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LegalCornerTM - Mechanics Liens F.A.Q.'s

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Q.What is a Preliminary 20-Day Notice?

A.A preliminary 20-Day Notice is not a lien. The notice merely advises the property owner that a subcontractor or supplier is working on the property and that if the contractor doesn't pay the subcontractor, then the subcontractor might claim a lien against the property.

Basically the Preliminary 20-Day Notice is the red flag that should remind the property owner to: (1) pay the contractor and subcontractor with a joint check (a check made payable to the both of them for that segment of the work); and (2) demand that upon receipt of payment both the general and all subcontractors and suppliers must sign an unconditional release. By getting the signed release, the property owner knows the general contractor has paid the subcontractors and suppliers and the risk of a Mechanic's Lien is substantially reduced.

Copyright 1999-2019 Melissa C. Marsh. All Rights Reserved. All Information on this website is subject to a Disclaimer and Use Agreement. This information is provided as general information only and should not be construed as legal advice. We advise you to seek the advice of competent legal counsel to address your own specific questions, facts and circumstances.