Houston Texas Complaint or Petition to Foreclose on Mechanic's Lien

State:
Multi-State
City:
Houston
Control #:
US-01538BG
Format:
Word
190 downloads

Description

An action to enforce a mechanic's lien on real property is commonly known as an action to foreclose a mechanic's lien. Enforcement of this statutory lien by foreclosure provides a method by which one who has added value to real property, due to construction or improvements, may compel payment for the benefit conferred and received. The following form is a complaint that adopts the notice pleadings format of the Federal Rules of Civil Procedure, which have been adopted by most states in one form or another.

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.


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FAQ

A mechanic's lien can only be foreclosed on by the judgment of a court of competent jurisdiction. The judgment entered in such a proceeding shall foreclose the lien and order the sale of the property subject to that lien.

There are three general steps to file a mechanics lien in Texas: Fill out the appropriate Affidavit of Lien form. Deliver your lien form to the county recorder office. Serve your lien on the property owner.

In Texas, the lien period is described as ?on the 15th day of the month three months after the last month the claimant performs work?. (Three months for residential, four for non-residential) The deadline to file a lien is not extended if the 15th falls on a Saturday, Sunday, or legal holiday.

However, filing a mechanics lien on a property may not always result in payment. If you are unable to collect payment on a lien after filing the affidavit, then Texas Construction Law allows you to foreclose to enforce a lien. This action forces the sale of the property to pay creditors.

When a lien is foreclosed upon, the lienholder forces the sale of the property so he or she is paid the portion of the proceeds from the sale that he or she is owed.

In order to have a valid mechanics' and materialmans' lien on a homestead in Texas, there must be a written contract between the original contractor and owner, signed by both spouses (if property is owned by a married coupled) and filed with the county clerk prior to any work being done on the homestead.

Deposit the Lien Amount with the Court: A lien can be removed from the property if you file a lawsuit and deposit the lien amount into the court's registry. This allows the parties to litigate the validity of the claim, without the lien encumbering the property.

There are three general steps to file a mechanics lien in Texas: Fill out the appropriate Affidavit of Lien form. Deliver your lien form to the county recorder office. Serve your lien on the property owner.

Does a mechanic's lien expire in Texas? Once a mechanic's lien is filed against a property, it will remain in place until it is ?released?, which is a formal process.

Foreclosures may be judicial (ordered by a court following a judgment in a lawsuit) or, most likely in Texas, non-judicial (?on the courthouse steps?). The effect of foreclosure is to cut off and eliminate junior liens, including mechanic's liens, except for any liens for unpaid taxes.

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Houston Texas Complaint or Petition to Foreclose on Mechanic's Lien