STEPS TO FORECLOSE A MECHANICS LIEN
For those who have filed their mechanics lien in Florida, they know that within a set period of time after that redecoration, a Lien Foreclosure Lawsuit must be brought or that lien becomes null and void.
In Florida, a lien claimant is required to bring the Lien Foreclosure Lawsuit within one year of the recording to foreclose a mechanics lien. However, it is a common requirement to file your Lien Foreclosure Lawsuit within 60 days after notification from the owner of a document titled “Notice of Contest of Lien”. If that Notice is served on the lien claimant by certified mail, the time to bring a Lien Foreclosure Lawsuit is 60 days after that has been served or within 20 days after receipt of a summons to show cause why the lien should not be enforced by suit.
Filing to Foreclose a Mechanics Lien
Our attorney of record, Noam J. Cohen, Esq., is licensed in Florida and experienced in filing and serving such lawsuits. Not only will this allow you to preserve the statute, but it places you in a substantial bargaining position where the non-paying party must now take your claim seriously.
Mr. Cohen is also experienced in negotiation and can work out the best deal under the circumstances. Call for a quote to get started with such a lawsuit.
Your Lien Will Not Stay of Record Indefinitely:
There is a misconception that once recorded, a mechanics lien will be effective indefinitely and thereby tie up the property. This is not the case. It will no longer be enforceable unless a lawsuit to foreclose is brought.
Strict Statute of Limitations:
The time limitations of filing the lawsuit must be taken very seriously. This is because the suit is governed by a statute of limitations and if not filed by the due date, the lien becomes null and void. You will still typically have time to sue your customer for breach of contract, but the foreclosure of the actual foreclose a mechanics lien will have expired.
Whom Do You Sue?
The lawsuit will name the property owner under a cause of action for foreclose a mechanics lien as well as your customer in which you have a verbal or written contract. As to the latter, there will be causes of action for breach of contract, breach of implied-in- fact contract, open book account, and account stated. These parties will each be served by the Sheriff’s office or a process server individually.
Many construction contracts have a binding arbitration provision. So how do you handle the lien foreclosure? Typically you bring your lawsuit to foreclose a mechanics lien and in a companion request to the court, ask that it be stayed pending the arbitration determination and award. Once you receive the award, it is confirmed in the same court as a judgment and then you proceed with the foreclosure process.
Experienced Construction Attorney:
Different attorneys have different specialties and in many cases are simply general practitioners. However, the Law Offices of Noam J. Cohen, P.A. offers services of an experienced construction attorney who has filed numerous lien foreclosure lawsuits. And, as a civil litigator, Mr. Cohen is knowledgeable of all aspects of such a process from inception to culmination, which includes the filing of suit and motions, propounding discovery and litigating at trial.