I want some help defining the "final day of work" on the project to determine how long we have to file a lien. We finished the work and the city came back and added an additional element they wanted added to the job. So, we are "finished" with the main part of work, but we are not being paid by our client and are in the midst of doing some additional work the city has required. What's considered the substantial completion date in order to calculate how long we have to file the lien? They already have their TCO. Thank you!
Arizona law provides that a subcontractor/supplier has 120 days to record a mechanic’s lien from the date of “completion.” Completion means: (1) 30 days after final inspection and written final acceptance by the governmental body which issued the building permit; or (2) Cessation of labor for more than 60 days. If there is no building permit issued, then “completion” occurs on the last date that labor, materials, fixtures or tools were furnished to the property.
However, if a notice of completion was recorded by the owner with the county recorder’s office, then you have 60 days from the date of that recording to record your lien.
If you have any doubts about whether the clock has started to run on your time to record the lien, just record to be on the safe side.