Subcontractors: You Can File a Lien if the General Contractor Did Not File a Notice of Contract

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Introduction

You are a subcontractor on a big job, and your demands for payment are going nowhere. Naturally, you are going to file a lien on the project. But what if the general contractor fails to file a notice of contract?

The Law

Louisiana Revised Statute 9:4822 provides that if no Notice of Contract has been filed, a contractor has 60 days from completion on the project to file a Louisiana mechanics lien if the contract amount is less than $25,000. The statute further provides that if the contract amount is greater than $25,000, and the Notice of Contract is not filed, the prime contractor has no lien rights.

For a subcontractor, if a Notice of Contract has been filed, he/she has 30 days from the filing of a notice of acceptance to file the Louisiana mechanics lien. If no Notice of Contract has been filed, a subcontractor has 60 days from either the filing of a notice of termination or the substantial completion or abandonment of the work to file the Louisiana mechanics lien claim.

Mechanic’s liens are a great tool for subcontractors to protect their business. Should you have any questions or you would like to discuss this issue in further detail, please do not hesitate to contact us to schedule a free consultation.

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