A Primer on Mechanics' Liens
11.11.2009
The Mechanics Lien Act was recently amended, quite likely as a result of complaints from homeowners who paid their general contractor in full, yet still had mechanic's lien claims filed against their home. Here's how mechanic's liens can now be filed.
In order to file a lien you must be a contractor or subcontractor. A contractor, as defined by the Mechanic's Lien Act, is one who contracts with the owner. A subcontractor is one who contracts with the contractor or, pursuant to a contract, with a subcontractor in direct privity of contract with a contractor. It is important to note, that no lien may be filed for labor or materials furnished for a purely public purpose, since these are typically bonded jobs and include work for a municipality or school district.
A contractor has six months from the day he last does work to file a mechanic's lien claim. A subcontractor must send out a notice of intent to file a mechanic's lien claim within five months of the date he last did any work on the project.
The contents of the formal intention to file a mechanic's lien claim and the actual mechanic's lien claim both require basically the same information:
- Name of the person or entity filing the claim.
- Name of the person or entity with whom you contracted.
- The amount claimed to be due.
- The general nature and character of the labor or materials furnished.
- The date of the completion of the work for which the claim is being made.
- A brief description sufficient to identify the property claimed to be the subject to the lien.
The formal notice of intention to file a mechanic's lien claim must be served by first-class or certified mail or by an adult (in the same manner as a writ of summons in assumpsit) on the owner of the real estate being liened or his agent. If service cannot be so made, then the notice of intention to file can be posted upon a conspicuous public part of the improvement.
The mechanic's lien claim must be filed with the Prothonotary of the County where the property being liened is located.
The attorneys at MacElree Harvey have experience representing contractors, subcontractors and homeowners in matters concerning mechanic's liens. Please contact us for more information on your rights and obligations under the recently amended legislation.
