Introduction
A mechanic’s lien is a legal tool that contractors, subcontractors, suppliers, and other construction professionals can use to try to get paid for their work or materials provided on a property. In Colorado, the laws governing mechanic’s liens are designed to protect the rights of those who contribute to a construction project. But it is also common for homeowners or other general contractors not to pay because they are dissatisfied with the work or for other reasons. This page provides an overview of how mechanic’s liens work in Colorado, the process for filing a lien, and important considerations for both property owners and construction professionals.
What is a Mechanic’s Lien?
A mechanic’s lien is a legal claim against a property that has been remodeled or improved. It ensures that anyone who has supplied labor or materials for the improvement of the property gets paid. If a property owner fails to pay for the work or materials, the claimant can seek payment through the sale of the property.
Who Can File a Mechanic’s Lien?
In Colorado, a variety of parties involved in the improvement of a property can file a mechanic’s lien, including:
- General contractors
- Subcontractors
- Material suppliers
- Equipment lessors
- Architects, engineers, and other design professionals
Filing a Mechanic’s Lien in Colorado
To file a mechanic’s lien in Colorado, the following steps must be followed:
Notice of Intent to Lien:
Before filing a lien, the claimant must provide a Notice of Intent to Lien to the property owner at least 10 days prior to filing the lien.
Filing the Lien Statement:
The lien statement must be filed with the county clerk and recorder in the county where the property is located. The filing must occur within four months of the last day of work or supply of materials.
Content of the Lien Statement:
The lien statement should include:
- The name and address of the claimant
- The name of the property owner
- A description of the property
- A statement of the amount due
- The date when the work or materials were last provided
Service of Lien Statement:
The lien statement must be served to the property owner within 30 days of filing.
Enforcing a Mechanic’s Lien
Generally, to enforce a mechanic’s lien, the claimant must file a lawsuit within six months of the last day labor or materials were supplied. But there are times where this may be extended. If the claimant wins the lawsuit, the court may order the sale of the property to satisfy the debt.
Protecting Yourself from Mechanic’s Liens
For Property Owners:
Ensure that all contractors and subcontractors are paid on time. Request lien waivers from contractors and suppliers as they are paid. Consider using joint checks to pay both the contractor and subcontractor simultaneously.
Consult with an attorney if a mechanic’s lien has been filed against your property. In some cases, the fact that a lien exists may not require immediate action or any action at all. But in other cases, time is of the essence.
For Construction Professionals:
Keep detailed records of all work performed and materials supplied.
Provide timely notices and adhere to filing deadlines.
Consult with an attorney to ensure compliance with all legal requirements.
Conclusion
Mechanic’s liens are a powerful tool to ensure payment for construction work and materials. Understanding the process and legal requirements in Colorado can help both property owners and construction professionals protect their interests. If you have any questions about mechanic’s liens or need assistance with filing a lien, it is advisable to consult with a legal professional experienced in Colorado construction law.
For more information or to get professional legal assistance, please contact Sweeney Construction Law at 303-634-2274.
Disclaimer
The information provided on this page is for informational purposes only and does not constitute legal advice. Please consult with a qualified attorney for advice regarding your specific situation.
