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North CarolinaMechanics LienNotice of Intent to LienRecovery OptionsRight to Lien

Did some work on a house as a subcontractor And the contractor is not wanting to pay us is there a way we can put a lien on the house we. Did the work on

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Jan 7, 2020
Generally, yes - first-tier subcontractors in North Carolina are entitled to file a mechanics lien against the project property when they've gone unpaid for their work. Of course, to preserve that right to lien, a sub in NC would need to follow the relevant notice requirements, as applicable. For more on those notice requirements: North Carolina Preliminary Notice Requirements. Of course, keep in mind that mechanics liens are generally considered the nuclear option when it comes to recovering construction payment. And, there are a few steps prior to filing a lien claim that can really help to push for payment without the need for a lien claim.

Recovery tools before filing a North Carolina mechanics lien

Let's look at a few different documents that can help with recovering payment.

Invoice reminders

For one, sending a simple invoice reminder might be the gentle push that's needed to get paid. An invoice reminder is just like it sounds - it's a reminder that payment is outstanding and should be made on the invoice. More on that here: How Invoice Reminders Help Contractors Get Paid Faster.

Demand letters

A payment demand letter can escalate things a bit. With a demand letter, a claimant lets their customer know they're serious about getting paid - demand letters will generally include specific legal threats and set a deadline for making payment. Often, demand letters can speed up the payment process without the need for filing a lien or pursuing other payment claims.

Notice of Intent to Lien

Finally, note that because mechanics liens are such a powerful payment recovery tool, the mere threat or warning of a lien claim - with a document such as a Notice of Intent to Lien - will often be enough to push for payment. This is especially true when sent to both the nonpaying customer and the property owner, as well as any other higher-tiered parties on the job. By informing everyone of the payment dispute, that can help to put additional pressure on the customer to make payment. For further discussion on Notices of Intent to Lien: What Is a Notice of Intent to Lien and Should You Send One?

Additional resources on North Carolina mechanics lien claims

At the end of the day, mechanics liens won't always be avoidable. For more on how to pursue a North Carolina mechanics lien, these resources should help: - How to File a North Carolina Mechanics Lien | Guide + Form Download - North Carolina Mechanics Lien Guide and FAQs
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