I have two current new construction homes here in California with BBVA as the lender and want to make sure that if they dont pay i can file mechanics lien later? Do I need to send 20 day prelim notice to lender and if so the local branch or headquarters and when do I need to do this before 100% completion? Thanks first time as a general contractor after 52 years in the business I feel this is necessary as owners arent paying on time or correct draw amounts when requested.
Send preliminary notice to the lender ASAP.
Preliminary notice must be sent within 20 days of commencing to provide work, equipment, or materials to a project. See Civil Code § 8204. If you forgot to send California preliminary notice within 20 days of starting your work, you may still do so. But you will not be able to include in your mechanic’s lien claims for any amounts for work performed more than 20 days before your preliminary notice is actually sent. See Civil Code § 8204. The local branch responsible for the loan should suffice. But I would recommend sending the preliminary notice to all addresses that you have been given for the lender. Also, reach out to the lender and ask where preliminary notice should be sent in case there is another address.
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