A builders lien can help an individual or company collect money owed on a construction project. Pursuant to the Builders Lien Act, those who have supplied materials to or worked on a construction project can file a charge against land where the project took place to secure payment of the outstanding funds. However, you must work quickly as the deadline to file a lien is 45-days from the project completion, ending or abandonment. Registering the lien hinders the owner’s ability to sell the property or obtain funding, encouraging them to rectify the outstanding payment.
We can help with:
- Removing builders liens pursuant to the Builders Lien Act
- Registering builders liens
- Recovering money owed pursuant to a lien
The Court Order Enforcement Act provides many options for remedies and many avenues of enforcement to recover money owed once the builders lien is proven valid.
No, the sale of property to pay builders liens is not common. In most cases, once the liens are proven, the amount of the holdback fund available to satisfy the liens is calculated, then the lien claimants are paid their proportionate share of the available holdback funds.
A lien holdback is security to contractors, subcontractors, workers and suppliers on a construction project. A holdback is mandatory for the contract holder on a project and is generally 10% of the contract amount owed.