If you operate in the construction sector or home services industry, you undoubtedly know just how difficult some homeowners can be. Indeed, even if you provide professional and responsive service, some homeowners never want to pay. Others constantly nitpick, sometimes even sending multiple punch lists for you to tackle.
Ohio has a comprehensive legal scheme to regulate mechanics’ liens. According to state law, a mechanic’s lien helps to secure payment for your unpaid labor and materials costs. If you put a mechanic’s lien on the property, the homeowner may have a difficult time selling it until he or she pays for your services. Here are three mistakes to avoid when putting a mechanic’s lien on a property.
1. Waiting too long
You do not have forever to file a mechanic’s lien on a property. Indeed, in Ohio, you must do so within 60 days of finishing work on a residential job. Because time moves quickly in the construction sector, you do not want to miss your opportunity simply by waiting too long.
2. Missing technical details
When you file your affidavit for a mechanic’s lien, you must provide certain technical details. Failing to include one or more of the following can cause serious problems:
- The amount the property owner owes you
- A description of the property
- The name and address of the homeowner
- The name and address of the person who contracted for your services
- Your name and address
- The dates you provided work
3. Not providing notice
You have to serve your affidavit for a mechanic’s lien on the individuals who owe you money. If you do not take this step, your lien may not go into effect. Still, because serving notice may cause the homeowner or general contractor to take legal action against you, you may have to prepare for a lawsuit.
As you can see, there are many ways to go wrong with filing a mechanic’s lien. Ultimately, to improve your odds of receiving payment for the work you have done, you may want to obtain competent legal counsel before proceeding.