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How can contractors enforce a mechanic’s lien in Texas?

On Behalf of | Jan 31, 2025 | Construction Contracts

Securing payment presents a major concern for contractors, especially when property owners or general contractors refuse to pay. A mechanic’s lien serves as a legal tool to help contractors recover unpaid labor or materials. Understanding the enforcement process ensures you take the right steps to protect your interests.

Filing a valid mechanic’s lien

To enforce a mechanic’s lien, contractors must first file a valid lien. State law requires strict compliance with deadlines and notice requirements. Subcontractors and suppliers must send a pre-lien notice to the property owner before filing. General contractors typically do not need to provide this notice. Contractors must then file the lien with the county clerk’s office in the county where the property is located.

Meeting the legal deadlines

Texas enforces specific deadlines for filing a mechanic’s lien. For residential projects, contractors must file by the 15th day of the third month after completing the work. For commercial projects, the deadline extends to the fourth month. Missing these deadlines invalidates the lien, preventing enforcement. Keeping track of these deadlines remains essential to maintaining legal rights.

Enforcing the lien through a lawsuit

If the property owner still refuses to pay, contractors must file a lawsuit to enforce the lien. Texas law requires contractors to file this lawsuit within two years from the last date the lien could have been filed. The court may order foreclosure of the property to satisfy the debt. Proper documentation, including contracts, invoices, and correspondence, strengthens the case.

Removing obstacles to enforcement

Contractors should anticipate potential challenges when enforcing a lien. Property owners may dispute the claim, alleging defective work or lack of proper notice. Ensuring that contracts remain clear and work stays well documented helps counter these claims. Additionally, negotiating payment before litigation saves time and legal costs.

Taking the right steps to secure payment

A properly filed and enforced mechanic’s lien provides strong legal leverage for contractors seeking payment. By following lien laws and deadlines, contractors increase their chances of recovering unpaid amounts. Staying organized and proactive helps avoid disputes and ensures fair compensation.