Litigation related to construction is somewhat common. In some cases, clients take legal action against companies or professionals for failing to fulfill the terms of a contract.
Other times, the parties that perform work on a construction project may take legal action against property owners due to payment issues. When a property owner fails to pay professionals in full according to the contracts they’ve signed, those professionals may have grounds to request a lien against the property.
What professionals have lien rights?
Construction liens, also known as mechanic’s liens, are an important tool for the protection of contractors and other construction professionals. They can ask to record a lien to ensure their payment if the property owner withholds the final payment.
Technically, anyone who performs work at a property may potentially be able to request a lien according to Arizona state statutes. Additionally, individuals or businesses that provide materials for the construction work may also have lien rights under the law.
Professionals generally need to act rapidly to request a lien, as the window of time in which they can do so is relatively brief. Property owners also need to respond to lien requests quickly, as they could otherwise have a title blemish that complicates their use of the property and may be at risk of future foreclosure.
Reviewing a contract for a project and any issues related to payment with a skilled legal team can help people to more effectively evaluate their options. Lien requests and enforcement attempts generally require court intervention, and people usually need support if an issue goes to court. Construction litigation related to liens can be complex, making legal representation beneficial in most cases.