Bond or Lien Claim-Private Works

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 its content. Please 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.

Document Title: Notice of Claim of Lien.

Scope: State of Washington, Private Works.

Time Constraints: You must have served a Preliminary Notice on all required parties within the required time frames(residential or commercial) before you can establish lien rights in the State of Washington. Failure to do so negates your lien rights. See the State of Washington memo on Preliminary Notices, Private Works, for more information.

Lien: If you have not been paid in full, you must record your Notice of Claim of Lien with the county recorder’s office within 90 days, inclusive, of the completion, or cessation, of your work of improvement or supplying of material or services for improvement if no Notice of Completion, or Notice of Cessation, has been filed. Serve a copy of said notice on the owners and, if they exist, the general contractors, lenders and sureties.

Washington requires that an abbreviated description of the property be included in the text of the lien claim unless no abbreviated description exists (use a standard Exhibit 'A in this case). Add this information in the Property Description section (page #2) of any given Washington job. Same for a traditional Exhibit 'A'. At the minimum this description should describe the section, township, range quarter and quarter section of the property. It is also vital that you obtain the assessors parcel ID number for the property, too. If you supply this information, these items will start printing on the first page.

The owners must receive a copy of the attested (that is, stamped by the recorder's office) lien service upon them within 14 days of the lien filing with a copy of the Notice of Filing Lien.

If a Notice of Completion, or Notice of Cessation, has been filed by the owner, the time frame to file your claim reduces to 60 days.

A Legal Description of the property is required in the State of Washington, so you must either fill in the Property Description field on Page #2 of the entry screen or have the program create the page and replace it with your own Exhibit A.

The program auto formats lien documents to comply with Washington requirements.

Stop Notice: Lien Claimants who have not received payments for labor or materials previously furnished within five days after the date required by the contract or purchase order may within 35 days after said five day period file a written notice with the lender, with a copy to the owner and appropriate general contractor, stating the terms due and to become due for which a potential lien claimant may claim alien. While the funds will be held, such sums shall not be disbursed by the lender except by written agreement of the claimant, owner and general contractor, or by order of the court.

Perfection: To perfect your Lien, you must file suit to foreclose the lien within 8 months of recording. All necessary parties to the suit must be served within 90 days of the commencement of the suit.

Lien Bond: An owner can record a release bond before or after commencement of a suit for foreclosure.

Payment Bond: Where a Payment Bond has been provided by a surety, after you have filed your Lien file suit against the sureties within the time frames specified by the bond of the completion or cessation of your work.

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, any additional costs as to legal fees, court costs and interest charges (Do not pass these up. Estimate if necessary. In the case of Bond Claims, the lenders or 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 of Lien, Exhibit's A-D, if needed, Notice of Filing Lien, and Recorder's Letter.

Procedures: Serve your stop notice before all other claims if a lender exists. Otherwise, prepare your documents using the required information. Serve your lien claim upon the public entities, sureties and general contractors (your customer is optional). At this point you are ready to file suit to enforce all of your claims in one action. Note that the Stop Notice may be sent separately under the terms stated above. It is a very effective collection tool.

Created with the Personal Edition of HelpNDoc: Full-featured multi-format Help generator