Mechanic’s Liens Are Frequently Misunderstood
The multiple issues involved in the world of properly drafting and filing mechanic’s liens, as well as discharging and removing them and the negotiation of the resolution of liens or the foreclosure of mechanics liens are among the most complex in construction litigation.
Why Liens Are Filed And Why They Need To Be Discharged
Contractors or subcontractors will file a lien against a property based on a dispute, usually the withholding of payment. When the time comes for the owner to move onto the next phase of construction or to sell or refinance the property, the issue will need to be resolved and the lien discharged via the contractor or subcontractor. This is important as a lien is a cloud on the title of the property, acting as a judgment. If an owner wants to refinance or sell the property, the title company will often require the seller to escrow one and a half times the face amount of the lien.
Filing and discharging liens properly can be an immensely complex process that requires attention to detail and a comprehensive legal knowledge of filing deadlines and legal procedure. When the stakes are this high, seeking out a dedicated and experienced construction law attorney is the best way to achieve a best possible resolution.
A Deep Understanding Of Construction Lien Law
For more than two decades, we at the New York and New Jersey Law Offices of Michael P. Berkley, P.C., have been working with complex issues involving mechanic’s liens. We’re ready to take our experience to help contractors file a mechanic’s lien, or to help property owners with discharging a lien if they feel the lien was filed frivolously or the amount is overstated.
We understand that in this economy, every dollar is carefully accounted for. With our deep understanding of the lien law working with a focus on this since 1990, we have the experience needed to help owners understand if a lien is legitimate, to help contractors understand if they should file a lien and ensure filed liens will not be discharged based upon a legal technicality.
Prompt Action Is Critical
If you are considering filing a lien, it’s important to do so quickly because lien holders will generally be paid in chronological order based upon the date of filing. Thus, there’s a priority to the order of payment to lien holders, upon a foreclosure sale. When we represent contractors we’re able to efficiently undertake the process to ensure the timeliness of filing.
Regardless of your issue, we’re ready to make our knowledge and experience to help work toward ideal outcomes. To discuss any aspect of your lien issue with our Manhattan mechanics liens lawyer in a free initial consultation call 888-512-5875 or e-mail us.