Please Contact Us If you have any questions or comments regarding Construction Law.
Please Contact Us If you have any questions or comments regarding Construction Law.
“A.B., a mechanic, contractor, subcontractor, material man, machinist, manufacturer, registered architect, registered forester, registered land surveyor, registered professional engineer or other person (identify claimant as the case may be) claims a lien in the amount of $(specify the amount) on the house, factory, mill, machinery, or railroad (as the case may be) and the premises or real estate on which it is erected or built, of C.D. (description), for satisfaction of a claim which became due on (specify the date the claim became due) for building, repairing, improving, or furnishing material )or whatever the claim may be).”
It is not recommended that those in the industry file their own claim of lien. A claim of lien must be filed within 90 days of last supplying labor, material, equipment or services to the project.
The importance of immediate action on lien filings cannot be stressed enough. A general contractor can provide an affidavit compliant with O.C.G.A. 44-14-362.2 (a)(2) and dissolve un-filed liens even if the affidavit is false. The supplying of labor, services or materials gives an inchoate lien right which only comes to fruition upon the filing of the lien (or preliminary notice of right to file a lien). An owner can supply a similar affidavit upon the sale of the property or the securing of a loan in which the property is to secure repayment which will defeat subsequently filed liens.
There are possible additional requirements of second tier subcontractors and second tier material men. If a notice of commencement has been filed then additional obligations are placed upon a second tier subcontractor or second tier material man in order to sustain a claim of lien.
If a notice of commencement was filed then second tier subcontractors and second tier material men must give written notice by certified or registered mail to the contractor and the property owner within 30 days of the first delivery or services, materials or provision of labor to the project (See O.C.G.A. 44-14-361.5)
To protect against the loss of this right, the second tier subcontractor and second tier material man should request a copy of the Notice of Commencement from the general contractor on every project by certified mail. The contractor is required to provide a copy to the party requesting the same within ten (10) days. Failure of the contractor to do so allows the second tier parties to make their lien claims without providing the Notice to Contractor.
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