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Civil Information Idaho Falls, Idaho Civil & Construction Lawyer FAQ: Construction What is a mechanics or materialman's lien? Are there any special requirements for a lien? What are some of the things I do to protect myself in construction cases? What is a mechanics or materialman's lien? In general terms, a person or company that provides services or materials to an owner of property may claim a lien against the property for the value of such services or materials. Top Are there any special requirements for a lien? Yes! There are many pitfalls that can avoid a lien from having any effect. Strict complying with the law is every important Having an attorney knowledgeable in this area of the law will help avoid these problems. Some of the things to be mindful of include: Make sure the owner is aware of the work being done. For example if a tenant requests the work being done without the permission of the owner, no lien is possible. Timely file the lien. The lien must be filed within 90 days of the labor or material being substantially completed. This can be a major pitfall to a case. Sometimes punch lists items must be completed before the contractor is promised payment. If the substantial work has been completed, the delays may give the owner the ability to avoid the lien. Make sure the list contains the correct information. To be valid, the lien must contain the following information: The amount owed. I believe it wise to include a copy of the detailed invoice or statement sent to the owner or his contractor. The name of the owner, or reputed owner, if known; The name of the person by whom he was employed or to whom he furnished the materials; and A description of the property to be charged with the lien, sufficient for identification. (This is a difficult area sometimes, particularly if there is no specific structure. Using a legal description and street address gives you the most protection.) What the law tries to do is to give the owner and other persons reasonable notice of the lien. The claim must be verified "by the oath of the claimant, his agent or attorney, to the effect that the affiant believes the same to be just." Make sure that the claim is properly served on the owner. A copy of the claim of lien must be served on the owner or reputed owner of the property either by delivering a copy thereof to the owner or reputed owner personally or by mailing a copy thereof by certified mail to the owner or reputed owner at his last known address. Such delivery or mailing shall be made no later than twenty-four (24) hours following the filing of said claim of lien. If you file the claim with the county recorder on late Friday afternoon, you may want to make sure you have enough time to get to the post office to have the letter mailed. Otherwise, your only option is to personally deliver the letter to owner personally within the 24 hour period. Make sure the money is in your hand or a lawsuit filed within 6 months. Liens only last for six months and if a lawsuit is not filed, the lien is lost. Top What are some of the things I do to protect myself in construction cases? First and foremost get it in writing! A written contract will be your best protection. A written contract, if a dispute arises, is worth its weight in gold. When a dispute arises, all documents generally become admissible. The court or jury's job is to determine the parties' intent. Even in a bid or proposal, you may want to be careful what you say because that may be part of the contract. Also, trade customs can play a very significant part in the decision if there is no written contract. You can be burned. Second, you should consider not doing any work until the contract is in place. In some situations, contractors are in a hurry to get the project done. If this is the case, they shouldn't have any problem getting the contract completed and signed quickly. If there are parts of the contract which will have to be worked out later- still sign a contract on the terms you can agree and state how, when, and how the remaining terms will be decided. Third, make sure the contract is complete. This should include how change orders or requests will be handled or paid. Plan for the contigencies. Fourth, if things start going bad, get an attorney on board quickly. Often what is charged is only a fraction of the cost what it will cost you later. Attorneys can serve you better as a problem solver, if they become involved earlier. In other words, attorneys often pay for themselves. Top

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