Filing Mechanic’s Liens in Florida
Mechanic’s liens are a critical tool for contractors, subcontractors, and suppliers to secure payment for their work or materials on construction projects. In Florida, the lien filing process is governed by specific laws designed to protect the rights of construction professionals while ensuring property owners have clear guidelines. With the introduction of updates to Florida’s lien laws in 2024, it’s essential for contractors to understand the changes and comply with the new requirements. Here’s a step-by-step guide from Bleakley, Bavol, Denman & Grace to filing a mechanic’s lien in Florida under the updated rules.
What Is a Mechanic’s Lien?
A mechanic’s lien provides contractors and others in the construction industry a legal claim against a property for unpaid labor or materials. By filing a lien, you can encumber the property, potentially forcing its sale to recover the owed amount if payment is not made.
2024 Updates to Florida’s Mechanic’s Lien Laws
The 2024 updates focus on increasing transparency and streamlining the lien process. Key changes include:
- Revised Notice Deadlines:
- The deadline for serving a Notice to Owner (NTO) has been adjusted to 30 calendar days from the date of first furnishing labor or materials, rather than business days. This simplifies calculations but shortens the practical window for filing.
- Mandatory Electronic Filing:
- As of 2024, liens must be filed electronically in counties with e-filing systems. This change aims to reduce errors and speed up processing times.
- Enhanced Penalties for Fraudulent Liens:
- The penalties for knowingly filing fraudulent liens have increased, including higher fines and potential criminal charges.
- Updated Lien Waiver Forms:
- Contractors must use updated lien waiver and release forms that comply with the 2024 legislation. Outdated forms may result in invalid waivers.
Steps to File a Mechanic’s Lien in Florida
1. Serve a Notice to Owner (NTO)
Before filing a lien, subcontractors and suppliers (who do not have a direct contract with the property owner) must serve a Notice to Owner within 30 calendar days of starting work or delivering materials. The NTO informs the owner of your involvement and preserves your lien rights.
- Best Practice: Use certified mail with a return receipt to confirm delivery and keep records for your files.
2. Ensure Compliance with Contractual Requirements
Review your contract for any provisions related to dispute resolution, payment timelines, or required notices. Adhering to these terms is critical to maintaining your lien rights.
3. File the Mechanic’s Lien
The lien must be filed within 90 days of your last date of work or material delivery. Include:
- Your name and address.
- A description of the services or materials provided.
- The property’s legal description.
- The amount owed.
Ensure the lien is filed electronically in counties with e-filing systems.
4. Serve a Copy of the Lien
Once filed, a copy of the lien must be served to the property owner within 15 days. Use certified mail to confirm delivery.
5. Enforce the Lien
If payment is still not received, you must file a lawsuit to enforce the lien within one year of filing. Failure to do so will render the lien invalid.
Avoiding Common Pitfalls
- Missed Deadlines: Florida courts strictly enforce lien deadlines. Set reminders to avoid missing critical dates.
- Incorrect Forms: Use the updated 2024 lien forms to ensure compliance.
- Incomplete Information: Double-check property descriptions and amounts to prevent invalid liens.
How We Can Help
At Bleakley, Bavol, Denman & Grace, our Tampa Construction Attorneys specialize in helping contractors navigate Florida’s lien laws. Whether you’re filing a mechanic’s lien or dealing with a payment dispute, our experienced attorneys can guide you through the process. Contact us today to protect your rights and ensure you receive the payment you’ve earned.