What is Lien Law in Missouri
Homeowners who have contractors working on their houses need to take advantage of protections in state laws to avoid paying twice for the same labor or materials. The Hershewe Law Firm, P.C. provides legal guidance on Missouri construction lien law and construction litigation assistance.
Leveraging Missouri construction lien laws
How a mechanic's lien can hurt you
When you hire a general contractor to build a home or to do home repair or remodeling work, the general contractor becomes the middleman between you and any others who provide labor or supplies for the project.
In most cases, homeowners pay their general contractors, who in turn pay their material suppliers and workers, known as subcontractors. But what happens when you, the homeowner, paid the contractor in full, and the contractor failed to pay his subcontractors? The subcontractors then file mechanic's liens on your property, forcing you to pay for the work or labor a second time.
How to protect yourself from a mechanic's lien
To avoid situations like the one described above, homeowners can leverage construction lien law in Missouri. Be advised, however, that the process for new home construction is different from the process for repairs and remodeling.
Consent of owner statement in repair and remodeling
The construction lien laws in Missouri state that when you have home improvement or repair work done, no one other than the general contractor can place a lien against your property, unless you have signed a consent of owner statement. This statement says that you will pick up the costs of materials, supplies, and labor for a project if the contractor does not pay. If you are asked to sign this statement, decline doing so until you can consult with a lawyer who deals in construction litigation in Missouri. If you sign a consent of owner statement, you have just given up your protection against liens and double payment.
Notice to owner statement in new construction
Subcontractors in new home construction do have the legal right to file mechanic's liens. When building a new home, your contractor must provide you with a notice to owner statement. This statement says that liens may be filed against your property by subcontractors and suppliers. To avoid such liens against your property, the notice to owner statement says you may ask your contractor for lien waivers from all persons supplying materials or services. Do so no matter what—without lien waivers, you may have to pay for services rendered twice.
New construction: Getting a construction lien waiver in Missouri
A lien waiver is a receipt that says suppliers have been paid for work done on your home and will not demand further payment or file a lien against you. Ask your contractor to give you a Missouri construction lien waiver from each subcontractor as soon as their portion of the work is done, and do not settle for a contractor's promise to pay everybody. If the contractor does not get you the lien waivers, select another contractor or ask your present contractor to choose subcontractors from whom lien waivers can be obtained.
For more information on lien laws and on a Missouri construction lien release, see the Introduction to Missouri Lien Law on the Missouri Attorney General's website.
Get legal help with MO construction
The Hershewe Law Firm, P.C. in Missouri provides construction litigation assistance and advises clients on construction lien laws throughout the process of new construction, repairs, or remodeling in understanding, including lien waver and construction lien release in Missouri. We protect you from liens by running background checks, including searches for consumer complaints leveled against of any contractor you are considering hiring. For more information, contact us.
