Legal Question in Business Law in California
Business lien
I want to know how to file a lien against an old partner in our bar who refuses to pay now. I have written contracts to my percentage and it's been 2 years since I got any payment.
3 Answers from Attorneys
Re: Business lien
You can't simply file a lien. You need to sue your old partner and prove to the satisfaction of the judge that you are entitled to money. If you win at trial, you can file a judgment lien. In some cases, you can get a prejudgment lien if you can show a definite amount that you might be owed. However, this is not easy to do and you need to consult a local business litigation attorney for further advice.
Re: Business lien
The simple answer is that it can't be done. You have probably heard of mechanics' liens; they are a special kind of beast that are specifically provided for in the California Constitution, but available ONLY for those who provide labor, materials or equipment to a work of improvement on real property, and there are other limitations. Suffice it to say that you can get a judgment lien after you have sued and won, and thre are some pre-judgment remedies that a court can grant after a lawsuit has been filed and the judge is convinced of the need for such extraordinary relief (examples: a writ of attachment or a temporary restraining order), but ordinarily the existence of a debt, like guilt of a crime, has to be proven before a remedy such as a judgment, lien, fine, jail time, etc. can be awarded.
Re: Business lien
You can't get a lien against a person, only against assets. If your old partner has assets, you may be able to lien some of those assets. For example, if you have a contract with your old partner, and he has breached the contract by not paying money, you can hire an attorney to file a lawsuit for breach of contract and get what is called a pre-judgment writ of attachment, which you can get early on in the litigation process. Once you obtain judgment, you can get a lien on more of your old partner's assets.
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