Edwards Firm Litigates Cases Involving Mechanic’s Liens
Colorado attorneys represent contractors who have not been paid
Most or all of the payment for building and repair projects usually is provided by the time the job is complete. However, this can leave contractors without much leverage if a property owner or contractor is unwilling to pay for work that was already done. To address this situation, Colorado and other states authorize the use of mechanic’s liens, which allows contractors and suppliers to place a claim on a property’s title when they have not been compensated for their goods and services. At Heckman & O’Connor P.C. in Edwards, our experienced attorneys represent Vail Valley clients seeking to establish mechanic’s liens, as well as those who are seeking to have them removed.
Who can file a mechanic’s lien?
Typically, mechanic’s liens are filed by construction contractors and subcontractors who have not been paid for a project. Suppliers of materials can use this legal remedy as well. In fact, even architects, designers and others who perform labor associated with building and repairs can file a lien, even if they are not licensed professionals.
When and why a mechanic’s lien is filed
Once work is completed, a person or company that hired a contractor or subcontractor might not agree that the terms of the agreement were fulfilled. This could lead to a partial or complete withholding of payment. In other situations, property owners unexpectedly lack the finances required to pay for goods and services that were provided. While many disputes can be resolved through negotiation, a supplier, contractor or subcontractor could file a mechanic’s lien to protect their interests in case an agreement cannot be reached.
A mechanic’s lien can be very effective because any type of title defect can affect an owner’s ability to sell or refinance their property. Owners are usually motivated to resolve liens quickly to avoid delays in sale or refinancing. Moreover, lienholders often take precedence over unsecured creditors if the property owner files for bankruptcy. With our firm’s experience in cases relating to construction defects and other types of litigation stemming from building and repair projects, we can advise you on whether filing a mechanic’s lien is the best way to proceed.
Process and deadlines
Our construction law attorneys guide clients through each step of the process required to secure a mechanic’s lien, such as:
- Preliminary notice — Ten days or more before you file the lien with the court, you must provide the property owner with a notice of intent to file. This might allow time to reach a settlement.
- Filing the lien — Our firm can help you complete the lien form correctly and file it with the appropriate court. The form includes information about the property in question, the work done and the amount you are owed. One type of form is used by contractors, while another is used by subcontractors and suppliers.
- Enforcing the lien — If the individual or business does not satisfy their obligation, the party that filed the lien can seek to enforce their rights by foreclosing on the property in question. This must be done within six months from when the work was performed, the project was completed or the supplies were furnished. Should the case be successful, the lien will become a cloud on the property’s title unless and until removed.
- Settling the dispute — Once served with a mechanic’s lien, property owners and contractors frequently look to settle, even if they were reluctant to do so previously. Our lawyers can negotiate on your behalf.
Timely fling is critical for construction professionals looking to place a mechanic’s lien on property. In some cases, the filing period might last for only two months after the work is completed. We will explain the applicable deadlines and advise on the possibility of receiving an extension if warranted by the circumstances.
Contact a Vail Valley attorney to discuss a mechanic’s lien
Heckman & O’Connor P.C. represents Coloradans in legal matters related to the filing and release of mechanic’s liens. From our office in Edwards, we assist contractors, suppliers and property owners from Vail, Eagle, Gypsum, Avon, Minturn, Leadville and other area communities. Please call 970-926-5991 or contact us online to learn how we can help you.