Louisiana Preliminary Notice Rules
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Preliminary Notices Are Usually Required
Whether or not notice must be given prior to the filing of a lien statement in Louisiana depends on the project type and claimant’s role in the project prerequisite to filing a valid mechanics lien.
GCs Must Send Notice
Prime Contractors must record a Notice of Contract before beginning work on a project of more than $100,000. Failure to do so will extinguish lien rights. A Notice of Lien Rights may also be required (more on that below).
Subcontractors Not Required to Send Notice
Suppliers Must Send Notice
If hired by a subcontractor, the notice must be sent within 75 days of the last day of each month of furnishing labor and/or materials.
Equipment Lessors must deliver a notice to the owner, and the timing of that notice will depend on when the project began (more on that below).
Notice Cannot be Sent Late
When required to give notice in Louisiana, failure to do so within the correct time period is often fatal to the lien claim. There's a little leniency with Notice of Lease, though. More on that below.
Send to Owner, GC, or Record (Depending on Notice)
Notices must typically be mailed, but a Notice of Contract must be filed. Read the below FAQs for more info.
Preliminary Notice Only Required for Equipment Lessors and Material Suppliers
Generally in Louisiana, preliminary notice is not required in order to make a bond claim. However, an exception exists for equipment lessors in all cases, and for material suppliers to subcontractors if the contract has been recorded.
It is generally best practice, however, to send preliminary notice even if not specifically required to provide project visibility.
On public jobs, any claims for non-payment are made against the general contractor's bond. Since GCs will not make a claim against their own bond for non-payment, they do not have bond claim rights, and have no preliminary notice requirement.
No Notice Required From Subcontractors
Subcontractors on public projects do not need to send preliminary notice in order to make a claim against the provided payment bond.
Equipment Lessors and Material Suppliers to Subs Must Provide Notice
Equipment Lessors are required to provide preliminary notice no more than 10 days after the movables are first placed at the site for use in work.
Additionally, a material supplier to a subcontractor must send a notice of non-payment to the general contractor within 75 days from the last day of each month in which the material was delivered.
Notice Cannot be Sent Late
When preliminary notice is required in Louisiana it may not be sent late, and is only effective if sent before the statutory deadline.
Send to GC or Public Entity
Equipment lessors must provide the public entity with a copy of the lease. Material suppliers to subcontractors must provide the general contractor with the notice of non-payment.
Preliminary notice in Louisiana is very specific to the project participant and their role. General contractors, design professionals, subcontractors, material suppliers, and equipment rental companies will all have different notice requirements in many situations.
Most states have some sort of preliminary notice requirement in order for parties to retain the right to file a mechanics lien or make a bond claim. Louisiana is no exception, though it does have a wider variety of notice types than most states. Louisiana’s notice requirements are defined in LRS 38:2242.
Louisiana’s preliminary notice rules significantly changed on January 1, 2020: Learn more about Louisiana’s preliminary notice changes.
Among the biggest changes:
- Notice of Contract is not required for projects less than $100,000 (up from $25,000)
- Equipment lessors have more time to send Notice of Lease (30 days – up from 10 days)
- Design professionals now have their own specific notice requirements
- Contractors can force an owner to file a Notice of Termination
- Final Notice of Non-Payment can be used to extend some residential lien deadlines
While notice is not required of some project participants, it is always a good idea to provide preliminary notice anyway.
Types of Preliminary Notice in Louisiana
There are a lot of different notices in Louisiana, so let’s break them down notice-by-notice.
Notice of Lien Rights: Prior to the commencement of the work.
Notice of Non-Payment (Monthly Notice): Within 75 days of the last day of the month in which the material was delivered.
Notice of Lease: Within 30 days from first furnishing the equipment to the project.
Design Professional Notice: Must send to owner within 30 days of being hired.
Final Notice of Non-Payment: Must be sent at least 10 days prior to filing a lien (effectively, at least 10 days before the lien deadline.
Notice of Contract
Prime Contractors must file a Notice of Contract on all projects exceeding $100,000. The Notice of Contract must be filed with the recorder of mortgages in the parish in which the project is located prior to the commencement of the work. View contact information for all Louisiana parish recorder offices.
Notice of Lien Rights
Prime contractors on owner-occupied residential projects (not including new construction) must deliver a Notice of Lien Rights to the property owner before commencing work. This document is often included in the contract.
Notice of Lease
Equipment lessors must deliver notice to the property owner and prime contractor within 30 days from the date of first delivering the equipment to the project to preserve lien rights. Senders no longer need to send to their direct customers, however.
Design Professional Notice
This is a preliminary notice for “professional consultants and subconsultants” (i.e. design professionals). It must be sent by design professionals hired by someone other than the property owner.
Notice of Non-Payment (Monthly Notice)
Material suppliers who provide materials to a subcontractor (or party below – like a sub-subcontractor) must send a Notice of Non-Payment to the property owner and general contractor within 75 days of the last day of each month during which material was delivered. Learn more about Louisiana’s monthly notice requirement for suppliers.
Notice to Owner of Obligations
Any party may provide this voluntary notice to the property owner to request notification of the filing of a Notice of Termination, abandonment, or substantial completion. With that information, project participants can ensure they don’t miss a deadline.
Final Notice of Non-Payment
This is a voluntary notice for residential projects where no Notice of Contract was filed. It can be sent by all suppliers and equipment rental companies (regardless of who hired them), as well as all other parties hired by someone other than the owner.
If the Final Notice of Non-Payment is sent at least 10 days before the lien deadline, the deadline will change a bit. The deadline to file a lien will change to 70 days after a Notice of Termination, or 70 days after substantial completion if a Notice of Termination wasn’t filed.
Request for Notice of Termination
General contractors in Louisiana can now force a property owner to file a Notice of Termination by sending a Request for Termination. An owner must file the Notice of Termination within 10 days of such a request.