How Do I File a Subcontractor's Lien in Georgia?

Full Question:

as a subcontractor, we provided material,fabricated in FL, delivered to job site in GA, General Contractor is based in FL, working on the jobsite in GA. How do we file a Notice to Owner, what lien laws apply?
06/09/2011   |   Category: Contractors ยป Construction...   |   State: Florida   |   #24996


If the property you wish to place a lien on is in Georgia, Georgia lien law will apply. In Georgia, the lien must be filed within three (3) months of the last time the person or entity claiming the lien worked on the property or within three (3) months of the last time materials were delivered to or installed upon the property. OCGA Section 44-14-361.1(a)(2).

Near the end of the project, the general contractor may be required to give the owner a special affidavit which states that all subcontractors and suppliers have been paid. The owner is entitled to rely on this document. If there is a statement that all such persons have been paid, then you might be precluded from recording your mechanic’s lien because the owner had a right to rely on that statement. However, if you have sent out your Preliminary Notice of Lien, this alerts the owner to your presence, and it would have to make sure that you were paid before relying upon in that general contractor’s affidavit. If the owner or general properly files a Notice of Commencement, sub-subcontractors and suppliers to subcontractors are required to give a Notice to Contractor.

The owner can cut off potential lien rights by getting the general contractor to fill out a sworn statement by affidavit that all labor, services, and material have been paid for and there are no outstanding claims. However, if you have filed either your mechanic’s lien or preliminary notice, you are protected (especially if such an affidavit is incorrect). That is one of the reasons for filing the Preliminary Notice of Lien Rights.

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