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What is the chain of service to perfect a lien for a GC?

I am a GC with a contract in hand with HO. The project was done through an insurance company and funds were already released to homeowner but the company was not paid, with the exception of the deductible plus $2000 after finishing the job. We need to perfect the lien and the chain of notice is not clear when it comes to GC. Can explicit help be provided regarding this issue?

1 reply

Dec 27, 2018

I'm sorry to hear you've gone unpaid. I'm not sure I know what you mean by "chain of notice" - but providing some relevant information on Texas notices and lien claims should help. You can access much of this information here: Texas Lien & Notice FAQs. First, when work will be performed on a residential project, it's important to determine whether or not the property is a homestead. If the property is a homestead, then certain additional requirements will apply. zlien discusses those requirements here: TX Lien on Homestead. Even where a property is not a homestead, there are notice requirements for prime contractors. A prime contractor must provide a "disclosure statement" prior to signing the contract, as well as a written list of all subs and suppliers to be used (and that list should be updated regularly). This requirement can be waived, though, and that waiver can be present as a part of the contract between the parties - so it's important to review the contract material. While that all may seem burdensome, prime contractors do not need to provide the burdensome monthly notices that subs and suppliers need to. Hopefully that information was helpful - if not, please feel free to come back and elaborate on the question. We'll answer as best we can!

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