Is filing on a commercial property different from residential?
2 replies
Jul 9, 2020
The process of filing an Arizona mechanics lien on a residential property as opposed to a commercial property is relatively the same. There is however, one key difference in terms of who has the right to file a lien.
If the property being improved is an owner-occupied dwelling, then only parties who have a direct contract with the property owner may file a lien against the property. But what is an "owner-occupied dwelling." Well dwelling is defined as a one or two-family residential building; including apartments and condos. And owner-occupied refers to the owner of the property who resides or intends to reside in the dwelling.
If working as a subcontractor on such a property will preclude you from mechanics lien rights. If a payment problem occurs, your options for recovery will be limited to contract claims against the contractor who hired you.
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