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Notice of Cessation obligation and timing

CaliforniaNotice of CompletionPreliminary NoticeRight to Lien

We filed a 20 day notice on September 21 to the GC and Project owner and then the building owner September 28th for work completed in September. This commercial private project started actually in June and we finished September 26th. We were paid up until until August 1st and then did work for 2 weeks in August and 2-3 weeks in September. The project will probably complete by very early October. Is the owner and general contractor still obligated to send out a notice of completion even with such a late filing of the 20 day notice? In other words just because the 20 day notice is very close to the end of the project does not remove the obligation for the owner to notify us of completion from which we would then have 30 days to file a lien? Secondly should we file a lien for work only in September or also include August recognizing that the work in August might not be covered under the lien as it is outside the 20 day window. What total amount should be filed?

2 replies

Oct 12, 2020

First and foremost, a California preliminary notice may be sent late (i.e. outside the initial 20-day period) but it will limit lien rights to the value of labor and materials supplied in the 20 days prior to the notice being sent, and everything thereafter. Accordingly, if a CA mechanics lien is eventually filed, it should be limited to the unpaid value of services provided from the 20 days preceding the notice until completion of the work. Claiming more put your claim's validity in jeopardy.

 Lastly, even though the notice was provided late, the owner's obligation under §8190 to send notice when a Notice of Completion or Cessation is filed still remains. The statute requires the owner to send notice to every "claimant that has given the owner preliminary notice," regardless of when that notice was provided. 

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Oct 12, 2020
we need advice on how to defend against against a contractor before he files a lien. do you have a department to help home owners re mechanic liens?
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