I've recently filed a mechanics lien on a property and I would like to know what the next steps will be to ensure we get paid promptly? On our contract with them we would get paid 90% of final amount and then 10% once the property was sold. Since they haven't paid us the 90% is it my right to demand the payment in full at once and not have to wait to get the remaining 10% later on to avoid the same stress. And also, how to do a lien enforcement as well?
You can take the position that the full amount is owed and that any conditions regarding retainage are not applicable because of the breach of contract in failing to pay the 90%. This is a strong argument but obviously the success would depend on accounting for all facts relating to the dispute.
The next step in lien enforcement would involve filing an action against the party that owes the money, which may or may not be the owner. If you have contracted with someone other than the owner, the lien foreclosure action can be combined with the lawsuit for the underlying debt.
Let me know if you have any further questions.
Richard
You typically need a third party to enforce and execute liens. I am the CEO of Wolfgang and Rhodes. I help contractors execute liens and get paid typically within 5 days. I charge nothing up front. Feel free to call my cell 214-518-9595 or email me at joshua@wolfgangandrhodes.com