15,244.07, you should consider preparing a letter to mail by certified mail to the contractor to set out the facts and to demand payment. Attach support for your position. Make sure the letter is professional and businesslike as it may be used as evidence later. If the contractor does not make payment, consider filing suit in small claims court using your letter as evidence. Retain a construction attorney to evaluate your mechanic's lien rights, and to provide advice. Good luck.
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Apr 19, 2021
Its commercial, we were subcontract. Can you do a demand letter and what will be the cost?
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Apr 19, 2021
The typical charge is about $300 (for an hour's worth of professional services). To be able to help prepare a demand letter, you would have to prepare a chronology of important events, and a recap of the accounting for your claim. The letter would be for you to sign and to mail by certified mail, as you are the fact witness, and your letter could be used later in a suit if need be. Brian W. Erikson The Erikson Firm, A Professional Corporation P.O. Box 140249 Dallas, Texas 75214-0249 Telephone: 214-202-4742 Telecopier: 1-214-853-5320 eMail: Brian.Erikson@eriksonfirm.com
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Apr 19, 2021

Hello,

You can file suit to enforce your rights to the balance owed to you. Your causes of action would be breach of contract, promissory estoppel (or quantum meruit), violations of the Prompt Payment Act, Rule 185 (depending on how good your records are), and perhaps some others.

One thing you should be aware of is that your ability to enforce the lien as it is may have fallen off. Usually, if an enforcement action is not brought within a year, you lose the right to foreclose.

E. Aaron Cartwright III
214.789.1354
Aaron@EACLawyer.com

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Apr 19, 2021

Hello again,

If the property is commercial and you are under the statute of limitations for foreclosure, this claim SHOULD NOT be brought in small claims court. You would want to go to District Court to enforce your rights.

-Aaron

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