What is considered a fraudulent lien in the state of Florida?
Full Question:
What is considered a fraudulent lien in the state of Florida?
05/02/2007 |
Category: Civil Actions ยป Liens |
State: Florida |
#3556
Answer:
Willfully exaggerated liens or liens prepared in a grossly negligent manner may be deemed fraudulent and unenforceable. The fraudulent lienor may also be liable to the owner for damages, costs, and attorneys' fees, and is potentially guilty of a third-degree felony. To avoid a fraudulent lien defense or a counterclaim, a lienor should ensure that its claim of lien is recorded timely, only includes the actual amount due for the materials and/or work provided (i.e. , liens are not allowed to include interest, costs, or attorneys' fees) and should be prepared in good faith with due care and be supported by the contract, change orders, and financial records.