Legal Question in Construction Law in California

File a uncontested Mechanic lien on property that's headed for foreclosure( not there yet ) but likely,

also sent copiesof lien to lenders. owner of property are willing to assist in helping me secure outstanding debit. What's my next stept?


Asked on 7/29/10, 12:01 pm

2 Answers from Attorneys

I don't understand your question. Mechanics liens are not contested or uncontested until you sue to foreclose on them. I don't understand what you mean "owner of property are willing to help you secure" what "outstanding debt." Mechanics liens are very tricky and it is very easy to lose the lien right if you do not do everything exactly right. I don't have enough information from your question to even start guessing what you need to do next. If you would like to arrange for a no obligation consultation, feel free to contact me and we can sit down and go over everything. Otherwise, I suggest you contact another attorney. This is not something to do on your own.

Read more
Answered on 8/03/10, 12:34 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

My guess is that the homeowners for whom you did the work realize that they are going to lose their property to foreclosure anyway, and are cooperating with you because they would rather you get paid than see all the money go to the mortgage man. This could be because they like you, or because you have a right to be paid that is independent of your lien, whereas the mortgage man probably isn't entitled to recover a deficiency.

In any case, your mechanic's lien is probably junior to the lien being foreclosed and possibly junior to one or more other liens, such as a lien for taxes or a second mortgage.

It's easy to say you need promptly and timely to file suit to enforce your lien, but if the are sitting in second or third position and the property is "upside down" as many are, the lien may be valueless - - and/or your claim may be enforceable as an unsecured debt from the owners' other assets.

Read more
Answered on 8/03/10, 3:54 pm


Related Questions & Answers

More Construction Law questions and answers in California