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Updated about 10 years ago on . Most recent reply

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Mike Oconnell
  • Investor
  • Richmond, VA
22
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88
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Mechanic's Lien Release - need separate one for each subcontractor?

Mike Oconnell
  • Investor
  • Richmond, VA
Posted

I am typing up a Mechanic's Lien Release to be used when completing my rehabs (in Virginia) and making the final payment to my contractor. How do I protect myself from liens from my contractor's subcontractors and suppliers? Do I need to get all of his subs and suppliers to sign the Release also? I sometimes don't know every subcontractor and supplier he's using.

Any input would be much appreciated!

Most Popular Reply

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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
13,508
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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
Replied

In short, yes.  You also need to know the mechanics lien law, including the required noticing.  Here, in order to file a lien as a sub, or a supplier (not in direct contract with the owner) you must file an official NoticeTo Owner, notifying them that you Are working on their job and will have lien rights.  That notice has to be filed prior to 45 days from starting on the job, or prior to the owner makings full payment to the GC, whichever occurs first.

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