Legal Help With Mechanics Liens And Stop Payment Notices
Mechanics liens and stop notices can be effective legal tools to ensure payment for a public or private work. However, California legal procedures for filing and perfecting a lien or stop notice can be extremely complex.
Many contractors believe they have assured their protection by filing a mechanics lien or stop notice. However, when it comes time to enforce their rights, these contractors find that a technical issue in the manner in which the lien or stop notice was filed, prevents them from legally enforcing their rights.
To be fully effective, a stop notice on a private work should be bonded.
At the Sherman Oaks law office of The Horowitz Law Firm, APC, we assist contractors, subcontractors, equipment suppliers and material suppliers in enforcing their contractual and constitutional rights by properly addressing statutory and court requirements for mechanics liens and stop notices.
Additionally, we represent property owners in defending their interests when a lien is improperly filed against their property or when a satisfied lien is still recorded against their property. Contact our construction law attorneys to discuss your legal concerns.
The Horowitz Law Firm, APC handles all legal issues pertaining to:
- Mechanics liens involving private works projects
- Stop notices involving private and public works projects
- Bond claims involving federal projects
20-Day Preliminary Notice
With some exceptions, in order for a mechanics lien or stop notice to be enforceable, a preliminary notice must be provided to the proper parties in the proper manner within 20 days of the first date that construction services were provided or construction materials were supplied.
Please contact The Horowitz Law Firm, APC if you have any questions regarding 20-day preliminary notices.
Timing is critical. When a contractor, subcontractor or material supplier fails to provide 20 days’ preliminary notice in the proper manner, or provides notice later than 20 days from the date of first service or supply, the claimant may limit his right to recover.
Our construction law attorneys emphasize the importance of contacting an experienced attorney right away to ensure proper filing, notice and perfection of mechanics liens and stop notices in California. We can help you to ensure your rights are protected.
We assist contractors, subcontractors, equipment renters, material suppliers and other individuals and businesses in adhering to California’s legal requirements regarding mechanics liens and stop notices.
Contractor’s Licenses
With very few exceptions, under California law contractors are not allowed to sue for compensation for construction work unless they were properly licensed at all times during the construction project.
When defending property owners in lien disputes, we determine if a license discrepancies could provide a defense to you. If you have any questions about contractor licensing, we can assist you.
Common Questions About Mechanics’ Liens In California
Mechanics’ liens play a central role in California construction disputes. If you need clarity about mechanics liens, the following addresses common concerns and outlines key legal principles.
Can I file a mechanics lien if I do not have a written contract?
Yes. California does not require a written contract to assert mechanics lien rights. A claimant may record a lien if labor, material or services were actually furnished for a work of improvement and statutory prerequisites were met. This includes the timely service of any required preliminary notice.
A written agreement can strengthen documentation, but its absence does not eliminate lien rights when you can show authorized work was performed and remains unpaid. You should maintain detailed records of labor, deliveries, invoices and communications to support the lien if challenged.
What funds does a stop payment notice reach?
A stop payment notice allows certain claimants to freeze undisbursed construction funds that an owner, construction lender or public entity has not yet released for the project. It is a statutory hold on money designated for the improvement that has not been paid to the direct contractor. Examples include unpaid portions of construction loan proceeds, withheld progress payments or other project‑specific disbursements.
The notice does not attach to funds already disbursed, nor does it reach unrelated assets. It is a targeted remedy designed to secure payment from the remaining project funds before they are released downstream.
How can I remove a fraudulent or invalid mechanics lien from my California property?
Several options exist when a lien is improper, overstated or recorded by someone who did not perform qualifying work. You may demand that the claimant voluntarily release the lien, particularly when clear documentation disproves the claim. If they refuse, you may petition the court for a release order, often called a petition to expunge or release a mechanics lien. This requires showing that the lien is invalid on legal or factual grounds.
In some situations, an owner may also record a lien release bond, which transfers the lien from the property to the bond and clears title while the dispute proceeds. These remedies can help you address wrongful liens and restore the ability to sell, refinance or continue project financing.
Contact an Experienced Construction Law Attorney
If you have questions about mechanics liens, stop notices or surety bonds in California, contact The Horowitz Law Firm, APC and schedule an initial consultation with a skilled lawyer. Act now to ensure your rights are protected.