This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
Alabama Release of Mechanic's or Construction Lien
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Multi-State
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US-01028BG
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FAQ
Enforcing a Mechanic's Lien in Alabama The most common method is to foreclose on the lien, which involves the sale of the property in order to satisfy the debt owed to the contractor or supplier. However, foreclosure can be a complex and costly process, and it may not always be the best option.
Mechanics lien claims do not last forever. Alabama mechanics lien law requires that a mechanic's lien be enforced within 6 months from the date the entire amount became due. If this 6-month period passes without an action being filed to enforce the lien, the lien expires.
Remove a Lien from Your AL Title Complete a lien release online. Gather your current vehicle title. Submit the above to the Motor Vehicle Division by mail at the address listed on the lien release application, or in person at your local office.
ALABAMA CODE § 35-11-210 provides that a lien can be claimed for work, labor or material constituting an improvement. The scope of the term ?improvement? is left for determination on a case by case basis.
If there are any liens shown on the front of the title that are not released, you will need to have it signed off by the lienholder (Or obtain an original release document from the lien holder). On the back of the title you will fill out the upper part under the heading ASSIGNMENT OF TITLE BY REGISTERED OWNER.
Once the lien has arisen, it will continue until the liability for the amount assessed is satisfied, released or becomes unenforceable by reason of lapse of time (i.e. 10 years from the date the lien is filed) (Code Sections 40-1-2, 40-29-20, and 49-29-21).
If you still have a loan on the vehicle, you will need to pay off the balance to sell it. If you can't pay the loan, you will need to submit a lien release form to the Motor Vehicle Division at the Department of Revenue in Alabama.
Alabama law provides for two types of liens: an ?unpaid balance? and a ?full price? lien. An unpaid balance lien extends only to the amount of any unpaid balance due the contractor by the owner or proprietor. In contrast, a full-price lien allows the furnisher of materials to have a lien for the full price thereof.