Contract Direct with Owner

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If you have a written contract directly with the Owner of the property, then you must timely:

1. Record your Notice of Contract at the appropriate Registry of Deeds (“Registry”) after the signing of the written contract by you and the Owner, before or after the completion date, regardless whether you finished the work in the written contract.

2. Record your Statement of Account at the Registry.

Do Mechanic’s Liens Allow You to Recover Interest and Attorneys’ Fees from the Property Owner?

On January 22, 2004, the SJC said no. Massachusetts mechanic’s liens are now limited to labor and materials and do not include attorneys’ fees or interest. So, how do you more fully protect yourself from the financial impact of deadbeatitis?

Success Story: A contractor ran up a large bill at a material supply house to the tune of almost $70,000.00. The contractor unfortunately could not carry that tune. My client called me.

Upon careful review of the situation, I concluded that filing a Massachusetts mechanic’s lien was my client’s best and most economical bet for getting paid. I immediately obtained a copy of the deed to the property where the contractor had used my client’s materials to renovate an apartment building. Within days, I prepared the Notice of Contract and Statement of Account, two of the three steps necessary to create and enforce a mechanic’s lien. I then promptly sued to perfect the lien (step three).

The timing of the lien was perfect. The owner was selling the renovated apartments as condominiums. After intensive negotiations with the owner and the bank’s counsel, we agreed that my client would receive some of the sales proceeds from each unit in exchange for partial releases. Within forty days, my client received the full amount of its principal and interest.

Absent the Massachusetts mechanic’s lien, the only music my client would have heard was the “deadbeat shuffle.”

Be wary of those on-line companies that charge you little for preparing a mechanic’s lien.  M.G.L.c 254, the mechanic’s lien statute is a very complicated and unforgiving statute. Do you want to trust your receivables to a company which is not licensed to practice law in Massachusetts or which may not know all of the statutory law and court decisions  concerning mechanics’ liens?  Our clients don’t.   Contact our law firm online or call (508) 620-6900 to prepare and enforce a mechanics’ lien to protect your money.

To learn more about how the Massachusetts mechanic’s lien law can help you collect your business debts, Call 508 620-6900, email alanmcohen@collections-law.com or use the form to the right.

Keep Learning About Mechanic’s Liens