What is the appropriate way to ask on a contract if the client is utilizing a lender to obtain funding for a job?

You should send an email or letter to the GC or owner that says something like this:

California Civil Code § 8170 states:

“(a) A written direct contract shall provide a space for the owner to enter the following information: 

(1) The owner’s name, address, and place of business, if any. 

(2) The name and address of the construction lender, if any. This paragraph does not apply to a home improvement contract or swimming pool contract subject to Article 10 (commencing with Section 7150) of Chapter 9 of Division 3 of the Business and Professions Code. 

(b) A written contract entered into between a direct contractor and subcontractor, or between subcontractors, shall provide a space for the name and address of the owner, direct contractor, and construction lender, if any.” Therefore, please provide this information, so we may appropriately prepare our preliminary notice. "

Therefore, please provide this information, including the lender, so we may appropriately prepare our preliminary notice. 

If you are the one drafting the contract, you should either require that this information be filled in on the contract itself or add a provision in the contract that expressly requires that information on any lender be provided within a specified period after execution of the contract (whatever you need to serve preliminary notice within 20 days of commencing work). If the other party has provided the contract, and no mention of lender information is included, I recommend sending a letter or email to your customer requesting that lender information, if any, be provided within a specified period. It is essential to have the information on the lender at the beginning of the project so that you can serve the lender with preliminary notice within 20 days of commencing work to protect your lien/stop payment/ and/or bond claim rights. If you get any push back inform your customer that you are statutorily required to serve preliminary notice on the lender and that this is why you need the information. 

If you require legal assistance, email me at ryan@huntortmann.com to schedule a free consultation.