What Is a Trapping Notice?

What Is a Trapping Notice? Is It Different than a Preliminary Notice?

In some states a preliminary notice may be due prior to furnishing, or within so many days after first furnishing. If you do not serve your notice within that time period, your lien or bond claim rights may be jeopardized. Some states may allow you do to a late notice, but the notice may only trap from a certain period forward – hence, a Trapping Notice.

Here’s an Example

As an example, California requires a notice to be served within 20 days from first furnishing.  A late notice may be served, but the lien when later filed will be effective only for materials or services provided 20 days prior to serving the notice and thereafter.

In other words, if you first furnished on April 1st, a notice served on June 1st would reach back “to trap” any furnishings 20 days prior to the service of the notice (May 12th) and after.

Once the deadline for a statutory notice passes, and an online update is processed, the next action will switch from displaying the Preliminary Notice to a Trapping Notice:

Caution

Be aware:  the deadline listed for the Trapping Notice is the last possible day, based on the last furnishing date listed, that a trapping notice will protect the last furnishing listed. Serve the Trapping Notice as soon as possible to protect as many furnishings as possible!

Most Recent Resources

Blog

No Lien Rights for Rental Equipment Companies in Pennsylvania

Review this recent Pennsylvania legal decision and how UCC filings are poised to be the payment leverage rental equipment companies need.
Read More
infographic
Infographic

Primary Types of Lien Waivers

This infographic reviews the fundamentals of conditional, unconditional, partial, and final lien waivers. Ready to learn more about the primary types of lien waivers and which waiver could provide you with the best leverage?

Read More
conference
Conference

Credit Research Foundation 2024 August Forum & Expo

The Credit Research Foundation is excited to host this in-person Forum and Expo offering educational sessions curated by industry experts, several opportunities for peer group networking, and dedicated time in the exhibit hall.
Read More