Mechanic liens are allowed in New York State to be filed against an individual or a business for non payment of construction and materials costs. This lien gives the lien claimant rights to a real estate property to obtain compensation. This claim is for non paid wages, materials or monies owned in a home or building improvement project.
Generally, a property owner is prevented from selling or disposing of real estate if it has a mechanic lien filed against it. In order to clear a property of a mechanic lien there has to be a lien relieve granted by court. Use these steps to help you file a mechanic lien in New York.
Read More: How to Stop an Illegal Lien
Evaluate eligibility requirements for filing a Mechanic Lien in New York. Contractors, subcontractors, workers, landscapers, material providers and gardening service businesses or individuals are eligible to file mechanic liens. To file a lien there has to be non payments of work or services completed on a real estate improvement project. Each county in New York may have unique filing requirements.
Document the work performed and its costs. List the amount of money pay to subcontractors, workers and the cost of material. Estimate the percent of work performed if it hasn't been finished. Have copies of the contract signed by the property owner or agent.
Negotiate with the property owner/agent and try to collect payment before filing a mechanic lien. Filing a lien may take time in court and cost you possible attorney's fees. By negotiating payment terms and schedules with the owner you may be able to avoid delays and legal fees.
File a mechanic lien with the County Clerk's Office. In New York State, mechanic liens are filed in the county where the property is located. Visit the County Clerk's Office internet site or in person to file the lien. Use a Notice of Lien form for New York State to file.
Complete the Notice of Lien legal form. This form is available at the County Clerk's Office and online from various legal services. The form requires detailed documentation of the work performed and the costs incurred. The Notice of Lien Form has to be notarized in New York. This form can be file during the construction work or within eight months after completion of contract terms.
Mail a copy of the Notice of Lien to the property owner/agent. The individual or business claimed in the lien has a right to written documentation detailing all labor and material costs. Use postal certify services to make sure the notice is properly delivered.
Read More: How to Fight a Mechanic's Lien
This article was written by Legal Beagle staff. If you have any questions, please reach out to us on our contact us page.