Contractor’s Construction Liens in Texas

Contractor's Construction Liens
Contractor’s Construction Liens

A major concern for contractors in the construction industry is getting paid for services. Mechanic’s and Materialmen’s liens help secure payment when a contractor is not paid on time or as agreed. The law office of Henry A. Jakob is focused on real estate and business law in Houston, Sugar Land, Katy, and surrounding areas and can help manage financial risks faced by construction contractors by way of contractor’s construction liens.

Construction Lien Basics

Mechanic’s and Materialmen’s liens, also called “M&M liens”, are used to secure payment for work performed or materials supplied for improvements to real property in residential and commercial projects. M&M liens can prevent the sale or transfer of the real estate property until the amounts owed are paid to the contractor.  By filing suit to foreclose the M&M lien, the contractor may be able to force the sale of the property to recover the amount owed to the contractor.

The Time Factor

Construction liens need to be perfected in a timely manner. The types of notices required and the deadlines for giving required notices and for filing M&M liens vary depending on whether the contractor worked directly for the owner (an original contractor), for the original contractor, or for a subcontractor.  The deadlines also vary between homestead, residential and commercial property.

Common Mistakes

Some of the most common mistakes made by construction firms include the following:

  • Failing to obtain a written contract signed by all owners of homestead property before providing any labor or materials;
  • Not sending correct notices before their deadlines;
  • Failing to identify the owner of the property;

At the law office of Henry A. Jakob, we have years of real estate experience in Houston, Sugar Land, Katy, and the surrounding areas. Guidance and support are provided in filing liens and collecting any money owed. Call us today at 832-879-2244 for a consultation. We look forward to helping you achieve your goals in the Texas construction industry.

Leave a comment