The construction industry can be unpredictable regarding payments. Subcontractors are especially at risk of experiencing delays in payment, reduced payment amounts, or even non-payment because they are lower down the payment chain. Fortunately, mechanics liens provide subcontractors with a powerful legal remedy to help ensure they are compensated for the labor, services, or materials they provide. However, to take advantage of these protections, it is essential to carefully follow your state’s lien regulations.
Failing to meet key requirements—such as sending a preliminary notice on time or filing a mechanics lien before the deadline—can result in losing your lien rights entirely.
To help you stay compliant and protect your right to payment, this guide walks you through the mechanics lien process for subcontractors and outlines the most important rules and deadlines.
Understanding the Mechanics Lien Process for Subcontractors
Before getting into the details, it’s crucial to comprehend the general steps necessary for a subcontractor to file a mechanics lien.
- Send a Preliminary Notice – Most states require subcontractors to send a preliminary notice early in the project. This alerts the property owner, general contractor, and construction lender that you are working on the job and expect to be paid.
- Complete Your Work – Once your scope of work has been finished, you have the right to receive payment per your contract terms.
- File a Mechanics Lien If Unpaid – If you don’t receive payment, you can file a mechanics lien against the property within a certain timeframe.
- Enforce the Lien – If filing the lien doesn’t result in payment, you’ll need to enforce it through legal action before it expires.
Each step includes strict legal requirements and deadlines, and missing even one could invalidate your lien.
Preliminary Notice Requirements for Subcontractors
What Is a Preliminary Notice?
A preliminary notice—also called a “pre-lien” or “20-day notice” in some states—is a document that must be sent at the beginning of the project to protect your right to file a mechanics lien later. It notifies the property owner and other parties of your involvement in the project.
Who Must Send One?
If you are a subcontractor and do not have a direct contract with the property owner, you are generally required to send a preliminary notice. This includes:
- Subcontractors
- Material suppliers
- Equipment rental companies
- Laborers
- Design professionals
General Contractors in AZ must send a preliminary notice and in CA, they may have to if a lender is involved.
When Should the Preliminary Notice Be Sent?
In most states like California and Arizona, the preliminary notice must be sent within 20 days of first providing labor or materials. If you send the notice late, your mechanics lien will only cover the work done within the 20 days before the notice was sent—and any earlier work may be unprotected.
How Should the Preliminary Notice Be Sent?
State laws vary, but preliminary notices often must be sent by certified mail, registered mail, or an overnight carrier. It’s crucial to retain proof of mailing to preserve your lien rights. CNS offers full mailing support, including proof of service and address verification, to ensure your prelims are compliant and accurate.
Mechanics Lien Deadlines for Subcontractors
If you’re not paid after completing your work, the next step is to file a mechanics lien. But you must act quickly—mechanics lien deadlines are strict.
Here’s a general overview using California and Arizona as examples:
In California:
- Without a Notice of Completion: Subcontractors have 90 days from project completion to file a lien.
- With a Notice of Completion: The deadline is shortened to 30 days from the date the notice is recorded.
In Arizona:
- You must file a lien within 120 days of project completion, unless a Notice of Completion is filed. In that case, you must file within 60 days of the notice.
To check if a Notice of Completion has been filed, CNS can assist you in monitoring and verifying these filings.
How to Determine “Project Completion”
Lien deadlines depend on when the project is considered legally “complete.” This can include:
- Final acceptance of the work by the property owner
- Substantial completion where the project is usable
- A continuous work stoppage for a specified number of days (e.g., 60 days)
- Filing of a Notice of Completion or Cessation
Enforcing a Mechanics Lien
Filing a lien does not guarantee payment. If the property owner or GC doesn’t respond, you may need to file a lawsuit to enforce the lien—also known as foreclosure.
In California:
- You must enforce your lien within 90 days of recording it.
In Arizona:
- Enforcement must occur within 6 months of recording the lien.
If this deadline passes, your lien becomes unenforceable. The property owner may demand you release it—and if you don’t, they can file a lawsuit against you.
Common Subcontractor Mistakes
Subcontractors frequently make errors that can cost them their lien rights. Here are a few to avoid:
- Skipping the Preliminary Notice
Many subcontractors assume their contract with a GC is enough. It’s not—most states still require a preliminary notice to preserve lien rights. - Missing the Filing DeadlineLien deadlines vary depending on whether a notice of completion was filed. Know your state’s rules or risk losing your lien rights.
- Incomplete or Incorrect InformationMechanics’ liens must be filled out and filed correctly. Missing or incorrect information can make your lien invalid.
How CNS Can Help
At CNS, we specialize in mechanics lien and preliminary notice services tailored to subcontractors. Our team can help you:
- Prepare and send compliant preliminary notices
- File mechanics liens with the correct information and on time
- Verify mailing addresses and project details
- Monitor for recorded notices of completion
- Refer you to legal counsel for lien enforcement
With over 41 years of experience, CNS takes the guesswork out of lien compliance so you can focus on your projects—not paperwork.
Conclusion
Mechanics liens are one of the most effective tools available to subcontractors for securing payment—but only if you follow the rules. To protect your rights, always:
- Send a preliminary notice early in every project
- File your mechanics lien within the proper legal timeframe
- Enforce your lien before it expires
Navigating mechanics lien laws can be complex, but you don’t have to do it alone. CNS is here to help you every step of the way.
Need help filing a lien or sending a preliminary notice?
Contact CNS today at 800-366-5660.
Disclaimer: CNS is not a law firm. If you require legal advice, please consult an attorney.