Legal Question in Construction Law in California

CA 20 day preliminary lien notice

Hi I am a lic. Contractor. I built a deck for a homeowner. I gave my lumber company the info to set up the job and the first invoice clearly states the owner�s job information & address, the subsequent invoices each have the owner�s name. 2 weeks into the job I had trouble collecting, I called the lumber company to verify that they had sent notice, they had not. At this point we were barely inside 20 days. I asked the gal why notice had not gone out, she informed me that the invoices had accidentally gone to my open account. I let her know that I needed her to apply all their invoices to a job account the way it was originally set up, and so they could send 20 day notice. I called back a couple days later to follow up and it still had not been done. At this point the largest invoice fell off and there were now only smaller invoices within the 20 day period, we decided it was still a good idea to send the 20 day notice on the smaller invoices, she did not do this either, and the invoices were left on the open account. The homeowner did not pay the lumber bill and now the lumber company is threatening to sue me rather than go after the client whom I properly set up a job acct for the T&M job (cost plus). What are my rights? need hlp


Asked on 2/25/08, 6:17 pm

1 Answer from Attorneys

EZRA FRUCHTER LAW OFFICES OF E. LEONARD FRUCHTER

Re: CA 20 day preliminary lien notice

The lumber company is not under a duty to go the lien route, although it is stupid not to protect its rights. I know of no rule by which you can avoid the liability by passing it on to the property owner; at best it is a liability shared between you and the owner. Your best procedure is to record your own lien for the amount owed to you, including the lumber bill. then, if the lumber company sues you, you can combine the action.

Best of luck;

E. Leonard Fruchter

Read more
Answered on 2/25/08, 7:33 pm


Related Questions & Answers

More Construction Law questions and answers in California