When Can a Contractor File a Lien

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As a contractor, you have the right to file a lien when you have not been paid for the work you have done. A lien is a legal document that gives you the right to claim ownership of a property until you receive payment for the work you have done.

However, it is important to know the rules and regulations around filing a lien. Here are some situations in which a contractor can file a lien:

1. When there is a contract in place: If you have a contract with the property owner that outlines the work you will do and the payment terms, you have every right to file a lien if payment is not made within the agreed-upon time frame.

2. When there is no written contract: Even if there is no written contract, you can still file a lien if you have done work on a property and have not been paid. However, be aware that the laws around filing a lien without a contract can be complex, and it is always a good idea to consult with a lawyer.

3. When the work has been completed: You can only file a lien once the work has been completed and the property owner has had a chance to inspect the work. If there are any issues with the work, you must address them before filing a lien.

4. When the property owner has not paid: If you have completed the work and the property owner has not paid you, you have the right to file a lien. However, be aware that there may be certain legal procedures you need to follow, depending on the state in which you are working.

5. When the payment is late: If the payment deadline has passed and the property owner has not paid, you have the right to file a lien. However, it is important to note that some states have specific deadlines for filing a lien, so be sure to check the laws in your state.

In conclusion, filing a lien as a contractor can be a complex process, but it is a legal right that you have if you have not been paid for the work you have done. Knowing the rules and regulations around filing a lien can help protect your business and ensure you are paid for the work you have completed.

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