When unpaid on a construction project, suppliers, subcontractors, laborers, and others have the right to file a mechanics lien claim. This protection is built into the very foundation of America's construction industry, having been first invented by founding fathers Thomas Jefferson and James Madison! Today, nearly everyone in the construction industry knows that they have lien rights...but sometimes may not know exactly how these lien claims work, and why they ultimately result in getting a company paid.
This presentation, viewed or downloaded by over 100,000 construction industry, legal, and financial professionals, breaks down the effects of a mechanics lien claim, and helps you understand how these claims actually work. In other words, what will change with the filing of lien claim that will result in getting you paid. Some of the following effects are explored:
- Impacting the underlying property
- Getting the attention of developers and construction lenders
- Causing contractual breaches and problems for key parties
- Increasing negotiation leverage
- Helping in the event of a bankruptcy filing
Based on a popular zlien article titled: "17 Ways A Mechanics Lien Works To Get You Paid," this presentation explains the consequences of a mechanics lien, what it means to the construction project, and why these instruments can help you get paid.