Brett Agee's Insight on Oklahoma's Mechanic’s and Materialmen’s Lien Laws
Mechanic’s and materialmen’s liens play a crucial role in securing payment for labor or materials furnished in construction projects. Brett Agee, our Shareholder Attorney here at GAC, recently authored an insightful article for the Oklahoma Bar Association detailing the nuances of these liens in Oklahoma. Here, we summarize his key points to help you navigate this complex legal area. For a detailed read, you can access Brett's full article here.
Who Can Claim a Lien?
In Oklahoma, anyone who provides labor or materials for the construction or repair of real property can claim a mechanic's lien. This includes contractors working directly with property owners and subcontractors working under contractors. Architects, surveyors, and engineers can also claim liens if their services contribute directly to the project.
Pre-Lien Notices: A Crucial Step
Before filing a lien statement, claimants must send a pre-lien notice to the property owner and original contractor. This must be done within 75 days of the last date of supplying materials or services. Failure to send this notice can affect the validity of the lien, particularly for claims exceeding $10,000 or involving owner-occupied dwellings.
Filing the Lien Statement
The timeline for filing a lien statement varies:
- Contractors: Must file within four months after the last date of furnishing materials or services.
- Subcontractors: Must file within 90 days after their last date of work.
The lien statement should detail the amount claimed, itemized charges, the involved parties, and a legal description of the property.
Priority and Enforceability
Mechanic’s liens take priority over other liens and encumbrances dating back to the start of construction. They can even affect homesteads and other typically protected properties. However, public properties are generally exempt from such liens unless explicitly stated otherwise in the statute.
Discharging a Lien
Liens can be discharged one year after filing if no foreclosure action is initiated. Property owners can also post a bond for 125% of the lien amount to discharge the lien. This bond covers the lien amount plus potential legal fees and costs.
Practical Tips for Contractors and Subcontractors
- Verify Property Ownership: Ensure you are dealing with the record owner of the property to avoid complications.
- Maintain Detailed Records: Keep comprehensive documentation of all work performed and materials supplied.
- Meet Deadlines: Adhere strictly to timelines for sending pre-lien notices and filing lien statements.
Understanding these key aspects of Oklahoma’s mechanic’s and materialmen’s lien laws can help secure your right to payment and protect your interests in construction projects. For more detailed guidance, read Brett Agee's full article on the Oklahoma Bar Association's website.