1. What is a construction lien?

A construction lien is legal creation meant to protect construction professionals. It is almost like a special insurance policy for payment. Any party who provides goods or services that ‘attach’ to a building or property may qualify to register a lien for the value of the goods and services. A valid lien may be the only device that makes certain you obtain payment.

2. How does one obtain a construction lien?

A construction lien is legal creation meant to protect construction professionals. It is almost like a special insurance policy for payment. Any party who provides goods or services that ‘attach’ to a building or property may qualify to register a lien for the value of the goods and services. A valid lien may be the only device that makes certain you obtain payment.

3. Preservation, Perfection and Time Limits?

There are strict time limits in which liens must be preserved and perfected. Preservation, the first step, involves the registration of the lien at the correct registry office. Perfection, the second step, involves commencing a legal action on the lien. The time limitations are vital, but not always straightforward. A qualified professional should generally be consulted to determine when the clock started ticking and when the steps need to be completed. As a general guide, preservation and perfection must be completed in 45 and 90 days respectively from a key date such as last supply of services. Please consult a professional as timing is critical.