Various construction projects are taking place all across the country. As a result of this, different contractors are engaged in such projects and numerous workers get a job to support their families. However, there are many property owners, who refrain from paying the dues to these contractors and material suppliers citing various reasons, most of which may even be baseless. In order to protect the rights of these contractors and material suppliers and to ensure timely pay for their work, mechanic’s lien is filed.
What Is a Mechanic’s Lien?
You may say that a mechanic’s lien is a common tool that is used by subcontractors and contractors to ensure timely pay for their hard work on private construction projects. It is important for you to note that public properties are not usually subject to such a lien. In such cases, a bond claim is normally needed for the collection of accounts that are due on public works projects.
The requirements for notice and filing of the construction liens in Texas may vary to some extent. This is largely dependent upon the fact whether a project is residential or commercial and whether the project has any additional needs if the residential construction happens to include a homestead. It is rather important for you to note about these requirements from the first day itself if you are working on a construction project.
Who Call Can File a Mechanic’s Lien?
Your first step towards filing a mechanic’s lien is to understand whether you are eligible to do the same in Texas. When it comes to who all can actually file the lien, the state of Texas has a pretty broad definition. Some of the people who are eligible to file a mechanic’s lien include labor or materials, landscape services, custom fabricated materials, demolition services, design services if you are a professional engineer or architect or surveyor and have signed an agreement with the owner.
There is no need for a pre-lien notice of a general contractor in the state of Texas. For others, it is mandatory and also complicated to send lien notices. Your relationship with the project and the type of project play a major role in determining what all you need to send and the proper time to send the notice. It is important for you to remember that if you fail to send your notice on time and also in the proper form, it may result in forfeiting your right to recover your rights through mechanic’s lien against the project in question.
Some of the different types of notices include:
- The subcontractors and suppliers-notice of claim-first tier, second tier
- Notice for specially fabricated items
- Subcontractor claims on residential construction
Since time plays a crucial role in sending a mechanic’s lien and also filing the same, it is always better to be aware about when it is the right time to do so. It will not be a bad idea to know about the mechanic’s lien as much as possible if you are a contractor.