Claim of Lien by Contractor as Corporation
Note: This summary is not
intended to be an all inclusive discussion of Oklahoma's construction or
mechanic's lien laws, but does include basic provisions.
What is a construction or mechanic's lien?
Every State permits
a person who supplies labor or materials for a construction project to
claim a lien against the improved property. While some states differ
in their definition of improvements and some states limit lien claims to
buildings or structures, most permit the filing of a document with the
local court that puts parties interested in the property on notice that
the party asserting the lien has a claim. States differ widely in
the method and time within which a party may act on their lien. Also
varying widely are the requirements of written notices between property
owners, contractors, subcontractors and laborers, and in some cases lending
institutions. As a general rule, these statutes serve to prevent
unpleasant surprises by compelling parties who wish to assert their legal
rights to put all parties who might be interested in the property on notice
of a claim or the possibility of a claim. This by no means constitutes
a complete discussion of construction lien law and should not be interpreted
as such. Parties seeking to know more about construction laws in
their State should always consult their State statutes directly.
Who can file a lien in this State?
Any person who shall,
under oral or written contract with the owner of any tract or piece of
land, perform labor, furnish material or lease or rent equipment used on
said land for the erection, alteration or repair of any building, improvement
or structure thereon or perform labor in putting up any fixtures, machinery
in, or attachment to, any such building, structure or improvements; or
who shall plant any tree, vines, plants or hedge in or upon such land;
or who shall build, alter, repair or furnish labor, material
or lease or rent equipment used on said land for buildings,
altering, or repairing any fence or footwalk in or upon said land, or any
sidewalk in any street abutting such land, shall have a lien upon the whole
of said tract or piece of land, the buildings and appurtenances.
Any person who shall furnish any such material
or lease or rent equipment used on said land or perform such labor as a
subcontractor, or as an artisan or day laborer in the employ of the contractor,
may obtain a lien upon such land, or improvements, or both, from the same
time, in the same manner, and to the same extent as the original contractor,
for the amount due him for such material, equipment and labor;
and any artisan or day laborer in the employ of, and any person furnishing
material or equipment used on said land to, such subcontractor may obtain
a lien upon such land.
How long does a party have to file a lien?
A contractor must file a lien statement within
four (4) months after the date upon which material or equipment used on
said land was last furnished or labor last performed under contract.
A subcontractor or other party must file a lien
statement with the county clerk of the county in which the land is situated,
within ninety (90) days after the date upon which material or equipment
used on said land was last furnished or labor last performed under such
subcontract.
What kind of notice is required prior to filing
a lien?
Contractors are required to
provide the property owner with a form notice advising the property owner
of his rights regarding liens.
Are liens assignable?
Oklahoma statutes on
construction liens do not specifically speak to whether liens may be assigned
to other parties.
Does this State require or provide for a notice
from subcontractors and laborers to property owners?
Yes. Oklahoma
law requires the contractor to send the owner of an owner-occupied dwelling
a Notice to Owner of certain lien rights in order to clam a lien.
In addition, a party seeking to claim a lien for equipment that was rented
or leased to the project must have provided the owner with a notice to
that effect within five days after the equipment was rented or leased.
Does this State require or provide for a notice
from the property owner to the contractor, subcontractor, or laborers?
Yes. Property
owners are permitted to demand in writing that the contractor provide them
with a lien waiver from every person providing labor or materials.
The property owner may also demand a list of all parties who have provided
labor or materials for the purposes of determining if those parties have
been paid.
Does this State require a notice prior to starting
work, or after work has been completed?
No. Oklahoma statutes
do not require a Notice of Commencement or a Notice of Completion as required in
some other States.
Does this State permit a person with an interest
in property to deny responsibility for improvements?
No. Oklahoma statutes
do not have a provision which permits the denial of responsibility for
improvements.
Is a notice attesting to the satisfaction of a
lien provided for or required?
No. Oklahoma statutes
do not provide for or require that a lien holder who has been paid produce
or file a notice to that effect.
Does this State permit the use of a bond to release
a lien?
Oklahoma law does not have a provision under which a lien could be released
through the filing of a bond.
