As a subcontractor, you are likely aware of how complicated the legal aspects of construction work can be.
The state of Ohio has attempted to streamline the legal process with a document called a notice of commencement.
What is a notice of commencement?
A notice of commencement is a document containing the following information:
- The starting date of the project
- A description of the property and the construction taking place
- Name and address of the property owner
- Names and contact information of all contractors, subcontractors and lenders
Who is responsible for filing it?
Ohio is one of only eleven states to require the filing of a notice of commencement. In Ohio, the property owner or lessee who authorizes the work must file the NOC with the county recorder. This should occur within 10 days of the start of the project.
Why does it matter to subcontractors?
One of the functions of the NOC is to regulate the process of filing a mechanic’s lien.
If you are a subcontractor, the NOC lets you know where to send your notice of furnishing. Also called a pre-lien or preliminary notice, this document protects your mechanic’s lien rights if you file it within 21 days of starting the job.
The NOC also establishes the start date of the project. This date is important because it determines your deadline for filing a mechanic’s lien. If you need a copy of the NOC, you can find it posted at the job site or request it from the county recorder’s office.
When you undertake a construction job, the paperwork must be in order. Understanding the notice of commencement can help you protect your rights as a subcontractor.
