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Disputing a mechanic lien

California

I'm a subcontractor who finished work in California in early July. Sunbelt rentals overbilled me, and has now placed mechanics liens for unauthorized charges on the property owners, which is placing me in breach of contract and holding up payments to me.

3 replies

Nov 5, 2020

 If Sunbelt's lien is improper, you can obtain a mechanic's lien release bond, which will require Sunbelt to release the lien.

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Nov 5, 2020
Did Sunbelt serve a 20-day preliminary notice on the project? If not, then the lien is invalid. Also, did you obtain statutory release forms as you were issuing payments to Sunbelt along the way? If so, you should review those as well to determine if the lien is overstated. Finally, the owner will likely demand that you either bond around the lien or resolve it promptly so the lien is removed as a cloud on title to his/her property.
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Nov 5, 2020

You should consider paying the undisputed amount (and obtain a waiver and release based on the amount of the payment), bonding around the claim (which will be less as you've paid the undisputed amount) and then litigating over the disputed portion.  

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