Any subcontractor or sub-subcontractor who provides work under a written or an oral agreement can file a bond claim to secure payment on unpaid labor or supplied materials on a public project.
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Also known as Pre-Lien Notice, Second Month Notice Letter, Third Month Notice Letter or Notice Letter, a Pre-lien Notice Letter is a notice that Contractors, Subcontractor and Sub-subcontractors and Suppliers are required to send to the construction project owner and general contractor to establish the right to file a lien in the event of non-payment. The purpose of these notices are to inform the owner that a subcontractor has performed work or supplied materials that have not been paid. By giving notice, the project owner is allowed to retain payment from the general contractor. These notices are bound by specific deadlines depending on the type of construction project and type of contractor. However, it is recommended that subcontractors send notice as soon as the amount owed is due so the project owner can withhold the debt amount prior to releasing the payment to the general contractor.
The legal description is a record of the real property (piece of land) that contains information that clearly identifies it such as property dimensions and boundaries. This description can be written in a few different forms and will typically appear on sales contracts and the property deed. If it is not printed in the contract or blueprints, it can be found in the “Property Search” section of each individual county. Instructions on how to find the legal description of a property
The cost to have Texas Easy Lien notarize and file your document with the county is $73.00 (this cost is in addition to your original document preparation cost). This amount covers the filing fees charged by the counties, as well as notary charges.
It is recommended to send notice for every month you perform work in the event of non-payment. Since the deadlines in Texas laws are strict and relatively narrow. It is very important for Subcontractors and Sub-subcontractors (1st and 2nd Tier contractors) to send notice of outstanding invoices for each month as soon as possible to protect their right to file a lien claim. It is a low cost letter that could prevent expensive litigation costs in the future.
A “Commercial Project (Private)” is any construction project that is not a residential project such as an office building, hospital, church, or store. This definition may include the construction of a tract home or multi family or condominium buildings. • Office Building • Apartment Complex • Duplex • Fourplex • Store • Car Dealership • Church • Spec Home • Subdivision Construction • Coffee Shop • Medical Complex/Hospital Other examples of commercial projects include: tract or pre-designed (spec) homes, apartments, condominiums that have not yet been purchased, dormitories, hotels, nunnery, nursing homes, assisted living, and other living space which is not actually owned by the person who is going to occupy it.