What is the process for filing a lien if payment is not received for construction work?

In Texas, filing a lien if payment is not received for construction work is known as a mechanic’s lien. To file a mechanic’s lien, the party doing the work (the “lien claimant”) must first send the owner of the property a “Notice to Owner” prior to the completion of the work. This notice must include the name and address of the lien claimant, a description of the work being performed, and the amount due for the work. The lien claimant then has four months to file a “Notice of Lien” with the county clerk in the county where the property is located. This document must include the same information as the Notice to Owner, as well as the date of the lien and the amount owed. A copy of this notice also must be sent to the property owner. The owner has 30 days to dispute the lien. If the lien is not disputed, the lien claimant then has an additional 90 days to file a “Claim of Lien” with the district court in the county in which the property is located. At this point, a hearing will be held so the court can determine if the lien claimant is entitled to payment. If the court decides in favor of the lien claimant, the property owner must pay the lien claimant the amount due within 30 days. If the court decides in favor of the property owner, the lien must be released.

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