Legal Question in Business Law in Texas
Mechanics Lien law
If I'm a lumber company and one of my credit clients has not paid in over 90 days, when can I file a mechanics lien and what is the process?
2 Answers from Attorneys
Re: Mechanics Lien law
A lumber yard may get a mechanic's lien for materials used to improve real property. You may have a problem if it is homestead property. You will need the name and address of the party who owes the bill, the contractor, and the owner, as well as the legal description of the property. Many legal descriptions can be obtained from appraisal districts.
Go to: http://members.cox.net/whitecgw/texaslaw3.htm
for complete self-help instructions.
Go to: http://www.txcountydata.com/links.asp
for URL's for appraisal districts.
Also, there are criminal penalties for a contractor/subcontractor not paying their bills on real property improvements. Check out Chapter 162 of the Texas Property Code.
Re: Mechanics Lien law
Mr. White has given you some good information. However, you also need to check Section 53 of the Texas Property Code for the proper notices and timetables that are absolutely required in order to have a valid lien. Blow the notice, method, or timetable and the lien is invalid.
An invalid lien may result in a suit for cloud or slander of title, and expose your business to damages.
If your bill is 90 days stale, and you're a materialman (a second-tier subcontractor at best),I can tell you right out that you've blown the statutory timetable and the best you could get is a constitutional lien.
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