Ch3. Mechanics Lien Law Flashcards
A mechanics lien is limited to ________ works projects.
Private
A ____________ bond is also known as a labor and materials bond.
Payment
Saturdays, Sundays, and any day when the county recorder’s office is closed are considered ____________.
Holidays
_________ must be in writing.
Notices
You must have a receipt and tracking information as well as a
_________ of ___________________to show proof
Proof of Notice Declaration
If a notice must be posted, it is considered ___________ when it is displayed.
Served
A _____________________ tells the recipient that you are improving the property.
Preliminary Notice
Direct contractors must send a preliminary notice to ________________.
Construction Lenders
A preliminary notice must be served within __________ of starting work.
20 day
Subcontractors are required by law to file a preliminary notice if their share of the contract is more than _______.
$400
A preliminary notice for a public works contract must be sent to the ________________ and the public agency.
Direct Contractor
Material suppliers ______ allowed to file a mechanics lien.
Are
Manufacturers of materials _________ allowed to file a mechanics lien.
Are not
A mechanics lien takes effect when it is _______.
Filed
An owner may file a ________ to free the property from the lien.
Bond
The purpose of a ______________________ is to require the recipient to set aside money.
Stop payment notice
A direct contractor may file a stop payment notice if there is a _________________.
Construction lender
If you work on a __________ works job, you may be allowed to file both a mechanics lien and stop payment notice.
Private
If you perform work for __________________,
serve the stop payment notice on the director of the department that awarded the contract.
State of California
A stop payment notice bond may be required by __________.
Lenders
Subcontractors and suppliers benefit _______ from filing a claim against a payment bond.
Most
On a private works job, the owner must record a copy of the bond and the _________________ before work begins.
Original contract
A payment bond is ___________ on public works jobs.
Required
If you do not send a preliminary notice, you may still file a claim against a payment bond within ____________ after a notice of completion is filed.
15 days
A notice of nonresponsibility must be served by personal delivery, mailed, or express service carrier and must also be __________ and __________.
Posted and recorded
After a job is finished, an owner can file a notice of _____________ to shorten the time claimants have to file a mechanics lien or serve a stop payment notice.
Completion
A notice of ___________is an official declaration that work has stopped.
Cessation
You would sign an _____________ release when you have cash in hand.
Unconditional
The owner will ask for a __________________ if you fail to foreclose the lien.
Release of the lien
A mechanics lien will __________ unless a lawsuit to foreclose the lien is filed.
Expire
You must also file a _____________ after filing a lien foreclosure lawsuit.
Lis pendens
A payment-bond lawsuit is filed against the ____________________.
Bonding company
