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Mechanics Lien Set Aside

Illinois

This property was sold without our lien being satisfied. How is this possible?

2 replies

Oct 22, 2020

If the lien was properly recorded, and not extinguished for some reason, then it would have been of record and noted on any search of the property inlcuding the title search and title report. You do not describe how you discovered this issue, so additional investigation would be necessary to determine the available options.

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Oct 22, 2020
There are several explanations. The seller posted a title indemnity bond, usually twice the amount of the lien, the lien was recorded more than 4 months after the last work for which the lien was claimed and, therefore, ineffective against third parties such as purchasers, the statute of limitations has run or it was a private sale. If it was the first reason, you can still file suit to enforce the lien if the statute of limitations has not expired.
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