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Answers to common questions about construction notices, public projects and bond claims, lien rights, and mechanic’s liens. RCS is not a law firm and does not provide legal advice.

Construction Notices (Preliens)

What is a construction notice, preliminary notice, prelien, or notice to owner?

In most states a preliminary notice (also known as a prelien, construction notice, or notice to owner) is a letter that is sent to interested parties on the project. The notice typically contains information about the project, your role, and what services or materials you’re providing. The information, wording, and sometimes the form of the document can be dictated by state statute. Oftentimes these notices help secure lien rights and give you leverage in the event of non-payment. Each state has differing time frames and procedures that need to be followed when sending a preliminary notice, construction notice, or notice to owner.

Who is required to send a notice?

That depends on the state and your role on the project—and on who wants to get paid. Different states have different requirements. It’s always good business practice to send a notice. A proactive approach when money is involved puts you a step ahead.

How much time do I have to file a notice?

Mechanic’s lien law is governed by state—each state has its own statutes, time frames, and procedures. Click here for state-by-state guides and time frames.

What if I forget to file a notice?

In many states, you may not be completely out of luck. Even if you don’t send your notice on time, there may still be options available. Contact RCS or your construction attorney promptly so you can evaluate what remains available under that state’s rules.

Why is the job site address so important to have on my request?

In most cases, the notice helps establish rights related to the property. You need to know which property is involved. State statute also usually requires an address in order to lien a property.

Do I have to be licensed in order to secure my lien rights?

Check with your state—many states require a license to have lien rights. Most of the time, if you’re required to be licensed to provide the type of service you’re providing, you’d also need to be licensed to record a mechanic’s lien.

Public Work Jobs / Federal Miller / Little Miller

What is a "Little Miller Notice"?

A Little Miller notice or letter is used for public works projects where the property is owned by the state or another local governing authority.

What is a "Federal Miller Notice"?

A federal Miller notice or letter is used for public works projects where the property is owned by the federal government.

What is a bond claim?

Public works projects generally cannot be liened. To protect subs and material suppliers there is often a payment bond. If payment isn’t forthcoming, that bond can provide a means to secure payment.

What is the time frame to file a bond claim?

This varies from state to state and can also depend on the language in the payment bond. For Arizona it is commonly 90 days after the last day you significantly supplied labor and/or materials. Other states have different time frames. Click here for state-by-state information and time frames.

Is a construction notice required on a public works job?

Some states require a notice on public projects and some do not. In Arizona, a subcontractor or materials supplier not in direct contract with the owner generally must file a preliminary notice in order to retain their right to claim on the bond. Check your project state’s rules.

What are my rights?

What are my rights when I'm working on an owner-occupied structure?

Rules for owner-occupied or residential property vary widely by state. For example, Arizona has specific written-contract requirements for certain owner-occupant projects, and Texas has particularly strict residential property laws. Other states differ as well. Click here for state-by-state information and time frames.

When do I need to increase the dollar amount on my preliminary notice?

Some states require an amended notice when the project amount increases beyond a statutory threshold (Arizona is a common example). Other states have different amendment rules. Payments do not always change the analysis. Contact us or your attorney to learn when you need to send an amendment for your project state.

I received a notice on a residential project. What should I do?

A preliminary / construction notice is typically not a lien. It is often a statutory notification used to establish a contractor’s or supplier’s rights if nonpayment occurs later. See our residential notice call-out above, and if you need to acknowledge, correct, or ask a question about a notice you received, use our Received a Notice workflow. You can also learn more about lien waivers.

More Things to Think About

I have recorded my lien but I am still not getting paid, now what?

The next step is typically to contact an attorney to perfect the lien by starting foreclosure and/or litigation proceedings. Most attorneys will ask for at least several weeks before your lien expires to begin preparing. This is a good opportunity to loop your construction attorney in on the project so you can choose the best path to getting paid.

We are happy to refer you to construction counsel we work with. Contact us at (602.279.7990) and one of our team members will be glad to help.

What is the difference between a lien and a bond claim? How do I know which one I need to use?

On commercial or residential private projects, claimants often have mechanic’s lien rights. Public work projects generally cannot be liened because the property is owned by a government entity (or, in some cases, tribal land). On public projects, the general contractor is typically required to obtain a payment and performance bond. The bond’s purpose is to cover unpaid labor or materials.

A practical rule of thumb: if you can buy it, you can often lien it. Commercial office buildings can be purchased; freeways generally cannot. Public libraries cannot be purchased, while apartment buildings can. There are exceptions, but the rule helps keep private vs. public projects straight.

Does everyone have lien rights if they send out a preliminary notice?

It depends on each state’s lien laws, who you are on the project, and the job itself. RCS does not practice law and cannot give legal advice. You may want to contact a construction attorney for legal advice. We are happy to help you find counsel if you would like.

Mechanic's Liens

What is a mechanics / materialmens lien?

A mechanics’ / materialmen’s lien is a legal claim asserting you haven’t been paid for improving (or helping improve) real property—typically by providing labor, materials, equipment, or related professional services.

How do I know if I have lien rights – when should I contact my lien company or attorney?

Each state varies. Contact an RCS team member with questions about time frames for your project state, or contact your construction attorney.

Do I have to be licensed in order to secure my lien rights?

Check with your state—many states require a license to have lien rights. Most of the time, if you’re required to be licensed to provide the type of service you’re providing, you’d also need to be licensed to record a mechanic’s lien. Each state is different.

How much time do I have to file a lien on a project?

Time frames to record a mechanic’s lien vary by state—from roughly 60 days after the project in some places up to many months in others. Understanding the time frames for the state you’re working in is critical. Only you know when you haven’t been paid and when you want to start the lien process. Click here for state-by-state information and time frames.

What is a Notice of Completion?

In several states, such as California and Arizona, a Notice of Completion is a recorded document that may change the time frame in which you can record your lien. A property owner or general contractor may choose to record this document. There are very specific requirements and time frames to follow. If you receive a recorded Notice of Completion, contact us or your attorney to discuss.

How long are liens effective?

The time frame in which a mechanic’s lien remains valid varies from state to state. Some states allow a lien to be “renewed,” although not all states have that option. Typically, legal action or foreclosure proceedings are necessary before the lien “expires.” A mechanic’s lien generally will not remain on the property in perpetuity.

Still have questions?

Why Hire a Preliminary Lien Service ?

About RCS — partnership approach, nationwide notices & liens, and why contractors choose us.

Time is of the essence. If a company does not have the time to thoroughly research Construction Trust Deeds and verification for the project, it can be time consuming and costly. Let us do the research, perfect and protect your Mechanic’s Lien rights for you.

At RCS our primary business is filling preliminary notices. We have access to resources needed to quickly verify the information you provide. After researching the information on the Clients request and we find that a correction needs to be made, i.e. a typo in the address number or misspelling of an owner name, etc., we contact the client, report the findings and make the correction. For reasons stated above, it would be more cost-effective to hire RCS to do the work for you.

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