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Who can request a mechanic’s lien after a construction project?

On Behalf of | Jun 25, 2024 | Construction Law |

The construction industry is generally accessible to people from all backgrounds. Some professionals work as independent contractors, instead of as employees. Whether someone installs tile, finishes drywall or works with electrical wiring, construction work can offer competitive wages.

However, some people have a harder time receiving what they deserve for completing construction work or contributing to projects than others. Some construction companies hire subcontractors and then never pay them in full. Some clients claim to take issue with a minor element of a finished project to justify not paying the remaining balance due to a construction company.

Under Alabama law, some businesses and professionals can request mechanic’s liens in response to a failure to pay them. Who can request a mechanic’s lien in Alabama?

Numerous parties can seek liens in court

Homeowners and those who own commercial properties often invest heavily in the real estate they own. They want to protect and improve their property. Repairing damage, updating systems, expanding facilities and remodeling are all tasks that may require construction professionals and an assortment of high-cost materials.

According to Alabama law, any party that performs work, provides labor or delivers materials for construction projects can potentially request a lien against the property where they performed the work. Even subcontractors who do not have a direct arrangement with the property owner but rather the construction company the owner hired could request a lien for non-payment.

How do mechanics liens work?

A mechanic’s lien provides a professional or business with leverage. The property where they performed the work becomes the collateral for the pay that they deserve. As is the case with many forms of civil litigation, there is a statute of limitations that applies.

Generally, interested parties must pursue a mechanic’s lien within four months or 120 days from the last date that they did work on a project or delivered materials for it. They also have to seek to enforce the lien within six months after the debt is due.

Real property owners are often eager to pay off liens to keep the title for a property clear. If they fail to do so, it is possible to enforce the lien. Learning more about Alabama’s construction laws can be beneficial for both construction professionals and those hiring companies to do work at a property. Mechanic’s liens help to protect professionals, and state limitations on liens help to protect property owners.