Menu
Home>Levelset Community>Legal Help>Preliminary Notice when we have a contract with the owner?

Preliminary Notice when we have a contract with the owner?

CaliforniaConstruction ContractPayment BondPreliminary Notice

Hello. We're doing business in California. When we have a contract with the Owner of a job, do we need to send a Preliminary Notice to the owner? Or does the contract take the place of the notice? Additionally, if there is a bond on such a job, and I send a notice to the Surety Company, do I list the Owner and General Contractor on the notice, even if I'm not mailing notices to those entities? Thank you!

3 replies

Jul 9, 2021
If you have a direct written contract with the homeowner you do not have to give the homeowner a preliminary notice so long as your contract was compliant with Business and Professions code section 7159. If there is construction lender on the project and you have no joint control agreement with the construction lender & homeowner, then you should send a preliminary notice to the lender, and of course copy the homeowner and general contractor if there is one.
0 people found this helpful
Helpful
Jul 9, 2021

Thank you, Brion! In this case, The Owner is the owner of property on which an aparmtent complex will be built. I take it this applies to any situation, whether a homeowner or a private large-scale developer?  

In this case there is a bond (but no lender). When I create the Prelim, do I list only the Surety company and send a copy to the Owner and GC, or do I plug the name / address of the Owner and GC into those fields on the document? 

My confuson lies in which entities I actually list on the Prelim itself.  

0
Report Spam
Jul 9, 2021
I would put all the parties on the preliminary notice.
1 person found this helpful
Helpful