Bond or Lien Claim-Public Work

Warning: All information contained within this data base is subject to change at any time by the various states and is not guaranteed in any way by FWM Software. Nor does FWM Software assume any liability or responsibility for it's content. Please use in conjunction with advice from your attorney.

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.

Warning: Lien laws in Hawaii are very complex. We strongly urge you to consider using your attorney to enforce your claim and make sure these documents are filed in a proper and timely fashion.

Document Title: Notice of Claim on Bond and Lien for Public Improvement.

Scope: State of Hawaii, Public Works.

Time Constraints:Important: Performance and payment bonds are required for public jobs, 100% of the contract amount. Funds recovered are shared pro rata if they are insufficient to pay all claimants.

Serve copies of the Notice of Claim on Bond and Lien for Public Improvement on sureties, prime contractors and public entities by certified mail 2 months after (but within 4 months after) the completion and final settlement of the contract, unless the state has brought action to enforce the contract. In the latter case, you must intervene on the state claim. The state has an exclusive right to bring suit for enforcement of the payment bond within the first 2 month after completion.

You must also furnish a Notice of Suit to all known (if possible) creditors of the job and provide notice by publication in a newspaper of general circulation within the county where the project is located.

Perfection: To perfect your Lien Claim, you must file suit in the name of the state to enforce the bond claim against the surety after completion and final settlement of the contract, after 2 months, but no later than 4 months, after performance and final settlement.

The usual remedy is to file to enforce all claims in one suit (see below, Procedures). In any case, we strongly recommend that your attorney handle the enforcement actions to perfect your lien claims.

Information Requirements: Program information and information for Exhibits A-D and any additional costs as to legal fees, court costs and interest charges (don't pass these up. Estimate if necessary. In the case of Bond Claims, the public entities and sureties will reserve only the amount for which you make claim), and the county of the state where the recording will be made.

Form Types: Notice of Claim on Bond and Lien for Public Improvement, Notice of Suit and Exhibit's A-D, if needed.

Procedures: Prepare your documents using the required information. Serve the Notice of Claim on Bond immediately on the public entities, general contractors and sureties. Serve and publish Notice of Suit on all known creditors of the project. Suit may be filed after complete performance and final settlement of the contract, but no later than 4 months after performance and final settlement.

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