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"Lien Processing" Posts

Relying Upon A General Contractor’s Lien

Often, subcontractors assume that if a general contractor liens a project that the subcontractor is protected by the general contractor’s lien.  However, recent decisions from courts in Utah and in the Utah Federal District do not support this view.  In a recent case I was involved with, a general contractor had included the total amount the contractor owed to all of his subs and suppliers for a particular construction project.  Even though the lien encompassed these values, the court reduced the amount of the lien to reflect the amount of money actually owed to the general contractor exclusive of any money owed to subcontractors and suppliers, and also allowed the general contractors lien to include any amounts which the general contractor had paid out to subs but had not received from the owner and also the amounts which the general contractor owed to any subcontractors who had filed lawsuits against the general contractor.  To the extent that the subcontractors that had not filed lawsuits who had not filed their own liens and started their own foreclosure actions, then the view of the Court was that those amounts were not lienable.
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Utah Mechanic's Lien Law

Utah’s Mechanic’s Lien law has been now changed to Utah Preconstruction and Construction Lien law.  LienCounsel’s owner and president, Dana T. Farmer, is the Utah Mechanics Lien lawyer and is very familiar with Utah Lien Law and Utah Bond Law.  He is also well versed in Utah Construction Bond Law and has litigated numerous Utah bond law cases and Utah lien law cases.  Utah lien law is frequently changing and the legislature is regularly changing requirements for Utah preliens, Utah lien rights, Utah lien deadlines, Utah Preliminary Notice and other Utah construction notice requirements.  While there are many construction lawyers in the state of Utah, Smith Knowles, P.C. has several of Utah’s best construction lawyers and LienCounsel’s owner, Dana T. Farmer is an experienced construction lawyer and is a trusted source for information of how to file a mechanic’s lien in Utah, how to file a construction liens in Utah, how to file Utah bond claims, and other Utah construction defect cases and Utah construction delay cases.

Release & Refiling of the Preliminary Notice

If you file a Preliminary Notice before the lender records the mortgage for the construction loan the lender can buy its way ahead of your lien by paying you for work you did before the construction loan was recorded.  Once you are paid, you must release and re-file your Preliminary Notice.  You must re-file Preliminary Notice no later than twenty (20) after the construction loan was recorded. 
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Utah Retention Laws

1. Utah retention rules only apply to non-residential projects. 
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Preliminary Notices Required on All Projects

We recently became aware of a misconception that some subcontractors and suppliers have about the requirement to file a Preliminary Notice in the State Construction Registry.  Some people beleive that if there is no Notice of Commencement or Preliminary Notice filed in the State Construction Registry, then they have no obligation to file a Preliminary Notice.  This is incorrect.  For privately owned projects, where construction commences after August 1, 2011, all general contractors, subcontractors, and suppliers have an obligation to file a Preliminary Notice within 20 days of their first date of work.  The only time a Preliminary Notice is conditional, is for public projects where the General Contractor is still required to file a Notice of Commencement.  If the general does not file a Notice of Commencement, then no Preliminary Notice is required.  But in order to have lien rights, Preliminary Notices are required on ALL projects. 

Utah Progress Lien Waivers

What is a Progress Waiver?
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FREE LIVE Webinars

Don't miss out on LienCounsel's weekly webinars.  There are various topics being taught, including:
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What is a Preconstruction Service Lien

The Preconstruction Service Lien is the document recorded with the county recorder to give notice to the property owner that a lien has been filed against their property.  A Preconstruction Service Lien is a Lien for preconstruction services, which are actual services performed before construction begins. 
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Notice of Intent to Lien

A Notice of Intent to Lien is a notice sent to a property owner advising that the person sending the notice intends to file a lien on the owner's property. 
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What is a Notice of Retention/Utah Retainage

What is a Notice of Retention and when should it be filed?
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Gain It...Claim It...Tame It...

In Utah there is a three step process to lien and bond rights: Gaining the right, making the claim, then enforcing the rights through a lawsuit.  At LienCounsel, we describe this three step process as: Gain it - Claim it - Tame it.
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