By Mary Howard


When a company owes you money, or you owe it money, it is essential to know the processes you should follow to protect your business. Knowing the procedures that are followed when filing claims or releasing claims that have been filed against you is essential to protect your business. This is critical in all companies, especially the construction industry. There are several NY Lien Services that all construction companies should know about. Continue reading to know more concerning these types of claims.

All construction projects are important, from the biggest to the smallest one. Therefore, the processes, procedures, and protocols that these companies go through are the same. The paperwork involved should be current and organized. Also, all parties involved, including contractors and suppliers, should be paid in time. Thus, many providers offer lien services to make sure that all stakeholders are protected.

This form of assistance or service is usually divided into five common parts. All five parts are important in the construction industry. Hence, suppliers, contractors, and project owners must be aware of all of them and their roles. When all the parties are aware of this, they will know the kind of service they will ask for if need be.

A preliminary notice is a service that is designed for the owner of the property. It is usually provided to the property owners to notify or remind them of certain assistance. For example, they will be notified and reminded that a specific contractor or a supplier can offer certain services. These include materials, equipment as well as labor to remove, repair, or remodel some parts of the property.

Mechanic notices are also among the five essential notices. They can be served for real properties as well as personal properties. The name of this kind of notice depends on the property type. This notice is often placed on property titles. It usually indicates the interest of a certain investor or buyer on the property. The investor thus needs the claim placed on the property to be released. This notice is essential for property owners and contractors.

The third option is called the stop notice service. This notice is usually made by the supplier or a contractor on a specific construction project. This notice indicates the supplies or materials that were provided, or are going to be provided to the project owner. The cost of the project and the amount paid already are indicated.

A bonded stop notice is the fourth service. This is meant to benefit the general contractor or the property owner. This notice may look like a regular stop notice. However, the difference is that it is given with a bond of about 125 percent of the claim. This notice ensures that the original contractor or owner have been covered if damages occur.

The fifth notice is called the miller act. This notice is designed for federally funded projects. If a certain contractor has not been paid for his labor or materials, he can file the miller act claim. This ensures that the contractor has been paid what the federal project owes him.




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