Legal Question in Construction Law in California
Lein on House
I paid my contractor for the remodeling job, but later found out that he did not pay the materials company (declared bankruptcy). he signed the contract while having filed chapter 11. Now the materials company has a lein on my house.
What can I do, I have already paid for the job and materials to the contractor?
2 Answers from Attorneys
Re: Lein on House
Did the material supplier serve a proper "20 day notice"? This should have been sent by certified mail and is effective for materail delivered starting 20 days prior to the notice being sent. If the notice was done properly, you should try to negotiate a resolution
Re: Lein on House
You'll probably end up paying the sub. That is the risk you take when not demanding and getting releases from all subs. Confirm the lien is timely and valid [it probably is], and if it is, try to negotiate a discount with them. You could make a claim in the BK court, put don't hold your breath until paid.