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Mechanics Lien
A mechanics’ lien is a hold on real property in order to benefit someone whose work improves the property. It also has many names such as materialman’s lien, supplier’ lien, laborer’s lien, and construction lien. Generally, the word “mechanic” refers to people with skilled labor, not limited to the definition that a machine needs to be involved in the labor. Thus, when the phrase “mechanics line” was coined, it is meant to cover any person with skilled labor such as a carpenter, plumber, and such. The term lien has a French root that means link.
The technical term for establishing a mechanics lien is called “perfecting” a lien. In a mechanics’ lien that has been perfected, the owner’s title to the property suffers an interference that needs to be worked out before the owner can receive back a clear title. In general, a lien would only be perfected when there is a payment dispute. Although in some states, such as California, the law requires that pre-lien notices be made at the beginning of a project. Since real property ownership is governed under state law, the process of establishing or perfecting a mechanics’ lien is under state law and varies from state to state. Nevertheless, most states share basic steps of perfecting a lien. First the owner and the other party, person, or entity involved in the construction project must be notified. Then, the document requesting the lien must be drafted and filed with the government office that records deeds or titles.
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