As Orlando construction lawyers, we know that working in the construction industry can be risky business. Lack of payments and liens have become a source of frustration for owners and lienors alike. Failing to pay your contractors, or your contractor’s failure to pay their workers can lead to a construction lien on your property. It’s a trickle down effect you’ll want to avoid. This leads us to the importance of filing a Notice of Commencement. This notice is the first step in Florida’s Construction Lien law process. Read Part 2 of our article to learn more.
What is a Notice of Commencement?
When making improvements on a property that exceed $2500, filing a Notice of Commencement is one of the ways to protect yourself. The Notice of Commencement is a legal document that makes a project’s commencement known. In accordance with Chapter 713, of the Florida Statutes, it should provide detailed information to everyone working on a project. Be sure to provide the following information:
- Legal description of the property and complete address
- A description of what improvements will be made to the property
- Owner’s name and address
- If different from the owner, the identifying information of the fee simple titleholder
- The contractor’s information
- The surety’s information (including bond amount)
- The lender’s information
- Identifying information of the owner’s representative
- The Notice of Commencement expiration date
- Appropriate signatures
This information is vital because workers that provide labor and materials for the project rely on the information in the notice to file a Notice to Owner (also known as a preliminary notice) to secure their lien rights. Failing to provide complete and detailed information in the notice is a costly mistake.
Filing Timelines
The notice must be filed before a project begins, but no more than 90 days before a project begins. However, failing to begin the project within 30 days of recording the notice voids it.
To schedule a consultation with an experienced Orlando construction lawyer, please call us today.
