Legal Question in Real Estate Law in California

Re: Liens on job not finished

It depends. If progress payments have not been made pursuant to the contract, and contracor, subcontractors, or materialmen have not been paid, yes. There is a statutory procedure for filing such a lien and, if not paid, the contractor can "foreclose" on the lien after bringing a lawsuit to do so.

Re: Liens on job not finished

Sounds as though a subcontractor is giving you the so-called "preliminary 20-day notice" that is a prerequisite to filing a lien for potential lienholders who are not in direct contract with the owner (as is usually the case with subs).

After serving you with the notice, the sub may then record it with the county recorder. This can be done before the work is finished, and before any payment is due.

The preliminary notice may then be followed by a "claim of lien" and that in turn by suit to enforce the lien, but these further steps happen, if at all, after the work is done and money becomes due and isn't paid.

Mechanics' lien law is rather complex, and many owners find it hard to understand and not very fair to owners. However, the system is provided for explicitly in the California Constitution, and the details are spelled out in the Civil Code at sections 3083-3154.