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.
Riverside California Complaint or Petition to Foreclose on Mechanic's Lien
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How to fill out Complaint Or Petition To Foreclose On Mechanic's Lien?
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FAQ
The mechanics' lien is a right that California gives to workers and suppliers to record a lien to ensure payment. This lien may be recorded where the property owner has paid the contractor in full and the contractor then fails to pay the subcontractors, suppliers, or laborers.
The law in California regarding lien priority is generally, first in time, first in right. There are exceptions however, as some liens have skipping power. In California, the mechanic's lien is given priority not by the date of recordation, but the day work first commences.
Here are some of the liens that survive a foreclosure sale: Common Superior to Foreclosure-Liens: Code Enforcement Liens/Orders for debris removal, mowing/weeds, etc. City liens for road improvements, maintenance, etc.
California law requires that a lawsuit be filed to foreclose on a mechanic's lien within 90 days (Civil Code section 3144) after recording it. If the contractor fails to file a lawsuit to foreclose on that lien within 90 days, it is barred from recovering on that stale mechanic's lien.
According to California mechanics lien law, you have 90 days from the last day you performed work or provided goods on the project to file your mechanics lien.
To enforce the lien, the contractor must file a lawsuit within 90 days from the date of recording the lien. If this deadline is passed, the contractor may not be able to enforce the lien and may be required to remove the lien.
If the property owner still does not pay the contractor the amount stated in the Mechanics Lien, the contractor can file a court lawsuit to foreclose on the Mechanics Lien, provided that the lawsuit is filed within 90 days after recording the Mechanics Lien, otherwise, if the 90 days pass without filing the lawsuit,
Mechanics liens are powerful tools to get construction industry participants paid, but they are not the tools to stop or block a foreclosure, even if the party claiming the lien actually performed work on the property. The answer there may be a bankruptcy filing, or some agreement with the mortgage holder.
