New York Requires Service of Liens – Do You Have The Required Proof?

In New York, both public and private liens require just a little more than its mere filing.   According to New York Lien Statutes, they must also be served upon a number of parties, served in a particular and specific fashion, and proof of the service must be filed along with the lien itself (or within 30 days of filing).

You can learn about the mechanics of filing a mechanics lien from this great Avvo.com article:  Filing a Mechanics Lien in New York.

So, maybe you’ve purchased a lien form online or at your local Office Depot, or even downloaded the form on our website for free (its right here).   Filling it out and filing at the county recorder’s office is quite simple, and may not be too much trouble.   But, are you then prepared to properly deliver it to all the required parties?  And to execute an affidavit of delivery?  And to go back to the recorder and timely file your proof of delivery?

The time and detail required for these tasks can be overbearing.

And sometimes, as was indicated in the post about South Carolina’s service procedures, the process can be complicated.

At Express Lien, we file liens across the country day-in and day-out.  In New York, the cost of your lien filing includes delivery to all the required parties, maintaining proof of the delivery, and filing the proof of delivery with the recorder’s office.

You give us the key information, and we do the rest.

Plus, our industry-leading lien management and compliance system provides your company with the following at no charge:

• Manage project data and project contacts in web-based Lien Pilot
• Calculate lien deadlines
• Read the notice and lien requirements for your specific project
• Get lien law alerts when laws change in the states where you work
• Your lien documents and proof of service are stored online in your free account.

California Lien Law Forms, Procedures and Laws Changing on January 1, 2011

The California legislature just passed an act to amend California Code § 3084 and 3146, relating to construction liens, and the new regulatory scheme is set to take effect on January 1, 2011.   While the effective date is still more than a year away, it’s important for potential claimants to understand and prepare for the changes.

You can read the Act amending the mechanics lien laws by clicking here.

Here are some key changes to the California lien laws:

Service of the Lien Upon Owner

Previously, there were no specific provisions requiring service of a recorded lien upon the property owner.   As Porter Law Group reported on a website bulletin, “[p]roperty owners have long complained that until they receive the foreclosure lawsuit they are often entirely unaware that a mechanics lien had even been recorded on their property.”

To address the concern, California Civil Code § 3084 will be amended to provide a specific statement titled “NOTICE OF MECHANICS LIEN.”  This identical statement must be printed in at-least 10-point boldface type on the lien itself….and it must be served upon the property owner contemporaneously with the filing of the lien.

Along with the printing of this text onto the lien, § 3084 (a)(6) also states that a “proof of service affidavit” must be completed and signed, and included with the lien, by the person serving the Notice of Mechanics Lien to the owner.

If the lien is not served, § 3084(d) provides that the “mechanic’s lien [shall be] unenforceable as a matter of law.”

Additional Changes

§3146 adds the requirement of recording a “notice of pendency of proceedings” within 20 days after the filing of the mechanic’s lien foreclosure action.  §3084 also adds that reference to the user of the term “mechanics lien,” when it previously only referred to a “claim of lien.”

Express Lien is Prepared

Express Lien is prepared for the upcoming changes to California’s lien laws.  Starting January 1, 2009, the Claim of Lien document will be updated to include the new Notice of Mechanics Lien language, and service of the property owner will be made as required by the statute.

Express Lien can help your company manage the sending of these notices, record delivery and sending notifications, and record affidavits of service.

Subscribe to our blog to stay tuned to lien law changes across the country.  An alert will be posted to our blog before the change takes effect in 2011.