Question for ya...
We are a supplier located in eastern North Carolina and currently utilize the NCLTA Form 6 for all final payments. However, yesterday the webinar introduced me to the conditional version of lien waivers. I am extremely new to both the field and industry and want to ensure I am taking every measure possible to satisfy our customers while protecting our company.
Habitually, we take the dreaded "leap of faith" and sign off on small balance liens. Yesterday sparked an interest regarding the utilization of conditional waivers. We are constantly told by GCs that they "need the closing money to pay". My assumption would be to use the conditional on final payment form. Are there any exceptions that you recommend including or tips that you may have? So, that our GCs can close on the property while still being held accountable for the remaining balance and without our employees committing perjury?
Thank you for your help
Haley Brogden ...Read More
May company has completed a job if removal of a burned historical building. We completedcthe job in Feb 2021. Since that time we have not received payment. We were asked to provide a W9 40 days past completing the job, which I sent. Today, I received an email, from the bank. They had received the estimate for the job and the W9. They are now requiring an executed Lien waiver in order to make payment faster. I am fully aware of what's Lien is. What are my rights?...Read More
We have completed a project for a commercial project. First payment was paid with no issues. Second payment was 21-30 days late depending on what type of grace period you are willing to give. Our third payment is being held up due to not being able to provide supplier lien waivers. I explained that if the second payment had be paid when it was supposed to our supplier would have been paid. The third payment was going to be used to do this. They only want to release enough monies to pay our suppliers then release the rest later. There is wording in the contract about supplier lien waivers but there is also wording in the contract about the contractor and owner not being held liable for a sub not paying their supplier bills.
I am in the construction industry ( a construction monitor for lenders) I have been told that "In accordance with North Carolina statues, the Subcontractor CONDITIONAL lien waiver automatically becomes UNCONDITIONAL after 60 days, provided no liens have been filed by the Subcontractor."
Is this true? what are the unconditional lien laws in the State of NC. I am from Florida, and if a subcontractor has not been on site for 90 days, they release all lien rights. ...Read More
I am trying to work with a client for a contracting job, half way through the job she wanted additional work for the same price. When i said that was not part of the quote she criticized my job and made me leave before it was completed. I was going to send a notice to lien on her property before when she was going to give me $0 but now she offered $150 but that doesn't even cover my material costs...Read More
I was contracted for a large scale multi-destination move for $15,000. The contract was agreed to and signed on 10 February to be completed by 9 March. I received a deposit of $6,000 on 10 February. A couple of days later, he decided to change the terms of the contract, which we agreed would cost extra. I received an additional check for $2,500 on 14 February.
I completed the work as agreed upon on 9 March. I received a letter of appreciation from the owner (seller) of the building on 12 March. The reason for the move is the building is under contract to be sold. My client was a tenant and the new owner was not extending leases. I completed the move and sent the final invoice.
A condition of my contract was the form of the final payment. It was to be a transfer from one of his online stores (Amazon) to my checking account. The final payment was due on 10 March. On 14 March, I received a notification of the transfer of money from Amazon of $0.00.
I previously worked as operations for my client's company. His company shrank over the period of a year while I worked for him before I quit. When I sent him the invoice for the final payment, he sent me an invoice for over $57,000. This came with a Microsoft Word style invoice and 800+ pages of a spreadsheet with dollar amounts, dates, and short descriptions. There was no contract for the invoice he sent me. I do have a signed employee agreement for the time I worked for him.
On 21 February, before the completion of the contract, he retained a lawyer because his landlord had their lawyer issue him a letter notifying him to vacate the premises. His lawyer told me the contract had been paid in full, which is obviously not true.
In turn, I retained a lawyer to ensure final payment and receive better guidance for completing the contract, since he continued to try and change the terms without additional signed documentation. Once my retainer was spent, I thought it best to evaluate my options.
The owner of the building (seller) said filing a claim of lien on the building since my client is no longer a tenant would be futile. I would like to file a lien against the real property of my client. He owns a house in NC and has a store in the mall in NC which holds inventory. I just need to know what my options are and the best way to apply the most pressure to him so he will settle on the invoice and I can focus on other work....Read More
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We are a developer in Dallas, Tx and doing a project in NC. The GC is telling me that they do not have to sign waivers, however, our Lender here in Dallas will at least require an unconditional wavier to each GC and Subcontractor. Are we allow to collect them?
Customer is asking to sign a lien waiver with language that states:
In consideration of the progress payment of $x the receipt and sufficiency of which are hereby acknowledged, the undersigned and subcontractor or supplier for the above project warrants and represents to Contractor and to Owner that all persons, firms, associations, corporations or other entities furnishing labor, materials, services or equipment to the undersigned through the date hereof and all other items in connection therewith, including without limitation all payroll, sales and privilege taxes, have been paid in full up to and including the most recent previous progress payment or will otherwise be paid in accordance with North Carolina Prompt Payment Act and applicable law.
I looked into the North Carolina Prompt Payment Act and it stipulates that subcontractors must pay their suppliers within 7 days of receiving payment from customer. However, we have no way of tracking that as our supplier terms are different from our customer payment terms.
As a company who has provided material in the state of North Carolina - are we required to fill out this form for the customer who is requesting it? Are we required to make payment to our suppliers within 7 days of receiving payment from customer?
Can you please help!