James T. Anest P.C.
Attorney's At Law
James T. Anest P.C.
11020 Pikes Peak Dr. #210
Parker, Co 80138
P: (303) 841-9525
F: (303) 841-0881
Mechanic's & Materialman Liens
The purpose of the mechanic’s lien statute is to benefit and protect persons who
supplied labor, materials, or services in order to enhance the value or the condition of
another’s property. This area of law is very complex and it is recommended that legal counsel should be sought. The time frame in which to file a mechanics lien is important. A lien statement for labor and work by the day or piece, but without furnishing
laborers or materials must be filed for record after the last labor for which
the lien claimed has been performed and at any time before the expiration of two
months next after the completion of the building, structure, or other
improvement.. Except where the time for filing a lien statement has been
extended as allowed by provisions of the Colorado Revised Statutes. All other lien statements must be filed for record at any time before the
expiration of four months after the day on which the last labor is performed or the
last laborers or materials are furnished by the lien claimant The idea of such lien statements and lien filings is to preclude unjust enrichment. Labor and materials have gone into the property of another and made it more
valuable, so that, when the owner is called upon to protect his property from a lien
by paying for the labor or material, he is but paying for something that he has
received. Value has been created by labor performed upon and material
incorporated into the property or consumed directly in its improvement, and he who
has furnished such labor or material has added to the value and is given a lien to the
extent of the addition he has made.164 A blanket lien may not be enforced against
fewer than all of the properties in the absence of some showing of proper
apportionment. The right to a mechanic’s lien is wholly a creature of statute A claimant may
choose to file a lien against, and to recover the entire debt from, a single property,
even though multiple properties are benefited under the same contract, if the value
of the work cannot be apportioned among the properties, so long as the debtor holds
the sole interest in all of the properties benefited under the contract.167 Such singleproperty
lien is not a “blanket” lien.168 The statute cannot be extended or restricted
by the acts of contracting parties.169 Although all 50 states recognize some form of
mechanic’s lien, the statutes have significant differences. Thus, in interpreting the
Colorado mechanic’s lien law, cases from other jurisdictions should be approached
with caution.
The mechanic’s lien statute is to be liberally construed as to its remedial
portion, but must be strictly construed in determining the question whether the right
to a lien exists. Thus, where the inquiry is whether a person asserting a lien has complied or is entitled to such a remedy, the compliance by the person seeking the lien is strictly construed. The idea is that the person seeking the advantage of such a remedy must have strictly and for the most part exactly complied with it.
OVERVIEW: Mechanic’s lien laws in Colorado are controlled by the provisions of the General Mechanic’s Lien law provisions starting with section 38-22-101 et seq. The right to a mechanic’s lien is wholly a creature of statute. The purpose of the mechanic’s lien statute is to benefit and protect persons who supplied labor, materials, or services that enhanced the value or the condition of another’s property. All 50 states recognize some form of mechanic’s lien; the statutes from each state have significant differences. This area of law is very complex and it is recommended that legal counsel should be sought for further explanation. This section contained in this summary is very brief and not exhaustive of all the nuisances of the statutes that control lien law.
THE TIME FRAMES: The time frame in which to file a mechanics lien is important. If you miss it, your rights may have lapsed. For example as to those that provide labor-A lien statement for labor and work by the day or piece, but without furnishing laborers or materials must be filed for record after the last labor for which the lien claimed has been performed at any time before the expiration of two months after the completion of the building, structure, or other
improvement. In all lien-filing time frames, before you can file the lien statement you must serve on the party that you are seeking the lien and the general contractor if one exists a notice of intent to file a lien. The service of the intent to lien must be served at least 10 days before filing the lien statement with the county clerk and recorder. Once again you need to review the statutes to make sure that you comply. Some provisions allow for an extension where the time for filing a lien statement has been extended as allowed by provisions of the Colorado Revised Statutes. All other lien statements must be filed with the appropriate clerk and recorder at any time no later than four months after the day on which the last labor is performed or the lien claimant furnishes the last laborers or materials. As mentioned at the beginning of this short summary, the idea of granting these types of lien rights is the concept of precluding unjust enrichment to the benefited party. An interesting factor to these types of disputes is that often the landowner may not even know about the lien claimant and has no direct contract relationship with the party that is attempting to file the lien against the property. A key attribute of the mechanics lien provisions is that there does not need to be a contract relationship, the whole concept being that so long as someone added value to the real estate that the claimant can maintain that he is entitled to filing such a lien. Labor and materials have gone into the property of another and made it more valuable, so that, when the owner is called upon to protect his property from a lien by paying for the labor or material, he is but paying for something that he has received. The consumer issue starts with the troubling problem that the landowner, household owner has already paid the contractor and now is sent a lien statement and is facing the possibility of a lien being filed against the landowner’s property. Value has been created by labor performed upon and material incorporated into the property or consumed directly in its improvement, and he who has furnished such labor or material has added to the value and is given a lien to the extent of the addition he has made. Many defenses are available to a property owner, but in all cases the exact nature of the lien claimant’s rights turn on the facts of each case. Colorado’s legislature provided important protections to residential units by providing that where payment to the contractor has been made that the lien rights of the subcontractor and material suppliers may have been defeated. Once again each case may have a different result as to how this provision may apply.
The mechanic’s lien statute is to be liberally construed as to its remedial portion, but must be strictly construed in determining the question whether the right to a lien exists. Thus, where the inquiry is whether a person asserting a lien has complied or is entitled to such a remedy, the compliance by the person seeking the lien is strictly construed and the deviation from the statutory requirements may very well defeat the rights to such a lien being filed. The idea is that the person seeking the advantage of such a remedy must have strictly and for the most part exactly complied with the statutory provisions.