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Construction contractors deserve to get paid for their hard work. Unfortunately, not all of them do. If you’re a contractor or a sub-contractor who has not been paid for a particular project, you may be wondering how to proceed. Should you walk off the job? Attempt to renegotiate? Or commence construction litigation? Below is a guide to the last option. 

File a Lien 

construction litigationIf the client refuses to cooperate even after receiving notification of payment due, you may want to file a mechanic’s lien against the property. This will let the client know you are serious about recovering the funds you are owed. Contractors and Subcontractors and building materialmen each have statutory lean rights with strict statutory deadlines that must be complied with to protect your claim. Filing and ultimately perfecting a claim of lien will in most cases go a long way towards ensuring payment for your hard work or building materials. If the client wants to rid the property subject to a valid perfected lien, the lien will have to be satisfied. Further, if you are a sub-contractor who has not been paid, you have the right to file a claim of lien on funds that have not yet been paid to the general contractor. 

Since there are strict deadlines and laws regulating mechanic’s liens though, it is wise to seek legal guidance before filing one. In North Carolina, for example, you must file such a lien after payment becomes due but before 120 days have passed from the date on which you last worked on the project or furnished materials.  

Perfect your Lien by filing suit 

As a contractor, sub-contractor or supplier of building materials, you must perfect your lien within 180 days of the date of last furnishing. This involves drafting and filing a summons and complaint, serving the other parties, and proceeding with litigation. It is wise at this juncture, even if you have already filed a lien on your own, to engage an experienced civil litigation attorney who can help you navigate the complex and adversarial path associated with filing a lawsuit. Further, if you have unfortunately missed the deadline to file a suit for the purposes of perfecting your lien, it is often pertinent to still pursue litigation for funds owed to you pursuant to a contract. 

 

If you were not paid upon completing a project and want to discuss your options with a construction litigation attorney, turn to The Law Office of W. Randall Holcomb. Located in Greensboro, NC, this firm helps clients resolve complicated contract disputes. Their legal team is proud to provide personalized, attentive, and detail-oriented counsel to each and every client. Visit their website to learn more about their construction litigation services or call (336) 888-8760 to schedule an initial consultation with a civil litigation lawyer today. 

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