Lien law
 

Has anyone heard of this???

You know the old saying.... BUYER BEWARE.....

We just had pavers installed by a VERY reputable company, and 2 weeks after the job was done, one of the workers from the job knocked on our door and handed my husband a letter..... stating he was contacting his attorney due to non-payment for his services from the contractor. The Lien Law, in effect, states that the end user (my husband and I) can be liable for payment to the worker if the contractor does not pay him for services performed....
Excuse me, but we already paid over $7,000 for the job, which included all materials and labor, and why should I be responsible to pay the man's salary for the day again???

I contacted the owner of the company, and he told me not to worry, he had everything under control...the worker was fired, and we would not be responsible for any money. I asked for a letter stating I was not liable for any further costs due to him or anyone else. I am putting my faith in him that this is resolved to our satisfaction...

I contacted Joe Gorman, president of the Villages Homeowners Association, and I was told I needed to get a "Waiver of Lien" from the contractor, and it is a good idea to get this for ANY job a homeowner contracts, especially if the company uses sub-contractors!!!

I also contacted Marlene O'Toole, our Florida Legislator, and she did indeed say we had to be aware of the Lien Law, and to protect yourself, always get a waiver of lien from the contractor. She also suggested that I contact a lawyer and show them paperwork I received from the company owner, including my (belated) waiver of lien. She also said I should monitor that the disgrunteled worker does not put a lien on our home in the future, and this could be done, even if he may have been paid....

The pavers came out beyond gorgeous, but I hope they are worth the aggrevation that came along with them.... Just wanted everyone to be aware of this and not to get burned in the future!!!
:swear:

Wow, very interesting. I predict that this will be an interesting thread.

Thanks for the info.

Until your post I have never heard of the lien law. After some 'googling', I now know of the law, but I am racking my brain how this law makes any sense, although when you combine a strong construction lobby and a possibly unscrupulous legislative branch, I should not be surprised.

Maybe others will explain how the contractor is not solely responsible here?

I also found this article:

http://articles.orlandosentinel.com/...bcontractors/2

An excerpt from the article describes how even having a release of lien does not keep you out of court.

"We paid him in three installments with one-third upfront," said Dennis Warren, association president. "He completed the job, and it looked fantastic. We made final payment and he gave us a lien release certifying that the job was complete, he was paid in full, and no liens would be placed on the property."

But Zurkuhlen's lien release – the "safeguard" – was worthless. The association received notice from a paver supplier in Jacksonville that it was placing a $7,000 lien on the condo for unpaid supplies. Zurkuhlen had said nothing about using a supplier.

I have luckily never had this happen to me or anyone I know, but will certainly ask more questions next time.

I hope all works out well for you...

The following link explains the Florida Construction Lien Law.

http://www.myfloridalicense.com/dbpr...a_lien_law.pdf

Are you aware that thye "Lien Law" also applies to your purchase of a new house in the villages????? When we went to settlement I asked for (and received) a notarized statement signed off by all subcontractors who worked on our house/lot, stating that all payments had been satisfied in conjunction with the construction of our new home and no liens now or in the future would be place on the property.

So sorry for your troubles. Just wanted to clarify one thing.

Joe Gorman is President of the Property Owners Association (POA) and not the VHA.

Very good thing to know. Thanks.

Our friends in Rainbow Springs had a solar heater added to their pool and paid in full at completion. Two years later, they did a title search and found that the company had placed a lien against their home, the DAY the contract was signed, and was never released when they were paid in full at completion.
They did not know that a lien had been filed.

If they had died, their heirs would have probably paid the contractor again!

"Lien laws" are pretty common throughout the U.S. It is crucial to get releases from subs and suppliers when purchasing a new home or having major construction done. Title insurance will usually protect you in a home purchase but only if the lien has already been filed, just not served.

No, it's not fair that the end user has to pay twice for one thing, but is it fair that the subcontractor or employee or whomever be stuck with the bill because the end user hired a contractor who took the money but didn't pay his people? It is a case of buyer beware -- you hired the contractor, you're responsible for his actions on your job.

I disagree with the last statement. Why am I responsible to persons I never met, never contracted with, and had no control over?
They should be responsible for protecting themselves since they chose to work that contractor just like I did. These laws are antiquated and should be changed.

If the contractor had a license aproved by the city/county sue them for allowing a crook to operate under their approval.

Since your general said all was paid for, and this was a disgruntled worker, i would...
Get a lien release from the general, which says he paid all subs, etc.
Banks often require this on a new house or major construction.
Should be able to get a blank copy online or from your bank.
I would also read the florida closely that floyd posted.

I didn't say my statement that you are ultimately responsible for hiring the contractor was right or wrong, I simply said that's the way it is. But, I still stand by my question -- should a sub or an employee or a supplier eat the costs of an unethical contractor? I know it's not fair for the homeowner to be held responsible but it is the homeowner and the contractor who benefitted from the work. If the employee, sub, supplier were not paid, they did not benefit at all. I also understand it is not fair for the homeowner to have to pay twice for the same services. It is horrid when a contractor chooses to cheat. The contractor will benefit (at least for awhile) and everyone else dealing with that contractor loses.

BTW -- Getting the contractor to sign a release is meaningless in most states. It is the subs that need to sign off. Not sure what you do for employees -- they're usually covered under labor laws, not contract laws.

Is there a web site where one can find out if there is a lien against a property?

This used to happen all the time in S. Florida with people getting swimming pools built, or additions to their house. This is one law I'd lilke to see changed.

See if the county where you live has court records available online. You can find mechanic liens for real estate filed with the clerk of the county court where your home is located. Here is the link for Lake County Circuit Court records. I believe the code for liens is LN. Put in your name and LN.

http://lakecountyclerk.org/wb_or1/or_sch_1.asp

Here are Marion and Sumter counties public court records. I think liens would be filed with Circuit Court.

http://www.marioncountyclerk.org/public/

https://www2.myfloridacounty.com/ccm/?county=60