Legal Question in Credit and Debt Law in New Jersey
I hired a handyman my friend knew to install a deck in my backyard. I paid him by check in advance (I have the cancelled check) and the money was to pay for both labor and materials. I have a very simple signed contract with him that said he would build the deck for the amount of money we agreed on.
The deck materials were delivered to my house by the Company and no one signed for them. The order was in the handyman's name. The company called me and asked me if the materials were for my house. I told them yes.
The deck was installed a couple of months ago, and I thought everything was fine.
The handyman contacted me today and told me that he never paid the Company for the materials with the money I gave him and that they may put a lien on my house!
First of all, can they do this? I am not the one that owes them money! I paid the handyman several thousand dollars to do this work and buy the materials. He said his bank account was overdrawn and that when he wrote a check to the Company it bounced.
What do I need to do here? I do NOT want a lien put on my house!
Please help! What can I do to protect myself here? This handyman is broke and I know I will not be able to get compensation from him.
2 Answers from Attorneys
If you can show that you have paid the contractor in full before you received any notice from the material supplier, a lien can be lifted even if one is filed. The current NJ construction lien law requires that the lienor file for arbitration before any lien can attach. So you should have ample notice. If you hear anything, you can call me. /p/ See also: http://info.corbettlaw.net/lawguru.htm
Can they lien you? Yes, BUT they have to file the procedure for a residential property. That means a Notice of Unpaid Balance (NUB), and an expedited AAA arbitration, where you may be able to defend if you can show payment for the materials, and it all MUST be completed within 90 days of the delivery of the materials. If they do not follow the rules strictly, demand they remove the lien. If they do not, you hire an attorney to have it removed, and they pay for your legal costs. I get those removed all the time, because so many people don't know how to properly get and file them, and you can too! Good luck!
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