Is a Construction Lien
the same as a mechanics lien in
Texas?
https://www.TexasEasyLien.com/
TexasEasyLien.com Compared to a Lawyer
Construction liens are official documents used by
industry contractors, sub-contractors, builders and
material suppliers to assert a lien on property when
they have not been paid for work or services
furnished to a project.
Their purpose is to bind the property from any
financial transaction unless the debt to creditors gets
paid first.
Construction Liens are same as Mechanics Liens
When a construction lien is filed against a property, it becomes
public record. This alerts potential purchasers that someone claims
a debt is owed for labor, materials, or equipment provided to the
property. Lenders typically will not offer permanent financing or
refinance a property that has a mechanics lien filed against it, which
can be a real problem for the property owner.
Construction liens are also known as mechanics lien. They are
the exact same document and only have different names
depending on the state or city.
In the construction industry, mechanic’s liens or construction liens, are the most effective tool used by
contractors, sub-contractors and material suppliers, who are working on a construction project and are not
being paid for the work or services they have provided.
If a contractor or material supplier files a mechanics lien against the property, it becomes difficult for the
owner to sell or refinance it without first paying off the debts secured by the lien. When a construction lien is
filed it creates an interest in the ownership of the property, and in case the claim is not paid, the person or
company who filed it may have a right to file a lawsuit to foreclose the lien and take the title of the property if
the debts are not satisfied.
Construction Lien Laws
Construction lien laws widely differ from state to state. Notice
requirements, filing and mailing deadlines and information included
in the documents are just some of the difference's states have
between each other.
Some states offer some flexibility while others’ requirements are
complex and must be strictly followed to keep the lien rights. In
states like Texas, lien rules are complex and strict historically
prompting contractors and suppliers to retain construction attorneys
to recover their money. Small and medium sized contractors often
do not use their lien rights due to high attorney fees.
Fortunately, online services have now been designed to prepare
and file lien documents online without the need of an attorney giving
everyone owed on a construction project the opportunity to get paid
without breaking the bank.
As a property owner, the best way to stay away from the risk of getting a lien filed, is to pay off the bills timely.
On larger projects, make sure that everyone involved in the project is getting paid by keeping track of
payments and requiring the contractors and subcontractors below to do the same.
In the event subcontractors don’t pay their workers timely, receipt of payment and lien waiver requirements
are tools that can be used. If a lien gets filed against your property, action must be taken immediately, even if
it is not valid. Assuming it is an isolated incident can further damage the development of the project.
File Your Lien Online on
texaseasylien.com
mail@texaseasylien.com
mail@texaseasylien.com
+1 (866) 406-5436
611 W 14th St Austin,
TX 78701