Preliminary Notice
Encyclopedia
In Mechanics lien
law a Preliminary Notice (also known as a Notice to Owner, Materialmens Notice to Owner, Notice of Furnishing, Contractor/Subcontractors Notice to Owner, and others) is a notice sent by the contractor, subcontractor, materialmen, equipment lessors or other parties to a construction project not to create a Mechanics lien
but rather to establish a right to file a Mechanics lien
. The distinction is important. If the Preliminary Notice is sent but the claimant's bill is paid the Preliminary Notice has no further legal effect. However, if the bill is not paid the claimant may now file a Mechanics lien
on the owner's property. Most states do not allow the filing of a Mechanics lien
without claimants being able to prove they first sent a Preliminary Notice.
In the United States about forty states now require some form of a Preliminary Notice to the owner and general contractor of a construction project. Most forms for the process can be obtained from local office supply stores, and a few computer programs exist to handle the process on a nationwide basis.
Mechanics lien
A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. The lien exists for both real property and personal property. In the realm of real property, it is called by various names, including,...
law a Preliminary Notice (also known as a Notice to Owner, Materialmens Notice to Owner, Notice of Furnishing, Contractor/Subcontractors Notice to Owner, and others) is a notice sent by the contractor, subcontractor, materialmen, equipment lessors or other parties to a construction project not to create a Mechanics lien
Mechanics lien
A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. The lien exists for both real property and personal property. In the realm of real property, it is called by various names, including,...
but rather to establish a right to file a Mechanics lien
Mechanics lien
A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. The lien exists for both real property and personal property. In the realm of real property, it is called by various names, including,...
. The distinction is important. If the Preliminary Notice is sent but the claimant's bill is paid the Preliminary Notice has no further legal effect. However, if the bill is not paid the claimant may now file a Mechanics lien
Mechanics lien
A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. The lien exists for both real property and personal property. In the realm of real property, it is called by various names, including,...
on the owner's property. Most states do not allow the filing of a Mechanics lien
Mechanics lien
A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. The lien exists for both real property and personal property. In the realm of real property, it is called by various names, including,...
without claimants being able to prove they first sent a Preliminary Notice.
In the United States about forty states now require some form of a Preliminary Notice to the owner and general contractor of a construction project. Most forms for the process can be obtained from local office supply stores, and a few computer programs exist to handle the process on a nationwide basis.