Submitting an Iowa preliminary notice is a practical method to ensure faster payments on construction projects. This notice serves as an informational document, typically provided to the property owner early in the construction timeline. If you’re handling preliminary notices in Iowa, it’s crucial to pay attention to every detail. Likewise, if you’re on the receiving end, understanding the notice and knowing how to respond is essential. 

Managing preliminary notices involves navigating numerous intricate rules and requirements, making it a challenge to stay compliant, accurate, and timely. Additionally, the process of preparing and managing these notices can be time-consuming, especially when juggling multiple projects or numerous stakeholders. Here’s an overview of the key rules and considerations for issuing preliminary notices in Iowa.

Key Takeaways

• Different Requirements for Project Types: Preliminary notice obligations in Iowa vary depending on the type of project and the contractor’s role. Residential and commercial projects each have specific requirements for who must send notices and when.
• Timeliness is Crucial: Meeting the statutory deadlines for sending preliminary notices is vital. Missing the deadline can result in the loss of lien rights or the ability to file claims on retainage or bonds.
• Accurate Documentation is Essential: Completing the preliminary notice form with accurate and thorough information is critical to ensuring your lien rights are protected. Errors or omissions can invalidate your ability to file an Iowa mechanics lien later.

Who Needs to Send an Iowa Preliminary Notice on Private Projects?

The notice requirements in Iowa vary based on the type of project and the mechanics lien claimant’s role.

Here’s a breakdown:

Residential Projects (1-2 Family Homes)

• Notice to Owner: Prime contractors must deliver this notice for residential jobs.
• Notice of Lien Rights: Subcontractors working on residential projects are required to send this notice.

Commercial Projects

• Sub-Subcontractor Notice: Any party supplying labor, materials, or services to subcontractors must issue this notice for commercial projects.

What’s the Deadline to Send an Iowa Private Preliminary Notice?

Residential Projects (1-2 Family Homes)

• Notice to Owner: This notice must either be part of the initial contract or sent separately within 10 days after work begins.
• Notice of Lien Rights: There’s no strict deadline, but sending it early is crucial, as lien rights only apply to labor or materials provided after the notice is issued.
  • Keep in mind, that this notice can only be sent after a Notice of Commencement (NOC) has been filed. If the owner or general contractor doesn’t file a NOC, the subcontractor may file one on their behalf before proceeding.
  • Additionally, under updated Iowa lien laws, these filings expire after two years. See Iowa Code § 572.34(12) for details.

Commercial Projects

• Sub-Subcontractor Notice: This must be sent within 30 days of the claimant’s initial provision of labor, materials, or services for the project.

What Information Is Required on an Iowa Preliminary Notice?

Residential Projects (1-2 Family Homes)

• Notice to Owner: This notice must be written in at least 10-point bold type and include the exact language specified in Iowa Code §572.13: “Persons or companies furnishing labor or materials for the improvement of real property may enforce a lien upon the improved real property if they are not paid for their contributions, even if the parties have no direct contractual relationship with the owner. The mechanics’ notice and lien registry provides a listing of all persons or companies furnishing labor or materials who have posted a lien or who may post a lien upon the improved property.”
• Resources:
  • MNLR Website: https://sos.iowa.gov/mnlr/index.aspx
  • Toll-Free Number: (888) 767-8683
  • Download a free Iowa Notice to Owner form here.
• Notice of Lien Rights: This notice should include the following details:
  • Owner’s name
  • MNLR number (from the NOC)
  • Claimant’s contact information (name, address, phone)
  • Prime contractor’s name
  • Property address
  • Legal property description
  • Date of first labor or material supply
  • Tax parcel ID number

Commercial Projects

• Sub-Subcontractor Notice: At a minimum, this notice must include:
  • Claimant’s name, address, and phone number
  • Hiring party’s name
• Additional Details: Including the project address, a description of the work or materials supplied, and other identifying information is highly recommended.

Who Do I Need to Send Preliminary Notice to in Iowa?

Residential Projects (1-2 Family Homes)

• Notice to Owner: This notice must be delivered directly to the property owner.
• Notice of Lien Rights: This must be registered with the Iowa Mechanics Lien Notice and Lien Registry (MNLR). While the registry is responsible for forwarding a copy to the property owner, it’s advisable for the claimant to personally send a copy as an extra measure to guarantee receipt by the owner.

Commercial Projects

• Sub-Subcontractor Notice: This notice must be issued to either the property owner or the owner-builder overseeing the project.

How Should an Iowa Preliminary Notice Be Sent?

Residential Projects (1-2 Family Homes)

• Notice to Owner: This notice can either be incorporated into the construction contract or delivered directly to the property owner via personal service or certified mail with a return receipt requested.
• Notice of Lien Rights: This must be submitted electronically through the Iowa Mechanics’ Notice and Lien Registry (MNLR). While optional, sending a copy to the property owner using certified mail with a return receipt is highly recommended for added assurance.

Commercial Projects

• Sub-Subcontractor Notice: Although no specific delivery method is mandated, using certified mail with a return receipt requested is widely regarded as a best practice.

Is an Iowa Preliminary Notice Considered Served When Sent or When Delivered?

Notices are deemed delivered once they are uploaded to the online mechanics lien registry, served in person, or sent through the mail.

What If I Send an Iowa Preliminary Notice Late on a Private Project?

Residential Projects (1-2 Family Homes)

• Notice to Owner: Not providing this notice results in the prime contractor losing their mechanics lien rights entirely.
• Notice of Lien Rights: While a late notice is still valid, it only protects lien rights for labor or materials supplied after the notice is served.

Commercial Projects

• Sub-Subcontractor Notice: Missing the required deadline to send this notice eliminates the claimant’s ability to enforce lien rights.

Who Needs to Send an Iowa Preliminary Notice on Public Projects?

In Iowa public projects, parties without a direct contract with the general contractor must submit a Notice to Contractor to safeguard their right to file a bond claim or a claim on retainage.

What’s the Deadline to Send an Iowa Public Preliminary Notice?

An Iowa Notice to Contractor must be delivered within 30 days from the claimant’s initial provision of labor, materials, or services to the project.

What Information Is Required on an Iowa Public Preliminary Notice?

The Iowa Notice to Contractor for public projects must include the following:

• Claimant’s contact details (name, address, phone number)
• Name of the hiring party

While not mandatory, it’s advisable to include additional details such as the project address and a description of the labor or materials provided.

How Should an Iowa Preliminary Notice Be Sent on Public Projects?

Iowa law does not specify the exact method for sending notices. However, it is considered best practice to use a delivery method that offers proof of dispatch or receipt, such as certified mail with a return receipt.

What If I Send an Iowa Preliminary Notice Late on a Public Project?

If the Notice to Contractor is not sent within the required timeframe, the claimant loses the right to file a bond claim or a retainage claim.

About Iowa Preliminary Notices

In Iowa, the requirements for preliminary notices vary based on the type of project and the contractor’s position. While all involved parties may be required to send a preliminary notice, the deadlines and details differ.

Prime contractors working on owner-occupied residential properties must send a preliminary notice to the property owner, identifying the subcontractors and suppliers involved.

Subcontractors and laborers on these residential projects are also required to notify the owner when beginning their work.

For non-owner-occupied residential projects, preliminary notice obligations typically apply only to second-tier subcontractors and suppliers.

How to Send Preliminary Notice in Iowa?

Download the Correct Notice Form

In Iowa, the type of notice you must send depends on your role in the project.

• Prime contractors working on owner-occupied residential properties must send a notice to the property owner.
• Subcontractors need to notify the owner when providing labor or materials.
• Sub-subcontractors on non-residential projects must send a notice to the prime contractor.
• Suppliers of materials must notify the owner on residential projects and the prime contractor on non-residential projects.

Complete Your Notice Form

Be thorough! Accuracy is critical. Carefully fill out the notice form to ensure all the details are correct. An error on your preliminary notice could invalidate your ability to file a mechanics lien later, so double-check the information provided.

Submit Your Preliminary Notice

The method of delivery depends on the type of notice you are sending.

• A prime contractor’s notice to an owner-occupier on a residential project can be included in the original contract or sent via certified mail.
• Subcontractors typically submit their notice through the Iowa mechanics lien registry website.
• A sub-subcontractor’s notice for commercial projects is generally sent by mail, often using certified mail with a return receipt requested.

Be sure to send or submit your notice within the required deadline to maintain your mechanics lien rights.

Get in Touch 

Navigating the requirements for preliminary notices in Iowa can be complex, but it plays a crucial role in protecting lien rights and ensuring timely payments on construction projects. Whether you are a prime contractor, subcontractor, or supplier, understanding your obligations and adhering to the necessary deadlines is essential. 

By accurately completing and submitting the appropriate notice, you safeguard your ability to file a mechanics lien or bond claim when needed. Staying informed about Iowa’s specific notice procedures and deadlines will help you avoid costly mistakes and maintain your legal rights throughout the project.

At CRM Lien Services, we have been serving customers across the country with required reference documentation for lien claims since 1986. We provide expert guidance, helping contractors and suppliers safeguard their payment rights through seamless and timely preliminary notice and lien filings. 

We have a wealth of expertise, are licensed and insured, and have a team of highly knowledgeable document processors. If you’re looking for a straightforward process for filing a preliminary notice and mechanics lien, give us a call or shoot us an email.