Legal Question in Construction Law in California
Supplier Lien
I used a supplier that filed a pre lien on a job for a General Contractor's (GC)house. The owner did not pay me the final $ 8,000, which is what I owed the supplier.
The G.C. went there and to my shop cussing me out to people because I was late on his job, due to a job before his being delayed and not paying me timely. I had to lay off 3 of my 5 employees.
Everyone else told the GC to get lost. This supplier said they would not do business with me, again, because this GC was a long-time client, and they didn't want to make him mad.
I told the supplier if they wanted their money, they had better file their mechanic's lien, because I was not going to pay them.
That was in September/October 2003, and they have sent me bills all along, but they just filed a lawsuit against me for $ 11,000 (w/charges).
Do I have any defense?
2 Answers from Attorneys
Re: Supplier Lien
as questions go on a scale of 1 - 10 yours is a 3 on facts which might help support some defense. the problem is you really, i mean really need a good lawyer to present your defense, and i might say the best defense is a good offense --- so get a good, real good real estate, constructon litigation attorney to repersent you and tell heim/her a lot more in facts to help support a good defense and do not do it yourself or you will, on a sscale of 1 - 10, lose --- I have been practicing law in the San Francisco Bay area for approximately 35 years and expert in the area in the category in which your question is placed. I feel I can help you in this matter and if you wish to consult with me please contact me at 925-945- 6000.
Re: Supplier Lien
You've got a defense, of sorts. You should cross complain against the owner. The supplier has a choice of either suing you for breach of contract or foreclosing on the lien against the owner or both. It's almost certain, though, that his time for foreclosing on the lien has expired. Trying to use a defense of "the owner didn't pay me" won't work. You had a contract with the supplier and they have the right of payment from you.
I suppose it's possible that there are some traditional contract defenses possible, but you didn't give any facts to suggest any.
Be careful about liens, though. If the supplier had decided to sue the homeowner by foreclosing on the lien, there is a law that requires you to defend the homeowner and pay for his attorney.
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