Colorado Preliminary Notice, Private Work
Preliminary Notice-Private Work
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Note: This information is limited in scope and applies only to this document. Please see the general information, all forms memo, and the general information memo for this type of document, for additional information.
Document Title: Notice to Owner (Private Work)
Scope: State of Colorado, Private Work.
Time Constraints: While this notice is not specifically required by this state (See 'Important' below). Send any time after the start of furnishing labor, materials or equipment. File a Notice of Intent to Lien at least 10 days before recording a lien. See Colorado Lien Warning Notice, Private Work, for more information.
In C.R.S. 38-22-102(4), the Colorado statutes allow most parties protected by Colorado mechanic's lien law to file a this notice (except the principal contractor) that places a duty upon the person who contracted with the principal contractor to insure that payment has been made to the noticing party or to withhold sufficient funds to satisfy the amount set out in the notice and any lien that may be filed as a result of nonpayment.
The notice afforded by 38-22-102 is seldom used, perhaps because subcontractors and suppliers fear that placing an owner or other party on notice prior to a "problem" arising might, in some way, alienate them. Parties should carefully weigh the valuable benefits arising from the notice before casually dismissing its use.
Our Notice also includes the language for the disburser to provide all information on party payments, in part:
C.R.S. 38-22-126(2) provides that "It is the duty of the disburser, prior to the first disbursement, to see that there has been recorded in the office of the county clerk and recorder of the county where the land to be improved is situated, a notice (Notice by Disburser) stating the name and address of the owner, the names, addresses, and telephone numbers of the principal contractor, if any, and the disburser, and the legal description of the land and its address, if any.”
Information Requirements: The information required by the program.
Form Types: Preliminary Notice for Furnishing labor, Materials or Equipment.
Procedures: Enter the program data, including additional Legal Parties or Releases for Other Companies. Copies of all of the forms should be sent to the owner and general contractor, if any.
Important: This notice has no legal effect for this state except as an advisory to the parties involved in a job. It is not required nor necessary to the establishment of your lien rights.
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