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When is it time to send actual lien?

TexasMechanics Lien

Still working on a project with no payment on last pay app. I sent notice to lien letter. When is it time to sent the lien?

4 replies

Sep 21, 2021

You really should retain a construction attorney to evaluate your legal position and to provide advice. 

Filing an invalid lien could subject you to liability under the Texas Fraudulent Lien Act, and you could be liable for statutory damages of $10,000, or actual damages, whichever is greater, plus attorney's fees. Facing such a claim would add insult to injury.

The date for filing a mechanic's lien depends on a number of factors that you do not mention. For example, is the project commercial or residential? The deadline for filing a residential lien is a month shorter than for a commercial project. Are you finished with your work? Do you intend to work with your customer in the future? Are you willing to burn bridges now? Did you properly provide pre-lien notice(s)?

Good luck.

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Sep 21, 2021

 We are not 100% complete due to non payment.

We have filed the intent to lien already through Level set.

This is a commercial project.

I am working for a GC and do plan to continue to work with them. Its the owner of the project that is not paying anyone. GC and all subs have sent intent to lien and some have sent liens already.

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Sep 21, 2021

If you are not fully completed, you should consider completing and filing a mechanic's lien for the full amount of your claim. Not completing raises issues, and could provide the owner with a counterclaim which could be dramatically inflated for the cost of completing your work.

Good luck.

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Sep 22, 2021
By the 15th day of the 4th month after you did the work.
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