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Louisiana Lien Frequently Asked Questions

Louisiana Quick File: Lien | Discharge of Lien | Pre-Lien Notice | Stop Notice | Amendment of Lien | Bond Claim

 

What is a Mechanics’ Lien Claim?

Liens filed on private property or on funds relating to a public project are known as Mechanic’s Liens. When a lien is filed with regard to work performed on privately owned property, it attaches to and encumbers the fee simple ownership of property.

Who can file a Mechanics’ Lien Claim?

Contractors, as well as subcontractors, design professionals, sub-subcontractors and material suppliers can file a lien. If a company supplies material to a material supplier, they are not eligible to file a lien claim.

Can a lien be filed on Public Projects?

No. Claims are limited to bond claims on public projects.

Are pre-notices for a Mechanics’ Lien Claim required?

No.

Can you file a Mechanics’ Lien Claim without a pre-notice?

Pre-notices are required to be served prior to filing a mechanics’ lien claim.

When should a Mechanics’ Lien Claim be filed?

For a contractor in privity with an owner, a Notice of Contract should be filed before work begins. If the Notice of Contract is filed, a contractor has 60 days from the filing of a Notice of Acceptance. If no Notice of Contract has been filed, a contractor has 60 days from completion on the project if the contract amount is less than $25,000. If the contract amount is greater than $25,000, and the Notice of Contract is not filed, the prime contractor has no lien rights.

For a subcontractor, if a Notice of Contract has been filed, he has 30 days from the filing of a notice of acceptance to file the lien. If no Notice of Contract has been filed, a subcontractor has 60 days from either the filing of a notice of termination or the substantial completion or abandonment of the work to file the claim.

How much does it cost to file a Mechanics’ Lien Claim?

LienItNow.com prepares, files and serves Louisiana Mechanics’ Liens for a fee of $250.00. 

How does filing a Mechanics’ Lien Claim help me get my money?

On a private project, the mechanics’ lien places an encumbrance on the property that makes it difficult to resell or re-finance the property without first removing the lien.

What is a Notice of Contract and why should it be filed?

LienItNow.com prepares and serves Louisiana Notices of Contract for a fee of $100.00. To curb second tier and third tier lien rights and protect the owner and contractor, a Notice of Contract must be filed before the work begins.

What is a Stop Notice and why should it be filed?

LienItNow.com prepares and serves Louisiana Stop Notices for a fee of $100.00.  A Stop Notice is a notification that has the ability to enhance the effectiveness of a mechanic’s lien. A Stop Notice, or a notice to withhold funds, is sent to the company that is financing or funding the construction funds for a project. Once that company receives the Stop Notice, that company has notice that it should withhold sufficient money to satisfy the stop notice claim. The purpose of the Stop Notice is to provide the lender, financiers or funders of the construction project notice that there is money owed to a contractor, subcontractor or supplier so that an inquiry can be made as to why that money is not being paid

What is an Amendment to a Mechanics’ Lien Claim?

LienItNow.com prepares, files and serves Louisiana Amendments to Mechanics’ Lien Claims for a fee of $225.00.  Amendments to a mechanics’ lien claim are often needed when something about the claim changes. Common changes to a lien claim are increases or reductions in the amount due to the lienor, or a change to the last date of work.

When should a Discharge of Mechanics’ Lien claim be filed?

LienItNow.com prepares, files and serves Louisiana Discharges of Mechanics’ Lien Claims for a fee of $75.00.  Once the lienor has been paid the amount contained in its lien claim, or has come to an agreement that requires the lien claim to be removed from the property records, a Discharge of Mechanics’ Lien Claim should be filed.

How much does it cost to file an Extension of a Mechanics’ Lien Claim?

LienItNow.com prepares, files and serves extensions of Mechanics’ Lien Claims for a fee of $75.00.  All lien claims expire after a certain period of time, and filing an extension of the mechanics’ lien claim prolongs the expiration date. Not all states allow the filing of extensions of mechanics’ lien claims.

Can I file a Bond Claim on the Project?

LienItNow.com prepares, files and serves Louisiana Bond Claims for a fee of $250.00.  Bond claims can only be filed on a project where the owner, contractor or subcontractor has obtained a payment bond to ensure that every contractor receives payment for the work performed on the Project.  The payment bonds issued by sureties for construction projects have specific timing requirements, but most require claimants to submit claims against the bond within sixty to ninety days from the claimants’ last date of work.  Bond claims are as or more effective than a lien claim because the payment bond acts as a guarantee that payment will be made for work properly completed.

Do I need to file a Pre-Notice to make a claim against a payment bond?

LienItNow.com prepares, files and serves Louisiana Pre-Notices for bond claims for a fee of $50.00.  Depending on the terms of the payment bond, pre-notices may or may not be required.  LienItNow.com recommends that, prior to or immediately after starting work or delivering materials to a project, subcontractors and suppliers, file a pre-notice that it is a potential beneficiary of the construction project’s bond.

Click on the appropriate link below to start the filing process in Louisiana.

Lien | Discharge of Lien | Pre-Lien Notice | Stop Notice | Amendment of Lien | Bond Claim


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