What is a Pre-Lien Notice?

A Pre-Lien Notice, in the context of the construction industry, is a legal document that contractors, subcontractors, and suppliers use to protect their rights. It is typically sent at the start of a project to inform a property owner, general contractor, or other party about the potential claimant's involvement. This notice is critical as it sets the stage for filing a mechanic's lien, should payment issues arise later on in the project. It enforces the claimant's right to claim lien in case of non-payment or a dispute. Laws regarding Pre-Lien Notices vary and often depend on the nature of the project and the claimant's role. The notice aims to promote transparency, prevent disputes, and ensure that everyone involved in the project is aware of potential liabilities.