Andrew P. Stafford of Lamb McErlane. Courtesy photo Pa. Supreme Court Warns Contractors: Perfect Your Mechanics' Liens
The court held that an unperfected mechanics' lien may be stricken at any time, even after a trial to obtain judgment on the lien has concluded.
May 24, 2021 at 12:58 PM
6 minute read
On April 29, the Pennsylvania Supreme Court decided an issue of first impression in Terra Firma Builders v. King (15 MAP 2020): whether time limits exist to object to unperfected mechanics' liens. The court held that an unperfected mechanics' lien may be stricken at any time, even after a trial to obtain judgment on the lien has concluded.
The mechanics' lien procedure is a way for contractors to recoup money they are owed. If a contractor is not paid for providing labor or materials, the contractor can obtain a mechanics' lien on the improved-upon property that acts as security for the amounts owed. To perfect (or make effective) a mechanics' lien, Section 502 of the Mechanics' Lien Law of 1963, 49 P.S. Section 1101, et seq. (the law), requires three steps: file a mechanics' lien claim within six months after the work's completion; serve written notice of the claim on the property owner within one month after filing; and file an affidavit of service of notice, or acceptance of service, within 20 days after service. Once perfected, a contractor has two years from the date the claim is filed to commence an action to obtain judgment on the claim.
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