Mechanic’s Lien, Surety Bond & Statutory Payment Claims

For centuries, contractors have relied upon the mechanic’s lien to secure sums due on construction projects. A mechanic’s lien is a statutory device that can encumber the real property upon which construction was performed to satisfy the claims of an unpaid contractor.  Although these liens have been in place in every state for many years, they are a creature of statute, so claimants must strictly comply with the terms of said statutes to recover on a mechanic’s lien. Therefore, it is important to rely on experienced construction lawyers to record and prosecute your lien claim. Our attorneys have litigated lien claims in multiple states and can aggressively pursue collection on your behalf.

Unpaid contractors may be able to seek recovery by making a claim against a payment bond. A payment bond is issued by a surety on behalf of a principal, usually the prime contractor, in favor of the owner of the project. A payment bond provides a measure of assurance that subcontractors and suppliers on the project will be paid by the prime contractor. However, much like mechanic’s liens, payment bonds have specific requirements for recovery that must be closely followed. Manion Stigger LLP’s attorneys can litigate or defend a payment bond claim or interpret the contract provisions that require the procurement of such a bond.

Another surety mechanism available on construction projects is the performance bond. The performance bond is similar to a payment bond in that it involves the same participants (surety, prime contractor, owner), but instead of ensuring payment to lower tier contractors, the performance bond provides assurances to an owner that the prime contract will be completed.  Again, the performance bond has a precise procedure for claims, thus making it a necessity to retain a construction law firm that is well-versed in these proceedings.

The knowledgeable attorneys at Manion Stigger LLP have represented a variety of construction professionals on all sides of these claims and can vigorously advocate on your behalf if you need to:

Cease performance of a project
Defend a claim for unpaid project balances
Prosecute a claim for unpaid project balances
Enforce performance of a project