Defending Against a Construction Lien Claim
Defending against a construction lien claim is an important part of protecting your rights under New Jersey law. While construction liens are extremely powerful tools for collecting money, they must be filed correctly or they will be permanently void. If you have questions about how to file a construction lien, contact a New Jersey lien attorney at Snellings Law, P.C. We can help you understand the construction lien process and how to protect your rights.
A construction lien is a legal document that gives contractors, suppliers, and subcontractors a security interest in real property. Once filed, this lien restricts the property owner from selling or refinancing the property. This is also against the terms of any financing the owner might be receiving. Once the lien is validated by the court, it may be foreclosed to collect the debt. The statute of limitations for filing a construction lien is 90 days from the date of the last work. Defending against a construction lien requires that the claimant serve the lien on the property owner within that time frame.
A lien claimant must first file a Notice of Unpaid Balance and Right to File Lien within the period of 60 days following the last day of work. The lien claimant may then serve a demand for arbitration in the case of a dispute over payment. If the lien claimant wins the arbitration, the lien can be filed in ten days after receiving the arbitrator’s decision. To file a residential construction lien, the claimant must initiate arbitration before it can go to court.
More info- https://www.scura.com/blog/defending-against-a-nj-construction-lien-claim
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