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Prelim Question

Anonymous Contractor

I currently have a work site that we prelimmed and then ordered a retraction. We made a deal with the client that we wouldn't prelim if they stayed current. The client would like us to send them an unconditional final on the site. However, the work on the site isn't done yet.If I send an unconditional final, I'm assuming I would loose any future ability to prelim if the client was non compliant?

4 replies

Chris Ng

Construction Lawyer

Attorney at Gibbs Giden Locher Turner Senet & Wittbrodt

| 368 reviews

Sep 6, 2019

It is always troubling when a client (GC, owner, CM, etc.) asks a contractor not to serve a preliminary notice. There is generally not any good justification for this request. The prelim helps the owner, lender (if any), CM, and GC keep track of those working on the job and helps ensure that these claimants are paid. If you serve a prelim in the future, it would only preserve the value of labor and materials furnished in the 20 day period prior to the service of your prelim, and all work in the future -- unless it is released by a waiver and release or otherwise. Note that if you are a subcontractor in the State of California, the Civil Code requires you to serve a preliminary notice on all jobs over $400.

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J. Mike Ross

Managing Partner at Miller, Ross, & Goldman

| 18 reviews

Mar 10, 2020

I wanted to follow-up and confirm you’ve been paid on this project matter. If I can further assist your company with any unpaid invoices, please feel free to call or email. My firm can collect for you even when lien rights have expired or were never pursued. Mike Ross Miller, Ross & Goldman mross@mrgpartners.com (512)275-6412 Direct https://www.mrgpartners.com/levelset

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