Article: Collecting fees in hard times. (using mechanics' liens to collect contractor payments)

Mechanic' liens are one of the best tools a contractor has to collect unpaid fees. It creates a public record of the amount owed and shows up on any searches of the title to the property. However, the mere filing of a lien does not assure payment. If a transfer of the property is about to occur, the lien may persuade the owner to pay or settle. If the work was done in a co-op or condominium, the Board may exert pressure to have the lien removed. If nothing is happening with the property through, the lien may just sit and the non-payment issue will not be resolved.

Contractors cannot assume that because a lien is accepted for filing it means that the lien is ...

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