General contractor who we worked for was terminated by owner and we’re owed money
Jul 31, 2019
Great question. It may be the case that the payment due may be secured by filing a mechanics lien. However, in Texas, construction participants who do not contract directly with the property owner are required to provide certain notices in order to retain the right to file a mechanics lien.
If the prerequisites or other requirements for a valid and enforceable mechanics lien are not met, there may be other ways to collect. While it would be difficult, if not impossible, to obligate parties other than the contracting GC, the GC still owes for work done, whether or not they are still employed by the property owner.
A lawsuit may be required in order to recover the money owed. A potential lawsuit for breach of contract may end up being the most direct path to recovery if the mechanics lien option is not available.