How to File a Texas Mechanics Lien

Commercial Projects

Commercial Project: Hired by the Property Owner

  • Step 1

    Optional

  • Serve a Pre-Lien Payment Demand Letter

    If you have been hired by the Property Owner, or the Property Owner’s Authorized Agent, then you are not required to serve a Pre-Lien Notice before filing a Lien—you can go straight to Step 2 below and file the Lien.  However, if you believe sending a Pre-Lien Payment Demand Letter will prompt payment or if you are concerned that filing a Lien will negatively affect an ongoing business relationship with the Property Owner, then consider sending a Pre-Lien Payment Demand Letter before filing the Lien.  The Letter should demand payment and advise the Property Owner of your intention to file a Lien against the Property and a Lawsuit to foreclose on the Mechanics Lien, for breach of contract, fraudulent inducement to enter into a contract, violation of the Prompt Payment Act, and violation of the Trust Fund Statute, if the debt is not immediately paid.  The Lien Professor’s Mechanics Lien Kit includes a Pre-Lien Payment Demand Letter specifically drafted for this purpose.

  • Step 2

    Mandatory

  • Prepare and File the Mechanics Lien AFFIDAVIT

    Prepare the Mechanics Lien Affidavit and file it with the County Clerk’s Office where the Property is located by no later than the 15th day of the fourth month from: (1) the last month in which your contract was completed, finally settled, or abandoned; or (2) the last day of the month in which your contract was terminated in writing.  Learn what information must be included in the Mechanics Lien Affidavit.

    Exception for Constitutional Mechanics Lien

    If you were hired by the Property Owner or the Owner’s Agent, then you may also have a right to file a constitutional Mechanics Lien against the Property if your work affected the structure.  The type of work typically not covered by a constitutional Lien might include: (1) landscaping that does not affect the structure; (2) supplying or installing plant materials; (3) irrigation; (4) underground wells; (5) demolition; and/or (6) fencing.  Unlike a statutory Mechanics Lien, a constitutional Mechanics Lien can be potentially filed within up to four years after providing labor or materials to the Property or before the Property is sold to a purchaser who is not aware of the debt.  A constitutional Mechanics Lien is easily asserted by a simple paragraph in the statutory Mechanics Lien Affidavit or by way of its own independent Mechanics Lien Affidavit.  The Mechanics Lien Affidavits contained in The Lien Professor’s Mechanics Lien Kits include all of the necessary language to perfect a constitutional Mechanics Lien. a question about the Constitutional Mechanics Lien Exception.

    Warning

    The deadline to file a Lien is not extended if the 15th falls on a Saturday, Sunday, or legal holiday.  Therefore, if your deadline falls on one of these days, you must file the Lien Affidavit on the preceding business day for it to be timely.  Additionally, the Mechanics Lien Affidavit must actually be filed on or before the 15th, not simply placed in the mail or waiting at the Clerk’s office to be filed, otherwise it will be invalid.

  • Step 3

    Mandatory

  • Serve Notice of Lien Filing

    You must serve the Property Owner with the Mechanics Lien Affidavit by no later than the fifth day after filing the Lien.  Click here to learn more.

    Practice Pointer

    This is an excellent opportunity to once again demand payment from the Property Owner before incurring the expense of filing a Lawsuit to foreclose on the Mechanics Lien. The Lien Professor’s Mechanics Lien Kit contains a Cover Letter to Notice of Lien Filing that is drafted in the form of a strong Payment Demand Letter which notifies the parties of your legal rights and your intention to file a Lawsuit to foreclose on the Mechanics Lien if the debt is not immediately paid.

  • Step 4

    Optional

  • Serve a Pre-Foreclosure Payment Demand

    If you did not receive payment within 3-5 weeks of completing Step 3, you may need to file a Lawsuit.  However, before you do, consider serving the Property Owner with a Pre-Foreclosure Payment Demand Letter demanding payment and advising of your intention to retain counsel to file a Lawsuit to foreclose on the Mechanics Lien, for breach of contract, fraudulent inducement to enter into a contract, violation of the Prompt Payment Act, and violation of the Trust Fund Statute.  The Lien Professor’s Mechanics Lien Kit includes a Pre-Foreclosure Payment Demand Letter specifically designed for this purpose.

  • Step 5

    Mandatory

  • File a Lawsuit to Foreclose

    You are not required to file a Lawsuit simply because you filed a Lien.  However, if you do not file a Lawsuit to foreclose on the Mechanics Lien within approximately two years from the date that you filed the Lien, the Mechanics Lien will become invalid and unenforceable.  If you file a Lawsuit, you should also include a cause of action for breach of contract, violation of the Trust Fund Statute, and violation of the Prompt Payment Act.  If you prevail on your Lawsuit to foreclose on the Mechanics Lien, you will be entitled to recover your reasonable attorneys’ fees and costs.  Click here to learn more about having Lovein | Ribman, P.C. prepare and file a Lawsuit for you.

The Lien Professor’s Mechanics Lien Kit includes all of the Documents that you need to perform all of the above-referenced steps up until filing a Lawsuit. Alternatively, you can click here to learn more about having Lovein | Ribman, P.C. prepare the Documents or File a Lawsuit for you.