Is your Nevada-based construction business needing to file a Claim of Lien? If so, it’s important to be aware of and understand the provisions included in the Nevada Lien Law. Many businesses often overlook small but critical components which are required by the Nevada State Statute for filing a Claim of Lien. As a result, they find their efforts compromised and their lien rights unenforceable.
Keeping current with Nevada’s Lien Law is important to the success of your Claim of Lien. A specialized Lien Service provider, such as CRM Lien Services, can help you navigate the processing details and take all of the steps required for the filing a valid Claim of Lien. We receive questions daily regarding the Nevada Lien Law and would like to present a few facts you may benefit from, prior to filing your Nevada Claim of Lien.
Under the Nevada Lien Law, Lien Rights are granted to all who participate in the improvement to real property.
When it comes to who has the right to file a Claim of Lien in Nevada, Nevada’s laws are more comprehensive than most states. According to the provisions detailed in the law, any party providing labor and/or materials valuing over $500 has the right to file a Claim of Lien. This includes contractors, subcontractors, suppliers, architects, surveyors, engineers, geologists, and even consultants.
Under the law, however, suppliers only have lien rights if the provided materials are actually used for the project. Additionally, if the claimant is required to be licensed in the state of Nevada for the work he or she performs, a Claim of Lien can only be filed if the claimant is properly licensed.
Notice of Right to Lien is Required
A Notice of Right to Lien must be properly served on the property owner AND general contractor within 31 days from the date that labor and/or materials are first provided. It’s important to note that all project participants must send this notice; the only parties exempt from this provision are those in direct contract with the property owner.
CONCERNING RESIDENTIAL PROJECTS IN NEVADA: Residential projects differ somewhat from commercial projects in Nevada. In addition to sending a Notice of Right to Lien within the first 31 days of providing labor and/or material, a Notice of Intent to Lien must be sent to the property owner 15 days prior to filing a Claim of Lien. This serves to extend the lien filing period by 15 days.
A Nevada Claim of Lien Must Be Filed in 90 Days
The Claim of Lien must be filed with the county recorder within 90 days of the project’s completion/termination or within 90 days of the date the claimant last provided labor and/or materials. It’s important to note, however, that if a Notice of Completion is filed, the claimant only has 40 days from the filing of the Notice of Completion to file a Claim of Lien (as opposed to the general 90-day rule).
A Copy of the Claim of Lien Must Be Provided to the Property Owner and General Contractor
The state of Nevada requires claimants to provide the property owner and general contractor with copies of the Claim of Lien in addition to recording it with the county recorder. Under the law, claimants are required to send a copy to both the property owner and general contractor via certified mail with a return receipt requested within 30 days from the date the Claim of Lien was filed.
Don’t risk your Lien Rights by trying to navigate the laws on your own – hire a Notice of Right to Lien and Claim of Lien Service to prepare and serve your Nevada Notices of Right to Lien and Claims of Lien. Here at CRM, we make it a point to familiarize ourselves with the Nevada Lien Law and seek legal counsel from Nevada attorneys as needed to ensure the proper upholding of the law.
CRM Lien Services will thoroughly research and verify all of the information included in your Notice of Right to Lien and Claim of Lien so your Lien Rights are fully protected. We stay current with the changes to the Nevada Lien Law so your notices are prepared according to the latest statutes.
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