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What is a construction lien?

If you are a Florida homeowner who is working with other parties to build, renovate or remodel your home, one of the more distressing pieces of news you could get is that a construction lien has been filed.

A construction lien is a claim against the property that has been built or improved. It essentially entitles a specific party to recover money for services or products provided. Until and unless that happens, the contractor, subcontractor or supplier can keep possession of the property.

In many cases, a lien is filed when a property owner fails to compensate parties in full and in accordance with the terms of a contract. However, there are also situations in which a lien can be filed even if you as a property owner have made the necessary payments. This can happen if you pay a contractor, for example, who then fails to pass along the appropriate portion to other parties like subcontractors or suppliers.

There are many options for how to avoid the latter of these situations, which can be discussed with an attorney. 

Failing to make payments for services rendered can get a person in some serious legal trouble. If you feel that you have complied with payment obligations, or if you have concerns about missed payments or non-payment as a response to incomplete or inaccurate work, discussing your legal options with an attorney can prove to be a wise decision.

You must understand that there are strict laws in place regarding construction liens, notification and exemptions, which must be observed by all parties. Failure to do so could lead to additional disputes, foreclosure or lien discharge.

If you have any questions or concerns about filing a claim of lien or responding to one, it can be vital that you consult an attorney to understand your options and rights. With legal support, you can protect yourself and your financial interests.

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Tannenbaum Scro, P.L.
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