Place Construction Liens in Fort Lauderdale, FL, with Confidence
You work hard to deliver quality results to your clients. If you are having trouble securing payment, it will only harm your business. Ensure the integrity of your operations with the help of The Rashtanov Law Firm, P.L. We are your legal assistants for construction liens in Fort Lauderdale, FL. With our skill and knowledge, you will find it easier to steer your legal situation towards the best possible outcome.
Contractors in the construction industry are amongst the hardest-working people in our country. Through their skill, experience, and knowledge, they turn people’s dreams into a reality. As a member of this respectable industry, you have the right to be paid for the work that you do. By working with our law firm, you will gain the resources, insight, and tools to secure your livelihood.
How a Construction Lien Works
A construction lien is a legal option that contractors may utilize in order to secure fair and just payment from the people they serve. It is natural to want to be compensated for the services you provide to the community. Sometimes, things do not go as smoothly as planned, and clients may refuse to pay you. By placing a construction lien, you can assert your claim for compensation. It is a means to get the pay you deserve for the work you have promised to your client.
Florida statutes regulate the use of construction liens heavily. There are timelines to consider, and not all situations regarding liens will be identical. Worse: if your lien is denied, then you may be liable to pay costly fees. In these situations, it is important to seek the counsel of an experienced attorney.
The Law Office You Can Trust
Don’t let a misplaced lien ruin everything you have worked so hard to build. At our law office, you may count on us to help you through the construction lien process. Our attorney will assist you in how to exercise this option, which may include the drafting of contracts, legal agreements, and relevant paperwork.
State laws may make placing a lien appear complicated, but those laws are also meant to protect you and your business. Learn about your options and place a construction lien with confidence. Request a consultation at our law firm today and learn how we can help.
About Construction Liens
THE INFORMATION CONTAINED HEREIN IS PROVIDED FOR INFORMATIONAL PURPOSE ONLY. IT IS NOT INTENDED AND IS NOT TO BE INTERPRETED OR USED AS LEGAL ADVICE. EACH LEGAL PROBLEM IS UNIQUE; THEREFORE, CASE SPECIFIC LEGAL ANALYSIS BY A LICENSED ATTORNEY IS RECOMMENDED.
Construction is a complicated process and construction issues arise on a frequent basis. One of the most frequently discussed topics is the Florida construction lien.
A construction lien in Fort Lauderdale, FL, is a double-edged sword. As a general rule, Florida law provides that a person or entity (“lienor”) that provides construction services or materials has the right to record a claim of lien against the improved property. However, to record lien one has to for the most part strictly comply with Chapter 713 of the Florida Statutes. Failure to strictly comply may result in loss of lien rights or, worse, financial liability for the wrongful filing of a lien.
Making things even tougher for a potential lienor, the statute has fairly complicated and stringent time requirements depending on where in the construction chain the construction service provider is located, i.e. contractor, subcontractor, material-man, laborer, etc. For example, a contractor has 90 days from completion of work to record a claim of lien. So does a subcontractor, except that a subcontractor must have provided notice to the owner within 45 days of starting to work.
Furthermore, if custom materials are provided, the 45-day clock starts running the moment the subcontractor commences manufacturing, not upon delivery. Because of the complexity and the strict compliance requirement, placing a construction lien is not to be taken lightly.
An improperly placed lien may deprive the lienor of its lien rights and, further, may result in financial liability for lienor even in cases where a valid claim in contract or equity exists. Let’s consider the following example:
Carl, a contractor, builds a foundation for a house owned by Oliver. Oliver loves the work, signs a document accepting the foundation, but promises to pay the outstanding balance of $15,000, plus interest, from the next bank draw: when the roof is placed. Carl wants to keep good relations and agrees. Four months pass, roof gets installed, Oliver suffers sudden “amnesia” and denies any promises to Carl. Carl is upset and overcome with emotion records a lien, thinking that it won’t matter that it is past 90 days since he has a valid claim. Shortly after that, Carl is served with a lawsuit claiming, among others, fraudulent lien, shoddy work, and slander of title. Carl lawyers up and countersues using the documents of acceptance signed by Oliver. Judge rules that Carl was owed the $15,000 plus interest and that the shoddy work claim was bogus but, unfortunately, Carl’s lien was also improper and, as such, Carl owes Oliver $50,000 in attorney’s fees for defeating Carl’s lien. The balance is approximately $85,000 against Carl when his attorney’s fees are included in the calculation.
The following provides a basic overview of the Florida construction lien law:
A lienor has to have an agreement as a basis for filing a claim of lien. The agreement may be written or oral. If no express agreement exists, the courts may find that an agreement was implied based on the circumstances and the actions of the parties involved. However, seeking an implied agreement is risky because if it is ruled that no agreement exist an otherwise properly recorded lien may be invalidated.
Construction liens attach to the privately owned real property and some property interests. Residences, condominiums, offices, land, co-ops are all lienable. Also, lienable is a leasehold interest in the property. However, real property owned by the government is not lienable: county/city buildings, county hospitals, courthouse, post office, airports, etc. But a private entity’s leasehold in a governmental entity may be liened.
Contact us to learn more about our legal services involving construction liens. We proudly serve clients throughout Fort Lauderdale, FL, and the surrounding area.