As an owner, for new home construction, does filing a Notice of Completion allow sub-contractors who finished long ago to lien?
Los Angeles, CA
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Posted 7 months ago in Construction / Development
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I own a property in California. I built a new house on the property and just completed it and got my Certificate of Occupancy. If I file a 10-Day Notice of Completion within 10 days of getting my Certificate of Occupancy, will all sub-contractors have a right to lien my property within 30 days of such filing? Can my framing subcontractor, who completed his work 4 months ago, now be ab;e to lien my property because I filed this Notice of Completion? In other words, does this Notice of Completion filing bring forward his "end of work" date to the filing date, even though his work was completed 4 months ago? If I don't file a Notice, then subcontractors have 90 days from the day they completed work to file a lien, which means the framing sub is now beyond the date for filing
Answers (1)Diane L Goad
This attorney is licensed in California.
Posted 6 months ago.
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This response does not create an attorney/client relationship nor does it constitute legal advise but is provided only as a point for discussion.
It is my understanding that a properly filed Notice of Completion is the point from which time to file a mechanic's liens is calculated. For a subcontractor, it is always better to file a lien early rather than too late meaning that liens are often filed based upon the completion of the subcontractor's work. If you don't file a Notice of Completion or you file a defective Notice of Completion, subcontractors have 90 days from the "completion" of the work to record a lien. If you file a proper Notice of Completion, it cuts down the time to file a lien from 90 days to 30 days after the notice of completion or cessation is recorded. There are other requirements for filing mechanic's liens that must be met depending on whether a contractor is in direct contract with the owner or is a subcontractor of another subcontractor. Defective liens are invalid. Materialmen have slightly different rules as well. CA Civil Code covers these areas. You can access the code sections online and also the the California State Website has a large section dealing with contractors with information for consumers at cslb.ca.gov. |