Filing Your Public Works Lien!

On November 12, 2008

As a contractor, you will inevitably walk down both the private and public path to jobs. Most contractors will generally become involved in privately-funded projects, such as commercial malls, stores, and offices, and residential condominiums, apartments and homes. But there are a select few of you who will lock down that all important public bid job. Getting paid on those jobs has never been more easy!

Public bid jobs are referred to in many states as “public works.” Public works are a great way to find well-managed and supervised work. These jobs are bid out to the best contractor based upon a statewide public bid law. Once awarded, the general contractor is required to obtain bonding, practically ensuring that you, as a contractor on the job, will get paid.

Zlien files privileges against Public Works for its clients! Some things that you need to know before considering filing a lien include: what is a public lien? who is responsible for my claim? and how do we file the lien? Of course, we are here to answer your questions:

What is a Public Lien?

Public “liens” are not liens at all. In fact, you as a contractor cannot “lien” public land. A public works project is generally determined by the owner of the land where the work is performed. If the land is owned by a government agency, entity, or section, you will have to file a Public Works statement.

The statement filed upon Public Works is not a “lien,” but instead a sworn statement of the amount due under the contract with your contracting partner. The sworn statement is filed against the project in the local records and sent to all interested parties.

Who is responsible for your claim?

In the majority of states, each of the contracting parties up the ladder to the initiating government-affiliate, is responsible for your claim. Typically, Zlien will search to find the contracting government agency, the prime contractor and the bonding agent who acts as surety on the project.

As a contractor, the law will provide you with a legal remedy against the owner, surety and other contractors, if in fact you are not paid.

How do we do it?!?

By fax, internet or phone, we can get your public lien filing accomplished. Because your personal contract is unlikely to include the information necessary for the filing of a privilege, we ask that you attempt to collect all of the prime contractor’s contract and the bonding information, in order to save time.

Here is what you need to provide:

(1) Your company/personal contact information.

(2) A copy of your contract to perform the work (purchase order or work orders are fine)

(3) Name and Address of Owner/Government Agency

(4) Name and Address of any contractors above you – i.e. those who have subcontracted the work you performed downward, starting at the prime contractor.

(5) Relevant dates when your work began and ended.

(6) Copy of the Prime Contract and Bond.

(7) Copy of any Certificates of Substantial or Final Completion.

Remember that some states require that you Statement be filed within a short period afer substnatial completion. Please make sure that you get your claims filed immediately to prevent any delays in the research system. Some states work under a short time frame for considereing Sworn Statements. In most areas, the statement must be filed within 30-60 days from filing of a Ceritificate of Substantial or Final Completion.

What if I cannot obtain a copy of the Bond?

We are able to utilize online databases, public records, and couriers to pull documents at an additional fee. If we are unable to locate surety information, we will file the Statement against a default surety until the name is located.

Zlien, LLC will obtain the relevant data, file your statement an send out notices to each of the interested parties in the contract. You will never need to worry again about not getting paid! Public works collection projects are much more likely to be paid! So take a step and protect your business today.