Iowa Mechanics Lien-Be Informed

Are you familiar with the changes made to Iowa’s Lien Law within the past year? If you have questions about filing an Iowa Verified Mechanics Lien, you have come to the right place. Here at CRM Lien Services, we like to ensure that you are informed about the laws concerning your business and payment for projects completed.

Last year, Iowa made significant changes to the Mechanics Lien filing process. Starting January 1, 2013, Iowa changed the way contractors, suppliers, and materialman file Mechanics Liens and other notices. Instead of filing a Verified Mechanics Lien with the local county clerk, claimants are required to file their Mechanics Liens and related notices through the Mechanic’s Notice and Lien Registry (MNLR), an online, centralized filing system for posting notices and Verified Mechanics Liens.

In addition to the new filing system, Iowa introduced new notice requirements and statutes for establishing who is entitled to Mechanics Lien Protection under Iowa’s Lien Law. To help clear up some of the confusion brought about by these changes, we have created a quick guide to help you familiarize yourself with Iowa’s Lien Law and the notices required of the Lien Claimant.

Verified Mechanics Lien

If you recently worked on or provided materials for a construction project in Iowa and failed to receive payment for your services, you may be eligible to file a Verified Mechanics Lien. A Verified Mechanics Lien is a way for you to reclaim the amount owed to you; however, in order to preserve your Lien Rights, you must adhere to the deadlines and requirements set forth in Iowa’s Lien Law. In Iowa, a Verified Mechanics Lien must be Filed, Served and Recorded within 90 days from the last date of furnishing of labor and/or materials to the project.

Materialmans Notice

A Materialmans Notice functions similarly to a Verified Mechanics Lien; however, it is filed by subcontractors who work for the General Contractor and supply lumber, plumbing supplies and other materials to the construction site. This notice is usually filed only if the materialman has not been paid. In a typical scenario, the materialman is required to provide the Contractor or Property with advanced notice that he or she intends to file a Mechanics Lien (this is where the Materialmans Notice comes into play). If the Lien is not filed within a specific period of time after the delivery of the materials or supplies, the Mechanics Lien will be invalid.

To further preserve their Lien Rights, some suppliers even send a Materialmans Notice every time they deliver supplies or materials to a construction project. This, however, is not required to maintain your Lien Rights.

Notice to Owner

General Contractors are required to provide the Property Owner with a Notice to Owner at the outset of the project in order to preserve their right to file a Verified Mechanics Lien. The Notice to Owner states that the subcontractors providing labor and/or materials to the project may enforce a Verified Mechanics Lien upon the improved Property if they are not paid (even if they are not in a contractual agreement with the Property Owner).

Notice of Commencement

The final notice anyone filing an Iowa Verified Mechanics Lien should be aware of is the Notice of Commencement. A General Contractor who has contracted with a subcontractor to provide labor and/or materials to the property is required to post a Notice of Commencement of work. In order to be valid, this notice must be Filed and Posted within 10 days of the work beginning.

Keep in mind that this guide is not meant to be an extensive explanation of the Iowa Lien Law but a general summary of your Lien Rights under the law. To fully comprehend your Lien Rights, hire a Preliminary Notice and Mechanics Lien Service to prepare and serve your Materialmans Notice, Preliminary Notice, Verified Mechanics Lien, Notice to Owner and other notices. Using such a service will ensure that the proper research is performed so you don’t have to forfeit your Iowa Lien Rights to due any faulty or misinformation.

CRM Lien Services will thoroughly research and verify all of the information included in your Iowa Verified Mechanics Lien, Materialmans Notice, Preliminary Notice, and Notice to Owner so your Lien Rights are fully protected. We stay current with the changes to the Iowa Lien Law so your notices are prepared according to the latest statutes.

If you’d like to request a proposal for our services: Funds-Trapping-Notice-Texas

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