It's not always easy getting paid for your work
It happens to every contractor at some point. They do a job, submit the bill, and commence to wait ... and wait.
Billing disputes are a big deal to both sides because they are big-ticket items that can trigger financial failure for both parties.
The first time you hit this wall, you realize what a tricky business you are in. Some clients think nothing of driving you and your family out of business to improve their own numbers.
This is what mechanic's liens and other collections measures are for - to provide legal leverage to ensure that subcontractors and suppliers aren't victimized when invoices are ignored.
Three important steps
California and Nevada both require that the subcontractor or supplier take these steps:
- The subcontractor or supplier must inform the owner of the property of the work that has been done or the material that has been supplied. This must be done promptly, not a year later.
- If the bill for the work done or material supplied isn't paid, the subcontractor or supplier can file a claim. This must be done in the county where the property is.
- If the owner doesn't pay up within a set time, the lien you placed on the property will prevent it from being sold.
The power of the mechanic's lien is that it punishes the owner who refuses to pay. It is not always a perfect solution, but it is an essential tool on the subcontractor's side.
At The Law Offices of Molsby & Bordner, we represent all sides in these kinds of disputes. The reason is that both California and Nevada law are complicated. If you think you can sort out a mechanic's lien on your own, you may be in for a surprise.
We have made it our business to be knowledgeable about every aspect of construction contract law, including the thousands of cases that may apply to your situation.
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