Debt Collection Blog

"Relentless Collection Attorneys"

notice of contract contracts

Should Contractors Use Notice Of Contract Contracts To Help Bad Debt Recovery?

Heck yes!!

The Massachusetts Mechanic’s Lien statute provides special protections for those in the construction industry. Almost every company in the construction industry has, at one time, had debts that have gone bad. When that happens, construction industry companies need the services provided by the Law Offices of Alan M. Cohen LLC to properly [prepare mechanic’s liens and the written contract necessary as a precondition to a mechanic’s lien because mechanic’s liens help collect construction debt.

What Contractors Can do With Notice of Contract Contracts

A notice of contract contract should be project specific and should properly identify the actual property on which the work is going to be performed or where the materials are going to be used. To be able to record a mechanic’s lien in Massachusetts you must have a written contract. Although the law as to what constitutes a written contract has been liberalized, it is still much better to have one document which serves as the basis of the mechanic’s lien. A credit application is not sufficient to constitute a written contract for mechanic’s lien purposes.

That is why the Law Offices of Alan M. Cohen LLC advise our clients to use our notice of contract contract.  Not only is it specific as to the project and site where you will be providing materials or labor, it also sets out your terms of doing business. The notice of contract contract should not be used as a substitute for a credit application and personal guaranty, but rather a supplement to those documents.

Also, the beauty of the notice of contract contract is that using this form takes the discretion out of a judge’s hands. Faced with several writings which arguably when read together constitute a legally enforceable written contract, one judge may find that they constitute a written contract. Another judge may find some aspect of the independent writings, whether electronic or otherwise, deficient. In the balance lies the effectiveness of your mechanic’s lien.

It is our philosophy that any time that you can take away an issue from the fact finder’s discretion, that you should make the effort to do that. By using a single notice of contract contract, you have set forth all of the terms necessary to create an enforceable written contract not only for construction litigation purposes, but also for the purpose of perfecting and enforcing a Massachusetts Mechanic’s lien.

At the Law Offices of Alan M. Cohen LLC, we prepare construction contracts such as notice of contract contracts not only with the project in mind. We draft every contract thinking about how a court will interpret that contract and work to make sure the contracts our client’s in the construction industry sign hold up at trial. If you are in the construction industry and want to take a constructive step to controlling your monies by preparing notice of contract contracts or other construction contracts, call the experienced construction attorneys with over thirty-five years collecting bad debts and debt recovery experience at the Law Offices of Alan M. Cohen LLC. Call us at 508 620-6900 or email info@collections-law.com.

Testimonials
client success stories
Debt Collection Blog