Mechanics Liens and Foreclosures

GETTING YOU THE MONEY THAT YOU DESERVE

Mechanics Liens & Foreclosures

Mechanics liens are one of the collection tools for getting the money you deserve. It is a powerful tool created by the law to help contractors get paid. But like any tool, it works best when it is used properly under the right circumstances and with the right expectations. You deserve to get paid, which sometimes means invoking your rights as a contractor, and we are here to make sure that process is carried out successfully.

We are well-versed in mechanics liens and understand the exact process contractors must follow in order to preserve their mechanics lien rights to maximize the odds of receiving the money they are owed. While mechanics liens can be an effective strategy, it is not the only option for collecting your payment and is often not the most effective tool. Our extensive experience recording and enforcing mechanics liens for our clients enables us to help you understand which collection process is best for your circumstance.

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PROCESS

What is our process?

Step One: Learn your objectives and goals

We want to understand how you define a successful outcome. For transactional issues, what are the important issues that need to be addressed in the document we are drafting? For disputes, what is the desired resolution or outcome?

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Step Two: Understand your concerns and issues

For transactional, what have the parties agreed to and has an agreement been reached on all the key issues? For disputes, we need to know whether the contract addresses the issue, how it was addressed, who’s at fault, and what damages resulted

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Step Three: Craft the strategy

For transactional, we draft a document that will achieve the desired outcome and reflect the client’s business. For disputes, we uphold the obligations stated in the contracts and/or determine reasonable remedies for issues not addressed in the contract.

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Step Four: Implement the remedy

Following the strategy developed with and approved by the client, we move to achieve the intended result. Whether drafting a document or resolving a dispute, we’ll keep you informed on how things are going so you can focus on your business.

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Mechanics Liens and Foreclosures

Common Issues

To file and enforce a mechanics lien in Minnesota, there is a very specific process that must be followed. If performed incorrectly, you could lose your lien rights and make collecting more difficult. A mechanics lien foreclosure action can be an expensive route, so contactors need to weigh the costs and benefits while considering other effective collection options. At MNCLS, we help you understand the process as well as your available options so you can make an informed decision.

Do I have mechanics lien rights?

We will review where your case stands in the process as well as deadline dates to determine if your lien rights still exist. From there, we can lead you through the entire process or decide on an alternative option.

Will I receive my payment by using a mechanics lien foreclosure?

By itself, a mechanics lien has limited ability to force a debtor to pay. Mechanics liens are often a very time-consuming and expensive solution, therefore we examine how profitable the process will be based on your situation. We can help you evaluate the costs and benefits of using a mechanics lien in comparison to other collection options.

Does a subcontractor have the right to file a mechanics lien?

The short answer is yes. Any contributor of labor or materials has a right to record a mechanics lien if they are not paid. We will review the reasons for which the payment is not being made as well as the process the subcontractor followed to determine if the mechanics lien the subcontractor recorded is enforceable. Depending on the conclusion, MNCLS will help resolve the dispute.

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We eliminate the guesswork and fine print of construction law in Minnesota.

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Common Problems