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Construction Contractor Liens in Texas

Liens & Late Payments

Making sure you are paid for your services is a major concern for commercial contractors in the construction field. Construction contractor liens can provide the legal impetus needed to make sure that your clients pay on time and as agreed. Experienced in Sugar Land real estate law, The Law Office of Henry A. Jakob, PLLC can help you manage the financial end of your contractor business and can provide you with the services you need to stay profitable in the construction industry.

The Basics of Construction Contractor Lien Law

Construction contractor liens are used to guarantee payment for services rendered to residential and commercial clients. In the state of Texas, construction liens are designed to give the contractor an interest in the property they have improved or constructed. These liens prevent the sale or transfer of the real estate property until the amounts owed are paid to the contractor.

The Time Factor

Liens must be filed in a timely manner. The time period allowed for filing these liens varies depending on whether the contract was for residential or commercial work:

  • For residential projects, contractors are required to provide a Disclosure Statement to the client before the contract is signed. This document will include a full listing of all subcontractors and all expected expenses or bills. Residential construction liens must be filed by the 15th day of the third month after the date at which the debt came due.
  • For commercial projects, pre-lien notices must be provided to the client by the 15th day of the third month after the date of indebtedness. The actual lien must be filed by the 15th day of the fourth month after the date when the debt came due.

Working with our Katy small business attorney can help you navigate the timing requirements for your construction contractor lien. These legal professionals can ensure that your lien is filed correctly and on time, allowing you to collect the money you are owed by your clients.

Common Mistakes

We can provide you with guidance on collecting the money owed to your construction company for your services. Some of the most common mistakes made by construction firms in our area include the following:

  • Failing to send monthly bills to clients
  • Delaying the billing process
  • Failing to retain the services of a qualified real estate attorney
  • Misunderstanding Texas rules about homesteads

By working with us, you can avoid missteps that could potentially prevent you from collecting the money you are rightfully owed.

At The Law Office of Henry A. Jakob, PLLC, we are experienced in Katy real estate law and can provide you with the best possible representation when managing finances for your construction business. Our professional team can provide you with the best guidance and support in filing liens and collecting the money you are owed. Call us today at 713.640.5700 to schedule a consultation with us. We look forward to helping you achieve your goals in the Texas construction industry.

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