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Should I file a Lien or a Notice of Intent- what are the fees for both and for the eventual enforcement if needed

New JerseyMechanics Lien

I did a project for a 2 story commercial building- part of a larger complex of condominiums Have a good written detailed agreement, finished the job, emailed everything, they offered partial payment, I declined, offered to defer a little until permits release, but they have gone silent, so I think I should file a lien.- or a Notice first if necessary. The project involved changing the 2nd floor office condo replacing it with two apartments There is an existing occupied Dr. Office condo on the first floor. Its in Middlesex Last date of service was Nov 13, 2021. -Geoff ggogan@gmail.com

1 reply

Jan 20, 2022

Geoff,

NJ has separate statutes for liens depending on whether the property is commercial, publically-owned, or if it is used for resdiential purposes. If you are converting an office (commercial) into apartments, that would appear to involve a lien on a residential property.
For residential liens in NJ, claimants have to file a Notice of Unpaid Balance (the "NUB") within 60 days of working on the property. If the last day of service at the physical address of the project was on 11/13/2021, your deadline to file the NUB would have been 1/12/2022.

Even if filing a lien on the property is no longer a viable possibility, you may have other options. My favorite NJ statute is the Prompt Payment Act (the "PPA") because (similar to the mechanic's lien law) it was enacted for the specific protection of contractors and other professionals who provide work to improve the value of a property. Successful PPA claimants are entitled to interest and attorney's fees with a successful decision in their favor. That fee-switching provision usually works to pressure the non-paying party to settle the justified claims before the Courts have to make the decision.

Please reach out if you want to talk about it.         

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