The Bunker Hill Covered Bridge is a well-known historical landmark in Claremont, North Carolina, originally built in 1895. The bridge was damaged due to excessive rain, flooding, and erosion in the area, which prompted the Historical Association of Catawba County (the “Historical Association”) to hire NHM Constructors, LLC (“NHM”) to repair the bridge. A dispute arose between the parties, NHM filed a lien on the property, and subsequently filed a lawsuit, seeking payments from the Historical Association. The Historical Association alleges NHM is not owed additional payments because the costs exceeded the budget provided in NHM’s bid. The case will largely turn on the type of contract the parties executed…
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A PRIMER ON CONSTRUCTION LIENS
What is a Construction Lien? The construction industry is largely governed by contracts. A property owner contracts with a general contractor to make improvements to the real property; the general contractor contracts with subcontractors to perform the various tasks required to make such improvements (e.g., grading, bricklaying, etc.); the general contractor and/or the subcontractors contract with suppliers to haul materials and equipment to and from the job site. A mechanics’ lien (or construction lien) provides any party involved in the improvement of the real property with a means of collecting payment. This means of collection exists in addition to other remedies, such as breach of contract. As a…
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Five Questions About Construction Liens
Whether you are a home owner in the midst of a kitchen renovation, a business owner considering an office expansion, or otherwise involved in a construction project, it is important to understand who gets paid and when. By doing so, you may avoid a construction lien being placed on your property or, conversely, successfully use the lien statutes to ensure that you get paid for you work. What is a construction lien? Construction liens, also known as mechanic’s liens, are legal claims on real property, often used by builders, contractors, suppliers, or subcontractors who have not been paid…