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North Carolina Claim of Lien by Corporation

Nc Claim Of Lien Form With 2 Points

Category:

Liens - Construction - Mechanics

State:

North Carolina

Control #:

NC-01A-09

Format:

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Description

The North Carolina Claim of Lien Form is a crucial legal document utilized by parties claiming a lien on real property. This form, structured in accordance with N.C. Gen. Stat. § 44A-12, serves to formally declare a claim against a property for unpaid labor or materials provided. Key features include fields for identifying the claimant, the property owner, a description of the property, the timeline of labor or materials provided, and a detailed account of the claim amount. Users must ensure that all information is complete and accurately reflects the nature of the lien to avoid disputes. Filling out the form requires careful attention to detail, particularly in accurately describing the property and the work performed. The form is especially beneficial for attorneys, paralegals, and legal assistants who assist clients in securing their rights to payment while protecting their interests. It also serves owners and partners in understanding their rights and obligations related to property liabilities. Proper editing and adherence to legal guidelines are essential to ensure enforceability of the lien.

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FAQ

File a Lawsuit to Vacate the Lien: Finally, property owners in North Carolina can always fight the lien once the contractor files a lawsuit. In North Carolina, a contractor must file a formal lawsuit after filing a mechanic's lien.

In North Carolina, a lien claimant has 120 days from the date of last furnishing to complete these 3 steps: Fill out a mechanics lien form that meets NC requirements. ... File the lien with the county recorder's office. ... Serve a copy of the lien on the property owner.

The claim of lien on real property must be filed within 120 days from the date when labor or materials were last furnished to the project. The claim of lien must comply with the form that is set forth in NCGS 44A-12, which includes a certification that the lien has been served on all necessary parties.

Finally, in North Carolina, a lien on real property must also be perfected by filing a lawsuit in the county where the property upon which work was performed is located. The lawsuit must be filed within 180 days from the date of last substantial furnishing of labor and/or materials on the property.

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Claim of Lien by Corporation

Note: This summary is not intended to be an all inclusive discussion of North Carolina's construction or mechanic's lien laws, but does include basic provisions.

What is a construction or mechanic's lien?

Every State permits a person who supplies labor or materials for a construction project to claim a lien against the improved property. While some states differ in their definition of improvements and some states limit lien claims to buildings or structures, most permit the filing of a document with the local court that puts parties interested in the property on notice that the party asserting the lien has a claim. States differ widely in the method and time within which a party may act on their lien. Also varying widely are the requirements of written notices between property owners, contractors, subcontractors and laborers, and in some cases lending institutions. As a general rule, these statutes serve to prevent unpleasant surprises by compelling parties who wish to assert their legal rights to put all parties who might be interested in the property on notice of a claim or the possibility of a claim. This by no means constitutes a complete discussion of construction lien law and should not be interpreted as such. Parties seeking to know more about construction laws in their State should always consult their State statutes directly.

Who can file a lien in this State?

Any person who performs or furnishes labor or professional design or surveying services or furnishes materials or furnishes rental equipment pursuant to a contract, either express or implied, with the owner of real property for the making of an improvement thereon shall, upon complying with the provisions of this Article, have a lien on such real property to secure payment of all debts owing for labor done or professional design or surveying services or material furnished or equipment rented pursuant to such contract.

How long does a party have to file a lien?

Claims of lien may be filed at any time after the maturity of the obligation secured thereby but not later than 120 days after the last furnishing of labor or materials at the site of the improvement by the person claiming the lien.

What kind of notice is required prior to filing a lien?

Subcontractors are required to provide the obligor with a Notice to Obligor. This notice is slightly different depending on whether the party issuing the notice is a first, second, or third tier subcontractor, or is more remote.

How long is a lien good for?

An action to enforce the lien created by this Article may be instituted in any county in which the lien is filed. No such action may be commenced later than 180 days after the last furnishing of labor or materials at the site of the improvement by the person claiming the lien.

Are liens assignable?

Yes. North Carolina law specifically permits the assigning of liens. When a claim of lien has been filed, it may be assigned of record by the lien claimant in a writing filed with the clerk of the superior court who shall note said assignment in the margin of the judgment docket containing the claim of lien. Thereafter the assignee becomes the lien claimant of record.

Does this State require a notice prior to starting work, or after work has been completed?

No. North Carolina statutes do not require a Notice of Commencement or a Notice of Completion as required in some other States.

Does this State permit a person with an interest in property to deny responsibility for improvements?

No. North Carolina statutes do not have a provision which permits the denial of responsibility for improvements.

Is a notice attesting to the satisfaction of a lien provided for or required?

No. North Carolina statutes do not provide for or require that a lien holder who has been paid produce or file a notice to that effect. However, two methods under which a lien may be discharged include an acknowledgment of satisfaction of lien which may be filed by either the lien claimant or the property owner with the lien claimant's signature.

Does this State permit the use of a bond to release a lien?

Yes, whenever a sum equal to the amount of the lien or liens claimed is deposited with the clerk of court, to be applied to the payment finally determined to be due, whereupon the clerk of superior court shall cancel the lien or liens of record and whenever a corporate surety bond, in a sum equal to one and one fourth times the amount of the lien or liens claimed and conditioned upon the payment of the amount finally determined to be due in satisfaction of said lien or liens, is deposited with the clerk of court, whereupon the clerk of superior court shall cancel the lien or liens of record.

Claim of Lien by Corporation

Note: This summary is not intended to be an all inclusive discussion of North Carolina's construction or mechanic's lien laws, but does include basic provisions.

What is a construction or mechanic's lien?

Who can file a lien in this State?

How long does a party have to file a lien?

What kind of notice is required prior to filing a lien?

How long is a lien good for?

Are liens assignable?

Does this State require a notice prior to starting work, or after work has been completed?

No. North Carolina statutes do not require a Notice of Commencement or a Notice of Completion as required in some other States.

Does this State permit a person with an interest in property to deny responsibility for improvements?

No. North Carolina statutes do not have a provision which permits the denial of responsibility for improvements.

Is a notice attesting to the satisfaction of a lien provided for or required?

Does this State permit the use of a bond to release a lien?

Nc Claim Of Lien Form With 2 Points

This form is part of a form package!

Description

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Looking for another form?

Viewed forms

How to fill out North Carolina Claim Of Lien By Corporation?

Form popularity

FAQ

How do I dispute a lien on my property in North Carolina?

How do I file a lien claim in North Carolina?

How do I put a lien on a property for money owed in NC?

How do you perfect a lien in NC?

How do I dispute a lien against my property in NC?

Trusted and secure by over 3 million people of the world’s leading companies

Nc Claim Of Lien Form With 2 Points

This form is part of a form package!

Description

Get your form ready online

Related legal definitions

Looking for another form?

Viewed forms

How to fill out North Carolina Claim Of Lien By Corporation?

Form popularity

FAQ

How do I dispute a lien on my property in North Carolina?

How do I file a lien claim in North Carolina?

How do I put a lien on a property for money owed in NC?

How do you perfect a lien in NC?

How do I dispute a lien against my property in NC?

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