What is a Mechanic’s Lien and Is There One on Your Property?

What is a mechanic’s lien and is there one on your property?

Had a falling out with a home contractor? Withheld payment? You may face some major repercussions in the form of a home lien.

Q: How can I find out if there is a mechanic’s lien on my property? A painter painted the house.But never came back to paint over some spots he missed. He also did not come back to collect the rest of his payment for the job. Can he file a lien?

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A: Usually, a contractor or subcontractor has the right to “lien a home.” The actual lien itself is known as a “mechanic’s lien.” This can occur when the contractor or subcontractor has performed work and has not been paid by the homeowner.

Given the limited information you’ve shared, the painter probably has a right to put a lien on the home for the lack of payment for the work completed. We suspect that the painter hasn’t filed a line as contractors will usually demand payment before the take the steps of spending money to file the lien.

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Mechanics’ liens laws are on the books to protect contractors, subcontractors and companies that provide materials to a job site from being unpaid. In most instances, the homeowner and contractor must have a verbal or written agreement regarding the work that will be done. Let’s say a contractor that shows up at your home and paints it without your permission. They should not have a right to lien your home for work you did not ask for or approve. (Please note that the contractor might have the right to lien the home even if you have not agreed to the work but you don’t take steps to actively disallow him to perform the work.)

In your situation, you actually hired the painter. The painter performed some of the work but didn’t finish it. From the information you included in your letter, it seems to us that the painter substantially finished the job but there were some final details to be finished. These are known as a punch list.

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If that’s how it played out, we think the painter is entitled to payment for the work that was performed. He might not be entitled to the full amount but is probably owed most of the amount that you and the painter agreed the job was worth.

So, why did the painter walk out on your job? Did you and the painter have some sort of falling out? Perhaps that’s why the painter never came back? Have you tried calling or texting your painter?

Regardless, you should expect to hear from the painter at some point. He will likely demand payment at that time. If there are hard feelings, the painter might be able to file a lien against your home. If you and the painter leave it on good terms, they’re unlikely to file a lien.

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We’ve heard of contractors who disappear in times of a family crisis. There might be a death in the family, a health situation, or other matter that requires travel outside of the country. What typically happens is the contractor eventually shows up. At that time they explain the situation and gives the homeowner the final bill.

Finally, you can check to see if the painter has filed a lien against your home. You can search online your property’s records at your recorder of deeds office website or other office that handles document filings for your area. When you find the website, you’ll need your property tax identification number or parcel identification number to look up the records. The process of looking up the information is pretty simple. You simply plug in the parcel identification number. Up should pop a list of all documents that are on the title to your property.

This list will have everything online since they started handling the documents electronically, The website will show old mortgages as well as the deed conveying ownership to you. Most of the time, these documents are shown by date. The most current document would be the lien, if the painter actually filed the document.

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Don’t think you’re free and clear if a lien doesn’t show up. That may mean the painter has not yet filed a lien. Most states have a set period of time from the date work is completed for a contractor to file a lien. For example, one state may require a contractor to give you a notice of the contractors intent to file a lien within 45 days and to then actually file the lien within two years of the completion of the work.

We give you this example to understand the very basics of the process. If you are looking for a lien, you might have to search the website several times over the next couple of years. If you don’t see anything after that, you’re probably in the clear.