There’s a Mechanic’s Lien on Your Home: What to Do

Normally, having repairs or renovations performed on your home is a pleasant experience. If you do your research about contractors and pick a good one, and you pay the bill in a timely fashion, then there’s usually nothing to worry about. However, what happens when the contractor files a mechanic’s lien on your property? Obviously, you’ll want this lien removed, as it can create problems when trying to refinance or sell the property in the future. Fortunately, there are a few pieces of good news when it comes to mechanic’s liens, which we’ll discuss below. Be sure to obtain the assistance of an experienced lawyer, like the attorneys at Adam Leitman Baiely, P.C., before taking any steps to remove a lien.

The Waiting Game

One of the first things you should know about mechanic’s liens is that they have an inherent shelf life. If he contractor who recorded the lien against your property doesn’t foreclose on it within 90 days after the original recording date, then it expires. When a mechanic’s lien expires, this means that it is unenforceable and can’t be used to foreclose against your property. This is great news. However, it doesn’t completely eliminate all issues related to the lien. The lien may not automatically disappear from your title. This means that, although it can’t actually be used to foreclose, it could still constitute a cloud on your title and create issues with transferring in the future. Therefore, you have to employ one of the two methods below to actually remove the lien.

Option 1: The Contractor Records a Release of the Mechanic’s Lien

This option is fairly self-explanatory. Sometimes, the contractor may voluntarily choose to release the lien. This typically occurs after the resolution of any dispute between you, or after complete payment for the job is received. However, there are times when the contractor fails to do this, either intentionally or inadvertently. When this happens, you may find yourself needing to file a petition with a local court to have the lien released.

Option 2: Petitioning the Court for Release of the Lien

This alternative is a formal court process in which you petition the court for a formal release of the lien. When going this route, you need to follow a particular series of court procedures. Because it is unlikely that you will be aware of, and able to properly perform, all of the necessary steps, it is highly recommended that you retain the counsel of an experienced lawyer to help you through them (or, technically, take care of them for you).

The first thing that you’ll need to do is send notice to the contractor demanding them to release the lien themselves. This notice must be delivered in the same manner as most notices in a legal preceding: by personal delivery, by certified mail, or by leaving the notice with an adult at the contractor’s home or place of business and simultaneously mailing a copy of the notice to that same address. If the contractor fails to respond to this notice within ten days, or directly refuses to remove the lien, then you may file a petition with the court for the lien’s removal.

After filing your petition, it may take up to 60 days before the lien is actually removed. The judge is required to abide by a 30-day limit for rendering a decision, unless good cause is shown for why more time is needed, in which case a decision may take 60 days. Assuming the judgment is in your favor and the judge orders the lien removed, you will need to record the order in the county recorder’s office in order to ensure that you have no issues with it in the future. Also, be sure to seek reimbursement of your attorney’s fees and court costs, as this remedy is typically available in these cases.

Conclusion

Mechanic’s liens can be an unpleasant issue to deal with, but they don’t have to be. If you take the appropriate steps, you can be rid of them in as little as 30 days. Therefore, you shouldn’t ignore them and let them cause you a bigger problem in the future. Speak to a lawyer and get free of pesky mechanic’s liens today.