Getting paid is getting harder. Only 5% of subcontractors in the U.S. construction industry get paid on time, according to the March 2026 construction payment statistics report by DocJoist, an online provider of construction documents.
The rest wait an average of 56 days after submitting a pay application. According to a 2024 report from Rabbett, a data aggregator, 82% of builders and contractors across the United States waited more than 30 days for payment in 2024 – up from 49% just two years earlier.
For large construction firms, slow payment is a cash flow challenge to be managed. For smaller contractors, subs and suppliers, waiting to get paid can put the entire business at risk.
Mechanics liens are one of the most powerful payment-recovery tools available to anyone who builds, installs or supplies materials. But they’re also among the most unforgiving. Any minor mistake in procedure can void the entire process and close the door on getting paid.
How Mechanics Liens Work
A mechanics lien allows anyone who hasn’t been fully compensated for contributing labor or materials on a property improvement to make a claim – not just against the party that owes the money, but against the title to the property itself.
A property with a recorded lien has a clouded title, meaning that it generally can’t be sold or refinanced until the lien is paid, bonded around or successfully contested in court.
It seems counterintuitive that a property owner can be held responsible for a debt it didn’t directly incur and may not even be aware of. But that’s what makes mechanics liens so effective.
If a general contractor isn’t paying subs – whether it’s due to legitimate disputes or anything else – the mechanics lien forces the property owner to get involved. That’s why the first step in filing a mechanics’ lien is almost always a preliminary notice: It alerts the property owner that subs and suppliers are on the job and gives the owner opportunity to monitor the payments that are (or aren’t) being made on its behalf.
In practice, mechanics’ liens tend to be resolved quickly because property owners and their lenders have strong incentive to clear the title. A small roofing subcontractor or framing crew has the same access to this remedy as a large general contractor.
Mechanics liens are regulated by state law, so the applicable details and deadlines vary depending on where the work is being done. Liens are filed at the county level, where property records are also maintained.
Public vs. Private Projects: A Critical Distinction
Mechanics liens only apply to private property – not public projects.
For work on public facilities, the equivalent protection comes through payment bonds. Under a federal law called the Miller Act, contractors must provide payment bonds for any contract worth more than $100,000. Subs and suppliers can file claims against these bonds.
Most states have parallel laws — commonly called “Little Miller Acts” — covering state and local public work. Bond claims come with their own notice requirements and deadlines that are entirely separate from lien rules.
3 Common Mistakes With Big Consequences
1. Not sending a preliminary notice
Many states require a preliminary notice — also called a “pre-lien notice,” “notice to owner,” “notice of furnishing” or “notice of right to lien.” It usually needs to be filed within a certain time frame after starting work; 20 or 30 days is common. This notice is a requirement for any contractor, sub or supplier to establish lien rights. Its purpose is to establish that you’ve begun working on a job.
Every state has its own version of the preliminary notice, with its own name, timeline and enforcement rules.
Small construction operators often skip this step. They may think they’re covered by their own contract with the GC; or they just don’t know it’s required; or it feels too adversarial at the very moment work is commencing.
In any case, if you don’t submit it on time under state guidelines where the work is being done, Construction Notice Services indicates you may be unable to claim any money earned more than 20 or 30 days before filing; or in the worst case, lose the right to file a lien at all.
2. Missing the filing deadline
Once contractual work is complete, if you don’t receive full payment, there is a hard deadline to record a mechanics lien with the county recorder. In some states, the deadline for filing is connected with the end of construction on the whole project. But more often, the deadline is between 60 and 120 days from “last furnishing” – the date when your own contribution to the project is complete.
This is another instance when it’s important to know the state law; the exact definition of what constitutes “last furnishing” can vary and can shift the deadline significantly.
But most jurisdictions offer no extensions, so a missed filing deadline usually results in permanent loss of the ability to file the lien.
3. Errors in the lien filing document
The lien must typically identify the property by legal description, the claimant, the amount owed, the party that owes it, and the dates of first and last furnishing. Errors in the property description or claim amount can invalidate the lien entirely. Some states require notarization; others don’t. Filing in the wrong county is another common error that can kill the chances of collecting unpaid monies.
Steps to Protect Yourself
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Build the filing of a preliminary notice into your project startup routine. Send it on every job, no matter what. If the job goes smoothly, it costs you nothing and offends no one.
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Record your “first furnishing” date for every job. This is when the clock starts for most notice requirements.
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Set a calendar reminder at “last furnishing” or project closeout tied to your state’s lien filing deadline. Don’t rely on memory.
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Read lien waivers carefully at every draw. Waivers signed at payment can inadvertently waive future lien rights on the same project.
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Know your state’s rules, or have a construction attorney you can call. A 30-minute consultation before a problem arises is much less expensive than what comes after.
Most jobs pay eventually pay out without incident. But lien rights function like insurance: they only work if you set them up before you need them. A preliminary notice sent on a job that pays out fine costs nothing. On the job that doesn’t, it’s the difference between collecting what you’re owed and absorbing the loss entirely.
Free Resources:
Downloadable guide to filing mechanics liens in each of the 50 states, from Levelset, a construction payment management service.
Detailed state-by-state requirements and deadlines, also from Levelset.
Miller Act explanation and bond requirements for public projects from Surety Specialist, a Florida-based construction bonding advisor.
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