Legal Question in Construction Law in Florida
Retainage & Lien Law
We have a contract with a contractor on a construction job which includes a ''pay-when-paid'' clause. They have a past due balance and also owe 10% retainage. Can we file a Claim of Lien in this situation? I understand pay-when-paid, but I don't want to lose our lien rights since I know it will be more than 90 days until we are paid.
2 Answers from Attorneys
Re: Retainage & Lien Law
You need to consult a local attorney regarding how to file a lien, but in limiting your question down to the timing. You must file a claim of lien w/in 90 days of last furnishing labor, services or material to the project. For purposes of determining the last day, do not include minor or corrective/warranty work or punchlist work, because these do not extend the time frame.
To the extent that you are still timely and assuming that there is nothing else wrong with your lien then file it immediately, because you can always release it if you need to. Good luck,
Randall Gilbert
Re: Retainage & Lien Law
If in Florida, you want to file your lien within 90 days of last providing labor, materials, service or improvements to the property to protect your rights. You would want to notify the Owner and indicate that you have not been paid by the Contractor. You want your lien to include the owner and general contractor for the job. You should send the owner a copy of your invoice as well.
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