I get quite a few calls from owners that have a construction lien recorded against their property. The question is always: “What do I do?” Every situation is different and the amount of the lien sometimes dictates the most efficient course. However, many owners want to handle the issues themselves without investing in an attorney to assist them with the right resolution or strategy.
If the lien amount is not significant or the amount in dispute is not significant, then sometimes negotiating the best deal in consideration of a satisfaction and release of lien, and release of claims, is the most practical and cost effective. However, from an owner’s perspective, a satisfaction and release are key to the resolution. Plus, if there are other unpaid lienors emanating from the lienor, then the owner wants to ensure these lienors also get paid in consideration of a lien release or satisfaction of lien.
If there is a dispute regarding the lien, a Notice of Contest of Lien shortening the lienor’s limitations to foreclose on the lien to 60 days is cost effective. Ultimately, it is putting the lienor in a position where it either must foreclose on the lien or be willing to forego lien rights. Owners, however, want to prepare and record the Notice of Contest of Lien themselves without the use of counsel. Sure, an owner can do this. But, why? Hiring a lawyer ensures the Notice of Contest of Lien will be done right. Plus, if the lienor does foreclose on the lien, the owner already has an attorney on board engaged in the process.
Please contact David Adelstein at email@example.com or (954) 361-4720 if you have questions or would like more information regarding this article. You can follow David Adelstein on Twitter @DavidAdelstein1.