California Lien Laws
Lien laws vary significantly across states, reflecting the diverse legal landscapes and economic conditions throughout the U.S. These laws govern the rights of creditors to claim an interest in property to secure payment for debts. For instance, some states have specific statutes that provide detailed processes for mechanics’ liens, allowing contractors and suppliers to enforce claims for unpaid work or materials on construction projects. In contrast, other states might have more streamlined or less detailed regulations.
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Supplier – Preliminary notice requirements to file mechanic lien
20 days: Preliminary 20-Day notice must be served on owner, prime contractor and lender (if any) within 20 days of first providing materials or labor. Tardy notice is only effective for work done in the preceding 20 days; however; tardy notice should always be filed for full contract amount including change orders regardless of payments received.
Supplier – Mechanic Lien
30 days: Must be filed within 30 days from recording of Notice of Completion or Cessation, or if neither are filed, within 90 days from completion of the work.
Subcontractor – Preliminary notice requirements to file mechanic lien
20 day: Preliminary 20-Day notice must be served on owner, prime contractor and lender (if any) within 20 days of first providing materials or labor. Tardy notice is only effective for work done in the preceding 20 days; however; tardy notice should always be filed for full contract amount including change orders regardless of payments received.
Subcontractor – Mechanic Lien
30 days: Must be filed within 30 days from recording of Notice of Completion or Cessation, or if neither are filed, within 90 days from completion of the work.
General Contractor – Preliminary notice requirements to file mechanic lien
20 days: Preliminary 20-Day notice must only be served on the construction lender (if any) within 20 days of first providing materials or labor. Tardy notice is only effective for work done in the preceding 20 days; however; tardy notice should always be filed for full contract amount including change orders regardless of payments received.
General Contractor – Mechanic Lien
30 days: Must be filed within 30 days from recording of Notice of Completion or Cessation, or if neither are filed, within 90 days from completion of the work.
Timeframe to foreclose lien
Action to enforce due within 90 days from recording of lien. Construction participants not covered by lien law An unlicensed contractor cannot use the mechanic’s lien remedy. A person not in contractual relations with any of the major parties (owner, prime contractor, subcontractor) or their agents cannot
use the mechanic’s lien remedy. Suppliers to Suppliers have no rights.
Cost and damages not allowed in lien claim
Delay damages and attorneys’ fees. Also, a mechanic’s lien claim cannot be for more than the contract price or the fair value of the work or materials (whichever is less).