Legal Question in Construction Law in Pennsylvania

Need to put lien against property

We are self employed, did subcontracting work for a contractor who purchases property and builds to sell.

So far (6 months) we have not received any payment on our work. (HVAC Installation) We keep talking to the contractor and he keeps telling us that the property has not been sold, which is true. He will send us something but so far nothing. We have done work for him previously with slow payment, but never to this extreeme. We payed our wholesalers and subcontractors.

Can we file a construction lien against the property and how do we go about it.

Thank you

Kari


Asked on 3/09/06, 9:58 am

1 Answer from Attorneys

Re: Need to put lien against property

I do 90% NJ law, so I'd have to research the PA Construction Lien Laws to answer your question, BUT -

1) do you have a written contract with the builder? If you do not, shame on you. You are ASKING to be 'screwed' by anyone you work for w/o a contract.

2) Does the contract have a "pay when paid" clause? If not, at the latest, he owes payment when the work is completed and passed inspection.

3) Have you called him or WRITTEN him? You HAVE to write, not just call!!! IF you write every couple weeks, memoprialize the promises made to you for payment, and his failure to make payment, when you go to court, and you are likely going to court, you will have the proofs you need. Without written demands for payment and his refusal to pay, it becomes more and more difficult to get payment from the courts.

Keep in mind, construction liens are only sometimes helpful in collecting your money, and even if you can file a construction lien, you will most likly end up in court to enforce the lien and compell payment. You may as well put a final demand in writing, documenting all of your efforts to collect and your patience to date. Put a date in there to make payment, or contact you about making payment. Send it regular AND return reciept mail.

Most contractors will need an attorney to file a lien claim, and to file suit, especially if you are incorporated, but I suspect you are not.

You are being screwed. He's made you his "bitch"! Stop it! Get contracts, do not accept "pay when paid" clauses, put EVERYTHING in writing, document, document, document, give him a drop dead date, and get ready to file suit. Remember, if you are NOT ready to fight, he has no reason to fear you or your threat of suit or to pay you.

Good luck,

Kevin J. Begley

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Answered on 3/09/06, 3:00 pm


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