Alabama Mechanic’s Lien

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Below is an overview of the preliminary steps for filing a mechanic’s lien in the state of Alabama.

COMMERCIAL:

  • Upfront Notice:
    • BICA normally sends a Courtesy Notice.
    • Notice to Owner (Prior to Performance):
      • This notice is optional.
      • If you are able to get your job information to BICA well before your first delivery date, we can send the Notice to Owner, which must be sent prior to your first delivery on the job.
        • It gives a supplier rights to a “full price” lien instead of only rights to the unpaid balance still owed by the owner to the contractor.
          • This benefit does not appear to apply to subcontractors (unless working directly with owner) but only to a supplier.
          • This benefit can be negated if the owner responds to the notice stating that he will not be responsible for the price of materials.
        • If sent, the Notice to Owner (Unpaid Balance) will not be required before filing a lien.
      • While there are clear benefits to sending this notice, the statutory wording of the form states that “And there will become due to the undersigned on account thereof the price of said material, for the payment of which the undersigned will claim a lien.” Because of concerns how the statement that a lien will be claimed may affect customers, many companies choose not to send this notice.
      • This notice is available on the BICA member portal.
  • Follow-up Notices (if not paid):
    • Notice to Owner (Unpaid Balance):
      • Required to be sent to the Owner before filing a Statement of Lien.
      • This notice only applies to the amount still owed by the Owner to the Contractor on the job at the time the notice is delivered.
      • Generally a lien must be filed within 4 months of last delivery.
      • Since the claim is limited to the unpaid balance owed by the Owner, sending this notice sooner rather than later is advisable.
      • This notice is available on the BICA member portal.

RESIDENTIAL:

  • Same handlings as for Commercial jobs.

PUBLIC:

  • Upfront Notice:
    • BICA sends a Courtesy Notice.
  • Follow-up Notice:
    • Notice to Surety:
      • Required to be sent at least 45 days before filing suit on the Bond.
        • Suit must be filed within one year of project completion.
      • This notice is available on the BICA member portal.

Throughout our site you can find more resources on the process of filing mechanic’s liens and preliminary notices. If you’re ready to get started, be sure to reach out to us on our contact page, or call us at (800) 722-2422.