A mechanic lien is like a “judgement” lien to protect “construction interest in a property”.
For a mechanic lien to be enforceable, the beneficiary must follow the procedure established by mechanic lien laws. Similar as when we have a judicial foreclosure of a defaulted mortgage.
Anyone who completes a building project at the request of the property owner ( or anyone working on behalf of the owner) may claim the lien.
Anyone including but not limited to “laborers, engineers, architects, material suppliers, surveyors, equipment renters, contractors, subcontractors who made contribution to the “physical work” of “improvement”.
The lien not only can be done by the workers but those who benefit from workers or give workers some sort of benefits. For example “ a Union Trust Fund which is involved in payment benefit” for those who worked in the property and are entitled to a claim of lien.
Its important to know that “ordinary creditors of the contractor or workers” are not entitled to claim the lien because the didn't “directly” benefited the property.
It is worthy to mention that “direct supplies who supplied to the subcontractor” has the right to mechanic lien, but “material supplier” to a “material supplier” has no “mechanic lien rights”.
To determine who has the rights of a “mechanic lien”, the court determines whether the person claiming is a “statutory agent” of the owner. The statutory agent here is one who can perform the work based on owners' request and indeed does a “physical improvement” to the property.
A mechanic lien must be recorded, then a “lawsuit” must be filed to “enforce the lien”.
The California constitution provides that “contractors and material suppliers” have the lien rights. The courts are generally sympathetic over these rights, but payments are not always reflecting the original payments. California homeowners may sometimes have to pay twice when the lien rights disputes get to the court.
If you need to have a lien against a property and receive compensations, or need to defend against an unjust claim contact an attorney to know your rights.
This is a legal blog. It is not intended to be used as legal advice. This blog does not create Attorney-Client Relationship. For further information please contact the law offices of attorney Ramona Kennedy.
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