In order to properly utilize the mechanic’s lien, the contractor must be aware of the very specific requirements prescribed by statute, including but not limited to notice and filing deadlines that are both short and unforgiving.  The required notice and filing deadlines differ depending upon the type of construction project, depending primarily whether the project is commercial or residential.

As a general rule, a mechanic’s lien is perfected by filing a Sworn Statement and Notice of Intention to File Mechanic’s Lien in duplicate in the office of the County Recorder in the county where the real estate is located. On commercial projects, this notice must be filed no later than the day that is ninety (90) days after the last day work is performed or materials are provided for the project.  On some residential construction projects, the time period for filing the Sworn Statement is shortened to sixty (60) days.  After the Sworn Statement is filed, the County Recorder is responsible for mailing a copy of the Sworn Statement to the property owner at the address set forth in this Sworn Statement.

On commercial projects, there are no other filing or notice requirements.  However, if the contractor is doing work on a project involving an owner-occupied dwelling, and the contractor is not dealing directly with the owner, the contractor must furnish a written Pre-Lien Notice to the property owner in order to preserve its mechanic’s lien rights.  If the work is for the remodeling of the owner-occupied dwelling, the Pre-Lien Notice must be furnished to the property owner within thirty (30) days after the day work is first performed.  If the work is for new construction of an owner-occupied dwelling, the Pre-Lien Notice must be furnished to the property owner and recorded in the office of the County Recorder within sixty (60) days after the day of first work.  Note that the Pre-Lien Notice for remodeling of an owner-occupied dwelling is not required to be recorded with the County Recorder.  These Pre-Lien Notices, if required, are conditions precedent to the mechanic’s lien rights of the contractor, and failure to furnish and record (if necessary) the Pre-Lien Notice within the prescribed time frame voids any further attempts to perfect the lien. 

This blog post is limited in its focus to Indiana law.  Other states have similar but distinctly different statutory requirements for the attachment and perfection of Mechanic’s Liens, and the appropriate State’s statutes must be consulted. 

If you would like assistance with regard to the filing of Mechanic’s Liens, please contact a member of the firm’s Construction Law Team.

Author: Christopher C. Wischer (bio)
Phone: 812.452.3595
email: cwischer@bamberger.com

Commercial construction projects are all different.  The personnel, site conditions, and specifications are different each time, and using an arbitrator familiar with industry terms and project complexities can help.  Moreover, parties generally need to avoid project delay.  The average length of today’s lawsuit is well over one year, whereas construction arbitrations can be conducted on an expedited basis.

The American Arbitration Association (AAA) offers specific Construction Industry Arbitration Rules.  Other programs are available for parties to use as well.

You can only arbitrate if both parties to the dispute agree upon arbitration.  Please call one of the attorneys at Bamberger, Foreman, Oswald & Hahn, LLP if you need help in deciding whether arbitration is right for you, and how you can document an agreement to arbitrate in the event of a dispute.