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According to Florida State Law if you or your company are defined as one of the following you have the right to send a Notice to Owner:
Laborer - person furnishing his/her own labor only.
Material man - person furnishing materials or rental equipment only with no labor for installation of materials. This person must be selling to an owner, contractor, subcontractor, or a sub-subcontractor. A person furnishing materials does not fall within the definition if the person is selling to another material man or to a sub-sub-sub-subcontractor. The materials must be delivered to the site or sold for direct delivery to the site (as distinguished from being sold for inventory without a particular job in mind).
Contractor - a person who furnishes more than one individual's labor and/or more than just materials who contracts with an owner.
Subcontractor - a person who furnishes more than one individual's labor and/or more than just materials who contracts with a contractor.
Sub-Subcontractor - a person who furnishes more than one individual's labor and/or more than just materials who contracts with a subcontractor.
What is Lienable?
The interest in property of the owner who contracts for the improvements is lienable. Usually the landlord's interest is not lienable in a leasehold situation unless the landlord has contracted for the improvements. There are limited exceptions to this.
What is A Notice To Owner?
A Notice To Owner is the paper that is sent to the owner by a lienor who is not dealing directly with the owner. It tells the owner that the sender is looking to the owner to be sure that the sender is paid before the owner pays the contractor. This also gives the owner warnings and the opportunity to see that the sender is paid in order that he not be later surprised with a lien from someone the owner never knew existed. Actual notice by the owner of the non-privity lienor working on the job is no substitute for the written document. Generally, the Notice to Owner must be served not later than 45 days from the first labor, services, or materials at the job site. The 45 days begins to run from the beginning of the manufacture of specially fabricated materials not readily useable elsewhere.
Who Serves The Notice To Owner?
Any Potential lienor who is not dealing directly with the owner. There are three exceptions. A laborer, a professional lienor, and a person who is working only on subdivision improvements need not serve a Notice to Owner. All other lienors who are not dealing directly with the owner must timely serve a Notice to Owner as a preliminary step to obtaining lien rights. This must be done, even where no problem has yet developed if one wants to later claim lien rights. If this preliminary step is not complied with, the right to later claim a construction lien will be gone.
Who Has To Serve Copies Of The Notice To Owner?
If there is a party between your customer and the owner you must serve that party with a copy of the Notice to Owner. If you are a material supplier to a subcontractor, or if you are a sub-subcontractor, then you must serve a copy of the Notice to Owner on the prime contractor. If you are a material man to a sub-subcontractor, then you must serve a copy of the Notice to Owner on the contractor, and on the subcontractor who is dealing with your customer. You are not required to serve a copy on your customer (who already knows you are there because of your direct dealing). It is a good practice to give your customer a copy, but not legally required.
What Does "Served" Mean?
Served means delivered in a special way. The Florida Construction Lien Law defines "service" in the following ways:
A. By mailing postage prepaid by registered or certified mail to the person to be served at his last known address and evidence of delivery.
B. By actual delivery (NOTE: This also seems to permit Federal Express, FAX and other methods of quick delivery if the item is actually received).
C. If none of the above can be done, then by posting on the job site.
What Is a Claim of Lien?
A claim of lien is a verified document that is recorded in the public records among other documents of title (e.g. deeds, mortgages) to give notice to the world of the lienor's claim against the property for the amount unpaid in improving the property. The claim of lien must be recorded not later than 90 days from the last performance of work or delivery of materials under the contract at the site, excluding warranty work. Note that 90 days is not exactly three months. A copy must be served upon the owner within 15 days or recording. Failure to serve the copy is a defense only to the extent that the owner can show harm resulting from failure to timely serve the copy.
How Long Does This Lien Last?
The lien will remain effective against the property for a period of one year. There is only one way to extend that time. The lienor must file suit to enforce or foreclose the lien within the time that it is effective to keep it alive in excess of one year. A lienor cannot just file a renewal or extension of lien.
There are two ways to shorten the one year period aside from voluntary release:
If the notice of contest of lien is recorded, the lien effective time is shortened to 60 days from the date the clerk serves a notice of contest of lien on the lienor.
The second shortening device is a summons to show cause filed by any interested party. When a lienor receives such a summons, he must, generally, file a counterclaim with 20 days of service of the summons or the court will enter an order discharging the lien.
A transfer of the lien to bond or cash deposit does not affect the duration of the lien.
How is the Lien Enforced?
The lien is enforced by a suit usually asking that a judgment be entered recognizing the lien and selling the interest in the property of the owner to pay you. The owner's interest in the property may then be sold at judicial sale subject to prior liens and mortgages, but free and clear of inferior liens and mortgages if the inferior parties are joined in the suit. If you are successful in any amount is excess of what was offered to you prior to trial you should recover your attorneys fees. If you do not have your lien recognized due to a failure to prove your case (e.g. bad notice, untimely lien, improper work in excess of your claim) and you do not otherwise obtain a judgment against the owner, then you will have to pay your opponents attorney fees.
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