Bonding Off a Mechanic’s Lien: What Is It?
Bonding Off a Mechanic’s Lien: What Is It & What Does It Mean for You? Once a mechanic’s lien is filed, there is an opportunity for the lien to be...
OK, maybe you can’t simply click your heels to file a lien in Kansas, but you can read today’s post to learn more about the steps to securing lien and bond claim rights!
For private, commercial projects there is no statutory provision requiring a preliminary notice, however, we recommend serving a non-statutory notice as a best practice.
For private residential projects there is a statutory notice:
Whether furnishing to commercial or residential, the mechanic’s lien deadlines are as follows.
When furnishing to a commercial project, a Notice of Extension to file lien, which extends the time to file a lien to 5 months from last furnishing materials or services, may be filed within the above lien period. Serve a copy of the Notice of Extension on the general contractor or construction manager, and on the owner.
In the event the mechanic’s lien does not prompt payment, you should file suit to enforce the lien within 1 year from filing the lien or, if a promissory note was attached to the lien in lieu of a statement, within 1 year from the maturity date of the promissory note.
Bonus Tips
Kansas statute provides that a properly recorded payment bond will prevent mechanic’s liens from attaching to the property. It is recommended to serve a bond claim upon the prime contractor within 90 days from last furnishing materials or services.
Like commercial projects, the public Kansas statute does not provide for a preliminary notice & we recommend serving a non-statutory notice.
Generally, payment bonds are required for general contracts exceeding $100,000; you should always attempt to obtain a copy of the payment bond from the public entity. There are separate bond requirements for state highway projects & county road projects.
You should serve the bond claim notice in accordance with the terms and conditions of the payment bond. Frequently a bond claim notice is required within 90 days from last furnishing.
For state highway projects, you should serve your bond claim within the terms of the bond, plus you should file an itemized statement of account with the Secretary of Transportation within 6 months from completion of the project.
Should you need to proceed with suit to enforce your bond claim, you should file suit within 6 months from completion of the project, unless it is a state highway project, where the deadline is within 1 year from completion of the contract.
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