Entries tagged Contractors Have Mechanic’s Lien Notice Requirements Pursuant to CA Civil Code 3084

Contractors Have Mechanic’s Lien Notice Requirements Pursuant to CA Civil Code 3084

Contractors, materialmen, and suppliers should be mindful that California Civil Code Section 3084 requires that a mechanics lien claimant (material supplier, contractor, subcontractor, etc.), at the time of recording a claim of lien, must serve on the property owner or reputed owner a “NOTICE OF MECHANICS LIEN” which informs the owner or reputed owner that its property is subject to a legal action seeking foreclosure and that the action must be filed within 90 days after the date when a mechanics lien is recorded.

The notice must also state to owner or reputed owner that the foreclosure action may affect their ability to borrow against, refinance, or sell the property. Service of the notice shall be made by registered, certified, or first class mail evidenced by a certificate of mailing. Failure to serve the notice shall cause the mechanics lien to be unenforceable. This statute may provide another defense for property owners who are subject to mechanics lien claims where the subcontractor, materialmen or suppliers were unaware of this statutory requirement. (more…)