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What can we do to protect payment when the property the work was performed at was SOLD.

California

Hi! We have a small claim that we did NOT do a prelim on because it is only about $2500. Typically we wouldn't do one for this, BUT now the home has been sold, the work has been performed and the sellers aren't paying for the services. Do we have any options or documents we could send that would help prompt payment? We have already sent multiple invoices- but since we didn't send a prelim and its past the 21 day period- I am wondering what we could do to try and prompt payment. Thanks!

1 reply

Oct 17, 2019

Depending on whether you were direct to the then owner/builder, you may not be required to file the prelim. Moreover, regardless if you have lien rights, you still have the right to sue the then owner and possibly the current owner for breach of contract, violation of prompt payment statutes and other equitable claims against the current owner. The prompt payment statutes, if applicable to your set of circumstances, carry a very sharp stick (attorney fees provision) to the winner. This is usually a good threat to get the attention of the owing party.

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