Georgia does not require parties who have a direct contract with a property owner to provide a preliminary notice before they file a mechanics lien.
Georgia Mechanics Liens Guide and FAQs
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Georgia lien deadlines for:
In Georgia, claimants must file a mechanics lien within 90 days from last date of furnishing labor or materials to the project.
In Georgia, all lien claimants must initiate the enforcement of the lien within 365 days from the date on which the lien was filed. Within 30 days after commencing the action to enforce (within 395 days from the filing of the lien), the claimant must file a commencement of lien action notice with the clerk of the superior court of the county in which the lien was filed.
Liens cannot be extended in Georgia. If anyone fails to meet the enforcement deadline, their claim will expire and become unenforceable.
If a Notice of Commencement is filed, subcontractors and suppliers who didn't contract directly with the prime contractor must provide a Notice to Contractor to the owner and GC within 30 days of first delivering services or materials.
However, it is best practice for all sub-tier parties to provide notice on all projects, regardless of who hired them or whether a Notice of Commencement was filed or not.
In Georgia, subcontractors and laborers must file a mechanics lien within 90 days from last date of furnishing labor or materials to the project.
In Georgia, all lien claimants must initiate the enforcement of the lien within 365 days from the date on which the lien was filed. And, further, within 30 days after commencing the action to enforce (within 395 days from the filing of the lien), the claimant must file a commencement of lien action notice with the clerk of the superior court of the county in which the lien was filed.
Liens in Georgia cannot be extended. The failure to meet those deadlines will result in the lien expiring and the claim will no longer be enforceable.
Georgia Mechanics Lien FAQs
Who can file a Georgia mechanics lien?
Generally, anyone who furnishes labor, materials, or professional services for the improvement of private property, has mechanics lien rights in Georgia.
This includes contractors, subcontractors, material suppliers, laborers, registered architects, registered surveyors, registered professional engineers, machinists/manufacturers of machinery, and equipment lessors. Suppliers to suppliers do not have lien rights in Georgia.
Is a written contract required to file a mechanics lien in Georgia?
No, there is no specific requirement that construction contracts be in writing in order to be able to file a Georgia mechanics lien. However, it’s always best practice to get your agreements in writing to avoid any confusion or complications.
Can an unlicensed contractor file a Georgia mechanics lien?
No, if an entity must be licensed by Georgia law, that entity must have a license in order to have valid mechanic lien rights. But that’s not all, if the contractor’s work requires a license, and no such license is present, the unlicensed contractor will have no legal right to payment.
This won’t affect another party’s ability to lien. For example: If an unlicensed GC hires a properly licensed electrical contractor, then that GC may not be entitled to file a lien – but the electrical contractor’s lien rights would be unaffected.
• Learn how to get licensed: Georgia Contractor Licensing Rules & Requirements
Georgia court says unlicensed contractor has no legal right to payment
When is the deadline to file a Georgia mechanics lien?
The deadline to file a Georgia mechanics lien is no later that 90 days after the last date the claimant furnished labor and/or materials to the project.
• Learn more: What does the Date of Last Furnishing actually mean?
What information should be included in a Georgia mechanics lien?
A Georgia Claim of Lien is governed by Ga. Code §44-14-361.1, and must include all of the following information:
• Claimant’s name & address;
• Lien amount;
• Property description;
• Owner’s name;
• Last date of furnishing labor and/or materials to the project;
• The following statement in 12pt, bold font: This claim of lien expires and is void 395 days from the date of filing the claim of lien if no notice of commencement of lien action is filed in that time period; &
• Notice language to owner regarding the right to contest the lien.
Does a Georgia mechanics lien need to include a legal property description?
No. Georgia only requires that the property be described with enough detail to be identified. Nevertheless, it is advisable to be as specific and formal as possible with the description of the property.
Georgia’s courts are not afraid to very strictly interpret a mechanic liens contents, as made evident in a recent Georgia case where a lien was invalidated for a small typographical mistake.
• Learn more: Legal Property Description Search | A Complete Guide
Can attorney fees, collection costs, or other amounts be included in the lien amount?
Yes, but be careful. In 2013, Georgia amended its mechanics lien statutes to allow for certain types of charges to be included in a lien claim. As of this writing, there aren’t any cases interpreting its consequences. Accordingly, no one is sure how the courts will interpret the change.
The text of the statute, however, explicitly allows the inclusion of “interest on the principal amount due in accordance with Code Section 7-4-2 or 7-4-16” and the inclusion of “the amount due and owing…under the terms of its express or implied contract, subcontractor, or purchase order…” It is not clear how far reaching this provision will be. It is clear, however, that attorney’s fees and interest may be recovered in a foreclosure action when the lien is enforced.
Does a Georgia mechanics lien need to be notarized?
No. It is not specifically required that a lien be notarized to be valid in Georgia. However, having the lien notarized may constitute best-practice to avoid potential pitfalls.
Learn more about notarizing mechanics liens in different states
Where do I file and record a Georgia mechanics lien?
Georgia mechanics lien claims are filed and recorded with the clerk of the superior court in the county where the project is physically located. Note that each county has their own unique rules and requirements, so you contact the office ahead of time before filing.
To help you, we’ve assembled all of the offices in Georgia that record mechanics liens. These pages will walk you through the county’s specific formatting requirements, deadlines, fees, process to file, and answers to frequently asked questions.
• Learn more: Essential Questions to Ask The County Recorder Before Filing a Lien
How do I actually file a Georgia mechanics lien?
A Georgia mechanics lien must be in the proper format and filed in the county recorder’s office of the county where the property is located within the required timeframe.
However, if you’re looking for a full breakdown of the process, you may want to consult: How to File a Georgia Mechanics Lien | A Step-by-Step Guide
Do I need to send notice that the mechanics lien was recorded in Georgia?
Yes. Georgia mechanics lien law requires that the claimant serve a copy of the lien claim on the property owner within 2 days after filing your claim. The copy of the notice must be sent by registered or certified mail or overnight delivery.
If the owner’s address cannot be found, it is allowable for the lien to be sent to the prime contractor as an agent of the owner.
When is the deadline to enforce a Georgia mechanics lien, or, how long is my lien effective?
Once filed, a Georgia mechanics lien will only last for one year after filing. If an enforcement action isn’t initiated within that timeframe, the claim will expire and no longer be enforceable.
Furthermore, within 30 days after commencing the action to enforce (within 395 days from the filing of the lien), the claimant must file a “commencement of lien action notice” with the clerk of the superior court of the county in which the lien was filed.
Failure to meet either deadline (for initiation of enforcement action or filing notice of such action) will result in the expiration of the lien claim.
NOTE: If the property owner or GC files a Notice of Contest of Lien, the deadline is reduced to just 60 days after receipt of the notice.
Can I collect the entire unpaid amount from the property owner if they have already paid the general contractor in full in Georgia?
No, Georgia is considered an “unpaid balance” lien state, meaning that a claimant’s amount is limited to the remaining contract price due to the general contractor at the time the claim is filed.
• Learn more: Full Price v. Unpaid Balance Liens
Does a Georgia lien have priority over pre-existing mortgages or construction loans?
Not generally. The following types of liens are always superior to mechanics liens in Georgia: liens for taxes, general and special liens of laborers, general liens of landlords for rent, purchase money bonds for title, general liens when actual notice of the lien was communicated prior to the furnishing of labor and materials.
Mechanics liens have superior lien priority to all other liens according to the first-in-time rule. However, all liens for repairs, building, or furnishing materials are considered to have the same priority no matter when filed, if they were filed timely. Mechanics liens are prior to a real estate mortgage for financing construction improvements in Georgia, but not a deed to secure debt.
Who cancels the Georgia mechanics lien if/when I get paid?
In Georgia, a mechanics lien automatically expires one year from filing, unless the claimant takes an action to enforce it. If the claimant has been paid, or the claim has expired, the state doesn’t require the claimant to file a lien release, but releasing a lien is good practice whether it’s required or not.
People are asking Georgia construction attorneys:
GA Collection
It is not required to do a 100 year title examination. However, it is necessary to conduct a title search in order to obtain valuable information concerning any competing claims. For example, are there security deeds or purchase money interests that have priority over your claim? are there property tax liens that also have priority over your claim? These are important issues affecting the value of your lien and any impediments to success on a lien foreclosure.
Need assistance in identifying the type of "job" on the notice of intent to file form
A notice of intent to lien is not required or really recognized under Georgia law. Since this appears to be a city of Atlanta project, there should be a labor and material payment bond that has been posted to protect those who provide labor and materials to the project. Please let me know if you have any other questions about this issue.
Can I file a mechanic lien
Interim lien waiver
No. You do have the right to "reverse" a lien waiver where payment is not made (or where a check bounces). But your time to do so is limited, so you must act promptly. However, there is a difference between waiving a lien right and releasing a claim for a debt. Whenever you are accepting payment for a lesser amount than is owed, you need to be careful that you don't sign something that waives or releases the remaining balance of the debt. Under the law you can release a claim without receiving payment if you sign a release or where you otherwise act as if the debt is satisfied. Don't sign anything without first carefully reading it to make sure you are only releasing your lien rights to the amount actually received.
Can a unlicensed mechanic file a mechanical lien in Georgia?
mechanic lien without a change order
Mechanic lien on property - Home Foreclosure?
Local Business license
Mechanic Liens - General GC
What can I do?
Lien Rights Timeline
It's not a hard and fast issue, but generally punch list work does qualify to extend the window to file a lien. It must be original scope work and not warranty items.
What are the construction lien laws in Georgia?
Can I file a lien? Can we hire you to help?
Lien Waiver Wording Concerns
Your concerns are well founded. The language of this progress payment waiver is inappropriate; it reads more like a final waiver. The document purports to release ALL claims under your subcontract. Obviously it needs to be restricted to a waiver of claims through a particular date.
The form deviates from the required language in the Georgia form, and for that reason may be unenforceable. Under the Georgia lien statute, lien waivers must follow the statutory language set forth in the statute. However, I would not rely on that legal argument and would be extremely reluctant to sign the document. In any event, the statutory language for a waiver upon an interim (progress) payment is as follows:
WAIVER AND RELEASE UPON INTERIM PAYMENT
STATE OF GEORGIA
COUNTY OF _________
THE UNDERSIGNED MECHANIC AND/OR MATERIALMAN HAS BEEN EMPLOYED BY _______________________ (NAME OF CONTRACTOR) TO FURNISH _______________________ (DESCRIBE MATERIALS AND/OR LABOR) FOR THE CONSTRUCTION OF IMPROVEMENTS KNOWN AS _______________________ (TITLE OF THE PROJECT OR BUILDING) WHICH IS LOCATED IN THE CITY OF _________________, COUNTY OF _____________, AND IS OWNED BY _______________________ (NAME OF OWNER) AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
(DESCRIBE THE PROPERTY UPON WHICH THE IMPROVEMENTS WERE MADE BY USING EITHER A METES AND BOUNDS DESCRIPTION, THE LAND LOT DISTRICT, BLOCK AND LOT NUMBER, OR STREET ADDRESS OF THE PROJECT.)
UPON THE RECEIPT OF THE SUM OF $__________, THE MECHANIC AND/OR MATERIALMAN WAIVES AND RELEASES ANY AND ALL LIENS OR CLAIMS OF LIENS IT HAS UPON THE FOREGOING DESCRIBED PROPERTY OR ANY RIGHTS AGAINST ANY LABOR AND/OR MATERIAL BOND THROUGH THE DATE OF _______________________ (DATE) AND EXCEPTING THOSE RIGHTS AND LIENS THAT THE MECHANIC AND/OR MATERIALMAN MIGHT HAVE IN ANY RETAINED AMOUNTS, ON ACCOUNT OF LABOR OR MATERIALS, OR BOTH, FURNISHED BY THE UNDERSIGNED TO OR ON ACCOUNT OF SAID CONTRACTOR FOR SAID BUILDING OR PREMISES.
GIVEN UNDER HAND AND SEAL THIS ______ DAY OF ______________, ____.
__________________ (SEAL)
_________________________
_______________________
(WITNESS)
_______________________
(ADDRESS)
NOTICE: WHEN YOU EXECUTE AND SUBMIT THIS DOCUMENT, YOU SHALL BE CONCLUSIVELY DEEMED TO HAVE WAIVED AND RELEASED ANY AND ALL LIENS AND CLAIMS OF LIENS UPON THE FOREGOING DESCRIBED PROPERTY AND ANY RIGHTS REGARDING ANY LABOR OR MATERIAL BOND REGARDING THE SAID PROPERTY TO THE EXTENT (AND ONLY TO THE EXTENT) SET FORTH ABOVE, EVEN IF YOU HAVE NOT ACTUALLY RECEIVED SUCH PAYMENT, 90 DAYS AFTER THE DATE STATED ABOVE UNLESS YOU FILE AN AFFIDAVIT OF NONPAYMENT PRIOR TO THE EXPIRATION OF SUCH 90 DAY PERIOD. THE FAILURE TO INCLUDE THIS NOTICE LANGUAGE ON THE FORM SHALL RENDER THE FORM UNENFORCEABLE AND INVALID AS A WAIVER AND RELEASE UNDER O.C.G.A. § 44-14-366.
Can i file lien for a landscaping job that i was unpaid for?
Can I file a mechanic lien?
I need to file a new construction lien
If you finished your work less than 90 days ago, you have the right to file a lien. If it was longer than 90 days ago, you cannot file a lien but you can file suit for breach of contract.
Mechanics Lien
You can take the position that the full amount is owed and that any conditions regarding retainage are not applicable because of the breach of contract in failing to pay the 90%. This is a strong argument but obviously the success would depend on accounting for all facts relating to the dispute.
The next step in lien enforcement would involve filing an action against the party that owes the money, which may or may not be the owner. If you have contracted with someone other than the owner, the lien foreclosure action can be combined with the lawsuit for the underlying debt.
Let me know if you have any further questions.
Richard
can i reinstate a mechinal lien in ga.
If you filed your lien in August of 2020, you would have had to file your suit within one year. As a result, it is likely that the lien is no longer valid.
You could file suit based upon your contract. You could not enforce any judgment with a lien, but with a judgment you will have a different type of lien.
If you need an attorney, feel free to call.
770-390-9950, ext 3.
Can a non licensed contractor file a lien against me ?
Its very likely under these circumstances that you have a defense to payment and that the contractor cannot legally file a lien on your property. There are a few exceptions to the licensing requirment but the fact that they claimed to be licensed creates problems for them. Let me know if you need further help. Thanks, Richard (404) 500-6302
Can I file a mechanics lien or what are my rights?
Hello, and thank you for reaching out.
Your question may be too specific for an attorney to answer in this public forum. You may wish to consider consulting an attorney privately. Here are some attorneys from our directory in your area: https://www.levelset.com/payment-help/experts/construction-lawyer/georgia/
I hope this helps!
If it’s been more than 90 days what actions can be taken?
Can an unlicensed contractor file a lien on my home in GA.
What is the next step:
CAN WE FILE A PROPERTY LIEN
Can you provide more detail? It depends upon what the product is and how long ago you installed it. If it's a fixture that was installed within the past 3 months, you should be able to file a lien. It simply depends upon the type of product and the time that has elapsed.
Can I file mechanics lien?
Last date able to file lien for payment from subcontractor that is now out of business.
Amending a lien-7836020
I want to know if I can take a customer to court if he owes us 4800.00
lawsuit
Best rated general contractors in Georgia
Understanding Georgia's mechanics lien requirements
Georgia’s mechanics lien laws provide substantial protection for contractors and suppliers. However, there are many requirements that must be followed in order for a construction participant to qualify for, maintain, perfect, and enforce lien rights. This page provides frequently asked questions about Georgia’s mechanics lien laws and rules, the lien statutes, and a breakdown of the lien and notice details for contractors and suppliers in Georgia.
Contractors & suppliers have strong lien rights in Georgia. If a contractor or supplier isn’t paid on a Georgia job, they can file a mechanics lien to speed up payment and protect themselves. However, lien claimants must follow specific requirements and rules in order to protect their payment rights.
Georgia mechanics lien rights
Georgia gives mechanics lien rights to a wide variety of parties on a construction project. This includes:
- General contractors
- Subcontractors
- Material suppliers (to general contractors and subcontractors)
- Laborers
- Registered architects
- Registered professional engineers
- Machinists or manufacturers of machinery
- Equipment renters
If you are required to be licensed by state laws but are unlicensed, you will forfeit your mechanics lien rights.
Protecting Georgia lien rights
Georgia requires preliminary notice to protect your right to file a mechanics lien only in specific cases. If you did not contract with the prime contractor, and they filed a GA Notice of Commencement on the project, you must send preliminary notice. You must send the notice within 30 days of the first date of furnishing labor or materials to the project, or within 30 days of the filing of the Notice of Commencement, whichever date is later.
Those who contracted directly with the property owner (e.g. the GC) do not have any preliminary notice requirements. If the owner didn’t file a Notice of Commencement, it may not be required – but sending preliminary notice is still recommended to gain other benefits.
Deadline to file in Georgia
The deadline to file a mechanics lien in Georgia for all parties is 90 days from the last date they supplied labor or materials on the project.
Filing a mechanics lien in Georgia
If you have taken action to preserve your lien rights, there are three basic steps to file a mechanics lien in Georgia.
- Complete a Georgia mechanics lien form
Details and absolute accuracy are critical when you fill out the mechanics lien form. Even a small mistake could get your lien claim tossed out. Download a free Georgia mechanics lien form. - Record the lien with the county clerk
You need to bring the completed lien claim form to the clerk of the superior court in the county where the property is located. View a list of all Georgia county clerk offices, with contact and filing information - Serve the lien on the property owner
You must serve the lien on the property owner by certified or registered mail, or by overnight delivery, within 2 days of recording the lien.
Releasing a lien
Georgia doesn’t require claimants to release their mechanics lien from the property once they get paid. Georgia mechanics liens automatically expire 1 year after filing. However, releasing a lien after payment is generally a good practice, since the property owner will likely ask you to do it anyway.
Enforcing a Georgia lien claim
It is rare that a payment dispute doesn’t get resolved after filing a mechanics lien. However, if you are still not paid, you can choose to enforce the mechanics lien claim in court. You must file this action within one year of filing your claim. Unless, the owner files a Notice of Contest of Lien. If a claimant receives this notice, the deadline to enforce the claim is drastically reduced to just 60 days after receipt of the notice.
Do It Yourself: Steps to file a mechanics lien in Georgia
Read the step-by-step guide
The step-by-step Georgia guide will teach you every part of the mechanics lien process in the state, including how to protect your lien rights, what to include on the form, and how to deliver it to the county office for recording.
Get the right lien form
Georgia’s lien law sets specific requirements about the mechanics lien form, including the formatting and information to include. Take the guesswork out of it, and download a free Georgia mechanics lien form prepared by construction lawyers to meet the statutory requirements.
Complete the form
Pay close attention when filling out the form, since Georgia mechanics lien law is very strict about the details and information required. Making a mistake on the lien form could invalidate your claim. All of the information must be 100% accurate, including the legal names of each party, the property description, and the claim amount. Review every detail carefully.
Record the lien
File your completed lien claim with the recorder’s office in the Georgia county where the property is located. All claimants in Georgia are required to file a mechanics lien within 90 days of the last date they provided labor or materials to the project.
View a list of all Georgia county recorder’s offices, with contact information, filing requirements, and fees.
Serve a copy of the lien
You must serve the property owner with a copy of the lien within 2 days of the lien filing.
After you file
A Georgia lien doesn’t last forever – it expires 365 days after the lien is recorded. If your claim is not satisfied, you must take action to enforce the mechanics lien before the deadline passes. If you miss Georgia’s enforcement deadline, your claim will be extinguished.
If the owner files a Notice of Contest, your enforcement deadline will be reduced to only 60 days.
Did your lien get you paid? It is good practice to file a lien release form to discharge the lien claim from the property title.
Georgia Mechanics Lien Statutes
The provisions of the Georgia mechanics lien statute that permits the filing of mechanics liens and materialmen’s liens can be found in Georgia’s Property Lien Law, Georgia Code § 44-14-360 et. seq. Relevant sections of Georgia’s mechanics lien statute have been provided below. Updated as of May 2023.
§ 44-14-360. Definitions
As used in this part, the term:
(.1) “Business day” means any day that is not a Saturday, Sunday, or legal holiday.
(1) “Contractor” means a contractor having privity of contract with the owner of the real estate.
(2) “Land surveyor” shall have the same meaning as provided in Code Section 43-15-2.
(2.1) “Lien action” means a lawsuit, proof of claim in a bankruptcy case, or a binding arbitration.
(3) “Materials,” in addition to including those items for which liens are already permitted under this part, means tools, appliances, machinery, or equipment used in making improvements to the real estate, to the extent of the reasonable value or the contracted rental price, whichever is greater, of such tools, appliances, machinery, or equipment.
(4) “Materialmen” means all persons furnishing the materials, tools, appliances, machinery, or equipment included in the definition of materials in paragraph (3) of this Code section.
(5) “Professional engineer” shall have the same meaning as provided in Code Section 43-15-2.
(6) “Registered forester” shall have the same meaning as provided in Code Section 12-6-41.
(7) “Registered interior designer” shall have the same meaning as provided in Code Section 43-4-1.
(8) “Registered land surveyors” and “registered professional engineers” means land surveyors or professional engineers who are registered as land surveyors or professional engineers under Chapter 15 of Title 43 at the time of performing, rendering, or furnishing services protected under this part.
(9) “Residential property” means single-family and two-family, three-family, and four-family residential real estate.
(10) “Subcontractor” means, but is not limited to, subcontractors having privity of contract with the contractor.
§ 44-14-361. Creation of liens; property to which lien attaches; items to be included in lien
(a) The following persons shall each have a special lien on the real estate, factories, railroads, or other property for which they furnish labor, services, or materials:
(1) All mechanics of every sort who have taken no personal security for work done and material furnished in building, repairing, or improving any real estate of their employers;
(2) All contractors, all subcontractors and all materialmen furnishing material to subcontractors, and all laborers furnishing labor to subcontractors, materialmen, and persons furnishing material for the improvement of real estate;
(3) All registered architects furnishing plans, drawings, designs, or other architectural services on or with respect to any real estate;
(4) All registered foresters performing or furnishing services on or with respect to any real estate;
(5) All registered land surveyors and registered professional engineers performing or furnishing services on or with respect to any real estate;
(6) All contractors, all subcontractors and materialmen furnishing material to subcontractors, and all laborers furnishing labor for subcontractors for building factories, furnishing material for factories, or furnishing machinery for factories;
(7) All machinists and manufacturers of machinery, including corporations engaged in such business, who may furnish or put up any mill or other machinery in any county or who may repair the same;
(8) All contractors to build railroads;
(9) All suppliers furnishing rental tools, appliances, machinery, or equipment for the improvement of real estate; and
(10) All registered interior designers furnishing plans, drawings, designs, or other interior design services on or with respect to any real estate.
(b) Each special lien specified in subsection (a) of this Code section may attach to the real estate of the owner for which the labor, services, or materials are furnished if they are furnished at the instance of the owner, contractor, or some other person acting for the owner or contractor and shall include the value of work done and materials furnished in any easement or public right of way adjoining said real estate if the work done or materials furnished in the easement or public right of way is for the benefit of said real estate and is within the scope of the owner’s contract for improvements to said real estate.
(c) Each special lien specified in subsection (a) of this Code section shall include the amount due and owing the lien claimant under the terms of its express or implied contract, subcontract, or purchase order subject to subsection (e) of Code Section 44-14-361.1.
(d) Each special lien specified in subsection (a) of this Code section shall include interest on the principal amount due in accordance with Code Section 7-4-2 or 7-4-16.
§ 44-14-361.1. How liens declared and created; amendment; record; commencement of action; notice; priorities; parties; limitation on aggregate amount of liens
(a) To make good the liens specified in paragraphs (1) through (8) and (10) of subsection (a) of Code Section 44-14-361, they must be created and declared in accordance with the following provisions, and on failure of any of them the lien shall not be effective or enforceable:
(1) A substantial compliance by the party claiming the lien with his or her contract for building, repairing, or improving; for architectural services furnished; for registered forester services furnished or performed; for registered land surveying or registered professional engineering services furnished or performed; for materials or machinery furnished or set up; or for registered interior design services furnished or performed;
(2) The filing for record of his or her claim of lien within 90 days after the completion of the work, the furnishing of the architectural services, or the furnishing or performing of such surveying, engineering services, or interior design services or within 90 days after the material or machinery is furnished in the office of the clerk of the superior court of the county where the property is located. The lien shall include a statement regarding its expiration pursuant to Code Section 44-14-367 and a notice to the owner of the property on which a claim of lien is filed that such owner has the right to contest the lien; the absence of such statement or notice shall invalidate the lien. The claim shall be in substance as follows:
“A.B., a mechanic, contractor, subcontractor, materialman, machinist, manufacturer, registered architect, registered forester, registered land surveyor, registered professional engineer, registered interior designer, or other person (as the case may be) claims a lien in the amount of (specify the amount claimed) on the house, factory, mill, machinery, or railroad (as the case may be) and the premises or real estate on which it is erected or built, of C.D. (describing the houses, premises, real estate, or railroad), for satisfaction of a claim which became due on (specify the date the claim was due, which is the same as the last date the labor, services, or materials were supplied to the premises) for building, repairing, improving, or furnishing material (or whatever the claim may be).”
No later than two business days after the date the claim of lien is filed of record, the lien claimant shall send a true and accurate copy of the claim of lien by registered or certified mail or statutory overnight delivery to the owner of the property or, if the owner’s address cannot be found, the contractor, as the agent of the owner; provided, however, that if the property owner is an entity on file with the Secretary of State’s Corporations Division, sending a copy of the claim of lien to the entity’s address or the registered agent’s address shall satisfy this requirement. In all cases in which a notice of commencement is filed with the clerk of the superior court pursuant to subsection (b) of Code Section 44-14-361.5, a lien claimant shall also send a copy of the claim of lien by registered or certified mail or statutory overnight delivery to the contractor at the address shown on the notice of commencement;
(3) The commencement of a lien action for the recovery of the amount of the party’s claim within 365 days from the date of filing for record of his or her claim of lien. In addition, within 30 days after commencing such lien action, the party claiming the lien shall file a notice with the clerk of the superior court of the county wherein the subject lien was filed. The notice shall contain a caption referring to the then owner of the property against which the lien was filed and referring to a deed or other recorded instrument in the chain of title of the affected property. The notice shall be executed, under oath, by the party claiming the lien or by such party’s attorney of record, but failure to execute the notice under oath shall be an amendable defect which may be cured by the party claiming the lien or by such party’s attorney without leave of court at any time before entry of the pretrial order and thereafter by leave of court. An amendment of notice pursuant to this Code section shall relate back to the date of filing of the notice. The notice shall identify the court or arbitration venue wherein the lien action is brought; the style and number, if any, of the lien action, including the names of all parties thereto; the date of the filing of the lien action; and the book and page number of the records of the county wherein the subject lien is recorded in the same manner in which liens specified in Code Section 44-14-361 are filed. The clerk of the superior court shall enter on the subject lien so referred to the book and page on which the notice is recorded and shall index such notice in the name of the then purported owner as shown by the caption contained in such notice. A separate lis pendens notice need not be filed with the commencement of this action; and
(4) In the event any contractor or subcontractor procuring material, architect’s services, registered forester’s services, registered land surveyor’s services, registered interior designer’s services, or registered professional engineer’s services, labor, or supplies for the building, repairing, or improving of any real estate, building, or other structure shall abscond or die or leave the state during the required time period for filing a lien action, so that personal jurisdiction cannot be obtained on the contractor or subcontractor in a lien action for the services, material, labor, or supplies, or if the contractor or subcontractor shall be adjudicated a bankrupt, or if, after the filing of a lien action, no final judgment can be obtained against him or her for the value of such material, services, labor, or supplies because of his or her death, adjudication in bankruptcy, or the contract between the party claiming the lien and the contractor or subcontractor includes a provision preventing payment to the claimant until after the contractor or the subcontractor has received payment, then and in any of these events, the person or persons furnishing material, services, labor, and supplies shall be relieved of the necessity of filing a lien action or obtaining judgment against the contractor or subcontractor as a prerequisite to enforcing a lien against the property improved by the contractor or subcontractor. Subject to Code Section 44-14-361, the person or persons furnishing material, services, labor, and supplies may enforce the lien directly against the property so improved in a lien action against the owner thereof, if filed within the required time period for filing a lien action, with the judgment rendered in any such proceeding to be limited to a judgment in rem against the property improved and to impose no personal liability upon the owner of the property; provided, however, that in such lien action for recovery, the owner of the real estate improved, who has paid the agreed price or any part of same, may set up the payment in any lien action brought and prove by competent and relevant evidence that the payments were applied as provided by law, and no judgment shall be rendered against the property improved. Within 30 days after filing such lien action, the party claiming the lien shall file a notice with the clerk of the superior court of the county wherein the subject lien was filed. The notice shall contain a caption referring to the then owner of the property against which the lien was filed and referring to a deed or other recorded instrument in the chain of title of the affected property. The notice shall be executed, under oath, by the party claiming the lien or by his or her attorney of record. The notice shall identify the court or arbitration venue wherein the lien action is brought; the style and number of the lien action, if any, including the names of all parties thereto; the date of the filing of the lien action; and the book and page number of the records of the county wherein the subject lien is recorded in the same manner in which liens specified in Code Section 44-14-361 are filed. The clerk of the superior court shall enter on the subject lien so referred to the book and page on which the notice is recorded and shall index such notice in the name of the then purported owner as shown by the caption contained in such notice. A separate lis pendens notice need not be filed with the commencement of this action.
(a.1) A claim of lien may be amended at any time to reduce the amount claimed, and such amended claim of lien shall relate back to the date of filing for record of the original claim of lien. An amended claim of lien filed for record pursuant to this subsection shall be in substance as follows:
“That certain claim of lien filed by A.B. against property of C.D. on (date) and recorded at book (book#), page (page#) in the lien index of (name of county) County is hereby amended by reducing the amount of such claim of lien to (specify reduced amount claimed). The remaining terms of such original claim of lien are hereby incorporated by reference into this amended claim of lien. This amended claim of lien relates back to the date that such original claim of lien was filed for record.”
and shall be sent to the owner of the property in the same manner as required for a claim of lien in paragraph (2) of subsection (a) of this Code section.
(b) As between themselves, the liens provided for in Code Section 44-14-361 shall rank according to the date filed; but all of the liens mentioned in this Code section for repairs, building, or furnishing materials or services, upon the same property, shall, as to each other, be of the same date when declared and filed for record within 90 days after the work is done or before that time.
(c) The liens specified in Code Section 44-14-361 shall be inferior to liens for taxes, to the general and special liens of laborers, to the general lien of landlords of rent when a distress warrant is issued out and levied, to claims for purchase money due persons who have only given bonds for titles, and to other general liens when actual notice of the general lien of landlords and others has been communicated before the work was done or materials or services furnished; but the liens provided for in Code Section 44-14-361 shall be superior to all other liens not excepted by this subsection.
(d) In any proceeding brought by any materialman, by any mechanic, by any laborer, by any subcontractor, or by any mechanic of any sort employed by any subcontractor or by any materialmen furnishing material to any subcontractor, or by any laborer furnishing labor to any subcontractor, to enforce such a lien, the contractor having a direct contractual relationship with the subcontractor shall not be a necessary party; but he or she may be made a party. In any proceedings brought by any mechanic employed by any subcontractor, by any materialmen furnishing material to any subcontractor, or by any laborer furnishing labor to any subcontractor, the subcontractor shall not be a necessary party; but he or she may be made a party. The contractor or subcontractor or both may intervene in the proceedings at any time before judgment for the purpose of resisting the establishment of the lien or of asserting against the lienor any claim of the contractor or subcontractor growing out of or related to the transaction upon which the asserted lien is based.
(e) In no event shall the aggregate amount of liens set up by Code Section 44-14-361 exceed the contract price of the improvements made or services performed.
(f) The filing fees for a claim of materialman’s or mechanic’s lien and any related document created pursuant to this Code section, including but not limited to a notice of commencement of action, shall be the amount set by Code Section 15-6-77 for liens on real estate and personal property.
§ 44-14-361.2. Dissolution of lien
(a) The special lien specified in subsection (a) of Code Section 44-14-361 shall be dissolved if the owner, purchaser from owner, or lender providing construction or purchase money or any other loan secured by real estate shows that:
(1) The lien has been waived in writing by lien claimant; or
(2)
(A) They or any of them have obtained the sworn written statement of the contractor or person other than the owner at whose instance the labor, services, or materials were furnished, or the owner when conveying title in a bona fide sale or loan transaction, that the agreed price or reasonable value of the labor, services, or materials has been paid or waived in writing by the lien claimant; and
(B) When the sworn written statement was obtained or given as a part of a transaction:
(i) Involving a conveyance of title in a bona fide sale;
(ii) Involving a loan in which the real estate is to secure repayment of the loan; or
(iii) Where final disbursement of the contract price is made by the owner to the contractor there was not of record, at the time of the settlement of the transaction a valid preliminary notice or claim of lien which had not been previously canceled, dissolved, or expired.
(b) As used in paragraph (2) of subsection (a) of this Code section, the term:
(1) “Person other than the owner” shall not include a subcontractor.
(2) “Final disbursement” of the contract price means payment of the agreed price between the owner and contractor for the improvements made upon the real estate or the reasonable value of the labor, services, and materials incorporated in the improvements upon the real estate and shall include payment of the balance of the contract price to an escrow agent.
§ 44-14-361.3. Preliminary notice of lien; form; notice to contractor; filing; necessity of preliminary notice
(a) Prior to filing a claim of lien, a person having a lien under paragraphs (1) through (8) and (10) of subsection (a) of Code Section 44-14-361 may at such person’s option file a preliminary notice of lien rights. The preliminary notice of lien rights in order to be effective shall:
(1) Be filed with the clerk of superior court of the county in which the real estate is located within 30 days after the date a party delivered any materials or provided any labor or services for which a lien may be claimed;
(2) State the name, address, and telephone number of the potential lien claimant;
(3) State the name and address of the contractor or other person at whose instance the labor, services, or materials were furnished;
(4) State the name of the owner of the real estate and include a description sufficient to identify the real estate against which the lien is or may be claimed; and
(5) Include a general description of the labor, services, or materials furnished or to be furnished.
(b) A party filing a preliminary notice of lien rights except a contractor shall, within seven days of filing the notice, send by registered or certified mail or statutory overnight delivery a copy of the notice to the contractor on the property named in the notice or to the owner of the property. The lien claimant may rely on the building permit issued on the property for the name of the contractor.
(c) The clerk of each superior court shall maintain within the records of that office a record separate from all other real estate records in which preliminary notices specified in subsection (a) of this Code section and affidavits specified in subsection (c) of Code Section 44-14-361.4 shall be filed. Each such notice and affidavit shall be indexed under the name of the owner as contained in the preliminary notice. The clerk shall collect a filing fee of $5.00 for the filing of each preliminary notice.
(d) A person having a lien under paragraphs (1) through (8) and (10) of subsection (a) of Code Section 44-14-361 may enforce the lien without filing a preliminary notice of lien.
§ 44-14-361.4. Cancellation or expiration of preliminary notice; demand for filing of claim of lien
(a) A preliminary notice of lien rights filed pursuant to Code Section 44-14-361.3 shall be dissolved if it is canceled and a preliminary notice also expires and is dissolved under any of the following conditions:
(1) The lien has been waived in writing by the lien claimant;
(2) The time has expired for filing the claim of lien as required in Code Section 44-14-361.1;
(3) On residential property, a demand for filing of a claim of lien has been sent by registered or certified mail or statutory overnight delivery to the potential lien claimant at the address specified in the preliminary notice of lien rights and at least ten days have elapsed since the date of such mailing without the filing of a claim of lien; or
(4) On all property except residential property, a demand for filing of a claim of lien has been sent by registered or certified mail or statutory overnight delivery to the potential lien claimant at the address specified in the preliminary notice of lien rights and at least ten days have elapsed since the date of such mailing without the filing of a claim of lien; provided, however, the demand for filing of a claim of lien shall not be sent until the contractor’s contract is substantially complete or until the potential lien claimant’s contract has been terminated or the potential lien claimant has abandoned the contract.
(b) A demand for filing of claim of lien shall contain the same information required to be contained in the preliminary notice of lien rights and shall contain the following statement addressed to the potential lien claimant:
“This demand was mailed to you on __________________ pursuant to Code Section 44-14-361.4. You are notified that unless you file a claim of lien with respect to this claim on or before the tenth day after said date of mailing your right to claim a lien will be dissolved.”
(c) If a demand for filing of a claim of lien is mailed as provided in this Code section and no claim of lien is filed within ten days after said date of mailing, the preliminary notice of lien rights may be canceled as provided in this subsection. In order to obtain cancellation, the person who mailed the demand or his attorney shall file with the clerk of superior court a copy of the demand and his or her affidavit that the demand was mailed as provided in paragraph (3) or (4) of subsection (a) of this Code section and that ten days have elapsed since said date of mailing without the filing of a claim of lien by the potential lien claimant. Upon such filing, the clerk of superior court shall cancel of record the preliminary notice of lien rights.
§ 44-14-361.5. Liens of persons without privity of contract
(a) To make good the liens specified in paragraphs (1), (2), and (6) through (9) of subsection (a) of Code Section 44-14-361, any person having a right to a lien who does not have privity of contract with the contractor and is providing labor, services, or materials for the improvement of property shall, within 30 days from the filing of the notice of commencement or 30 days following the first delivery of labor, services, or materials to the property, whichever is later, give a written notice to contractor as set out in subsection (c) of this Code section to the owner or the agent of the owner and to the contractor for a project on which there has been filed with the clerk of the superior court a notice of commencement setting forth therein the information required in subsection (b) of this Code section.
(b) Not later than 15 days after the contractor physically commences work on the property, a notice of commencement shall be filed by the owner, the agent of the owner, or by the contractor with the clerk of the superior court in the county in which the project is located. A copy of the notice of commencement shall be posted on the project site. The notice of commencement shall include:
(1) The name, address, and telephone number of the contractor;
(2) The name and location of the project being constructed and the legal description of the property upon which the improvements are being made;
(3) The name and address of the true owner of the property;
(4) The name and address of the person other than the owner at whose instance the improvements are being made, if not the true owner of the property;
(5) The name and the address of the surety for the performance and payment bonds, if any; and
(6) The name and address of the construction lender, if any.
The contractor shall be required to give a copy of the notice of commencement to any subcontractor, materialman, or person who makes a written request of the contractor. Failure to give a copy of the notice of commencement within ten calendar days of receipt of the written request from the subcontractor, materialman, or person shall render the provision of this Code section inapplicable to the subcontractor, materialman, or person making the request.
(c) A notice to contractor shall be sent by registered or certified mail or statutory overnight delivery to the owner or the agent of the owner and to the contractor at the addresses set forth in the notice of commencement setting forth:
(1) The name, address, and telephone number of the person providing labor, services, or materials;
(2) The name and address of each person at whose instance the labor, services, or materials are being furnished;
(3) The name of the project and location of the project set forth in the notice of commencement; and
(4) A description of the labor, services, or materials being provided and, if known, the contract price or anticipated value of the labor, services, or materials to be provided or the amount claimed to be due, if any.
(d) The failure to file a notice of commencement shall render the provisions of this Code section inapplicable. The filing of a notice of commencement shall not constitute a cloud, lien, or encumbrance upon or defect to the title of the real property described in the notice of commencement, nor shall it alter the aggregate amounts of liens allowable, nor shall it affect the priority of any loan in which the property is to secure payment of the loan filed before or after the notice of commencement, nor shall it affect the future advances under any such loan. Nothing contained in this Code section shall affect the provisions of Code Section 44-14-361.2.
(e) The clerk of each superior court shall file the notice of commencement within the records of that office and maintain an index separate from other real estate records or an index with the preliminary notices specified in subsection (a) of Code Section 44-14-361.3. Each such notice of commencement shall be indexed under the name of the true owner and the contractor as contained in the notice of commencement.
§ 44-14-362. Cancellation of preliminary notice upon final payment; form of cancellation
(a) Upon final payment after all labor, services, or materials have been furnished, a person who has filed a preliminary notice of lien rights shall either deliver a cancellation of the preliminary notice of lien rights at the time of final payment or cause the notice to be canceled of record within ten days after final payment. Any person who fails to so cancel a preliminary notice shall be liable to the owner for all actual damages, costs, and reasonable attorney’s fees incurred by the owner in having the preliminary notice canceled.
(b) The cancellation required under this Code section shall be in the following form:
Clerk, Superior Court
of __________________ County
You are authorized and directed to cancel of record the preliminary notice of lien rights which we filed on the property owned by (state name of owner) on (give date) and recorded by you in Book __________________, Page __________________, of preliminary notices kept by you.
This __________________ day of __________________, __________________.
__________________
Lien claimant or attorney”
§ 44-14-363. Special liens on personalty; notice; enforcement; priorities; maximum claims for storage; recordation
(a) All mechanics of every sort shall have a special lien on personal property for work done and material furnished in manufacturing or repairing the personal property and for storage of the personal property after its manufacture or repair, which storage begins accruing after 30 days’ written notice to the owner of the fact that storage is accruing and of the daily dollar amount thereof; and said notice shall be mailed to the owner by certified mail or statutory overnight delivery addressed to the owner at his last known address. Such special liens may be asserted by the retention of the personal property or the mechanic may surrender the personal property and give credit when the lien is enforced in accordance with Code Section 44-14-550; and if such special liens are asserted by retention of the personal property, the mechanic shall not be required to surrender the property to the holder of a subordinate security interest or lien. Such liens shall be superior to all liens except liens for taxes and, except as provided in subsection (2) of Code Section 11-9-310, such other liens as the mechanic may have had actual notice of before the work was done or material furnished.
(b) The maximum amount of storage that may be charged shall be $1.00 per day. Nothing contained in this Code section shall allow a fee for storage to be charged on any item with a fair market value in excess of $200.00. Storage charges pursuant to this Code section shall not apply to motor vehicles now or hereafter covered by Chapter 3 of Title 40 nor shall the storage fee be charged if there is a bona fide dispute between the customer and the mechanic as to the manner of repair or the charges for repair.
(c)
(1) When possession of the property is surrendered to the debtor, the mechanic shall record his or her claim of lien within 90 days after the work is done and the material is furnished or, in the case of repairs made on or to farm machinery, within 180 days after the work is done and the material is furnished. The claim of lien shall be recorded in the office of the clerk of the superior court of the county where the owner of the property resides. The claim shall be in substance as follows:
“A.B., mechanic, claims a lien on __________________ (here describe the property) of C.B., for work done, material furnished, and storage accruing (as the case may be) in manufacturing, repairing, and storing (as the case may be) the same.”
(2) If possession of the personal property subject to a special lien as provided in this Code section is surrendered to the debtor and if such special lien is not preserved by recording the claim of lien as provided in paragraph (1) of this subsection, the mechanic acquires a special lien on other personal property belonging to the debtor which comes into the possession of the mechanic, except that this sentence shall not apply to consumer goods which are being used by a consumer for personal, family, or household purposes or which have been bought by a consumer for use for personal, family, or household purposes. The special lien created by this paragraph shall be subject to the provisions of this Code section as to foreclosure and recording.
§ 44-14-364. Release of lien on approval of bond; amount; real property bonds; schedule, affidavit, and recordation; superior court clerk held harmless for good faith discretionary acts in connection with bond approval
(a) When any person entitled under this part to claim a lien against any real estate located in this state files his or her lien in the office of the clerk of the superior court of the county in which the real estate is located, the owner of the real estate or the contractor employed to improve the property may, before or after foreclosure proceedings are instituted, discharge the lien upon the approval of a bond by the clerk of superior court. The bond shall be conditioned to pay to the holder of the lien the sum that may be found to be due the holder upon the trial of any lien action that may be filed by the lienholder to recover the amount of his or her claim within 365 days from the time the claim of lien is filed. The bond shall be in double the amount claimed under that lien and shall be either a bond with good security approved by the clerk of superior court or a cash bond, except in cases involving a lien against the owner’s domicile, in which event the bond shall be in the amount claimed under the lien. An owner or contractor may be required to provide supporting data to the clerk to prove the value of domiciled property when such property serves as a bond to discharge a lien provided for in this Code section. Upon the approval by the clerk of the bond provided for in this Code section, the real estate shall be discharged from the lien. For purposes of this subsection, the term “domicile” means the established, fixed, permanent, or ordinary dwelling place of the owner.
(b) Within seven days of filing the bond required by subsection (a) of this Code section and any attachments, the party filing such bond shall send a notice of filing such bond and a copy of the bond by registered or certified mail or statutory overnight delivery to the lien claimant at the address stated on the lien or, if no such address is shown for the lien claimant, to the person shown as having filed such lien on behalf of the claimant at the indicated address of such person or, if the bond is filed by a contractor, to the owner of the property, provided that whenever the lien claimant or the owner is an entity on file with the Secretary of State’s Corporations Division, sending the notice of filing such bond and a copy of the bond to the company’s address or the registered agent’s address on file with the Secretary of State shall be deemed sufficient; provided, however, that the failure to send the notice of filing the bond and copy of the bond shall not invalidate the bond for purposes of discharge of a claim of lien under this Code section. With respect to property bonds, the clerk shall not accept any real property bond unless the real property is scheduled in an affidavit attached thereto setting forth a description of the property and indicating the record owner thereof, including any liens and encumbrances and amounts thereof, the market value, and the value of the sureties’ interest therein, which affidavit shall be executed by the owner or owners of the interest; the bond and affidavit shall be recorded in the same manner and at the same cost as other deeds of real property. So long as the bond exists, it shall constitute a lien against the property described in the attached affidavit.
(c) The clerk of the superior court shall have the right to rely upon the amount specified in the claim of lien in determining the sufficiency of any bond to discharge under this Code section. The failure to specify both the amount claimed due under the lien and the date said claim was due shall result in such lien not constituting notice for any purposes.
(d) The clerk of the superior court shall be held harmless for good faith regarding any discretionary act in connection with approval of any bond provided for in this Code section.
§ 44-14-365. Rights as to liens of partnerships, corporations, and associations made up of or employing registered architects, foresters, land surveyors, professional engineers, or interior designers
If services are performed or furnished with respect to any real estate by any registered architect, registered forester, registered land surveyor, registered professional engineer, or registered interior designer who is a member of a partnership or who is an agent or employee of a corporation or an association and the contract for the services is made for or on behalf of the owner with the partnership or corporation or association, the partnership, corporation, or association shall be entitled to all the privileges and benefits of Code Sections 44-14-361 and 44-14-362, just as if the partnership, corporation, or association was a registered architect, a registered forester, a registered land surveyor, a registered professional engineer, or a registered interior designer.
§44-14-366. Waiver of lien or claim upon bond in advance of furnishing labor, services, or materials void; interim waiver and release upon payment; unconditional waiver and release upon final payment; affidavit of nonpayment
(a) Waivers and releases provided for under this Code section shall be limited to waivers and releases of lien and labor or material bond rights and shall not be deemed to affect any other rights or remedies of the claimant.
(b) A right to claim a lien or to claim upon a bond may not be waived in advance of furnishing of labor, services, or materials. Any purported waiver or release of lien or bond claim or of this Code section executed or made in advance of furnishing of labor, services, or materials is null, void, and unenforceable.
(c) No oral or written statement by the claimant purporting to waive, release, impair, or otherwise adversely affect a lien or bond claim is enforceable or creates an estoppel or impairment of claim of lien or claim upon a bond unless:
(1) It is pursuant to a waiver and release form duly executed by the claimant prescribed below; and
(2) The claimant has received payment for the claim as set forth in subsection (g) of this Code section.
(d) When a claimant is requested to execute a waiver and release in exchange for or in order to induce payment other than final payment, the waiver and release shall substantially follow the language of the following form, be in at least 12 point font, and need not be in boldface capital letters, and the priority of such claimant’s lien rights, except as to retention, shall upon such payment thereafter run from the day after the date specified in such Waiver and Release of Lien and Payment Bond Rights Upon Interim Payment form:
“WAIVER AND RELEASE OF LIEN AND PAYMENT BOND RIGHTS UPON INTERIM PAYMENT
STATE OF GEORGIA
COUNTY OF __________________
THE UNDERSIGNED MECHANIC AND/OR MATERIALMAN HAS BEEN EMPLOYED BY __________________ (NAME OF CONTRACTOR) TO FURNISH __________________ (DESCRIBE MATERIALS AND/OR LABOR) FOR THE CONSTRUCTION OF IMPROVEMENTS KNOWN AS __________________ (TITLE OF THE PROJECT OR BUILDING) WHICH IS LOCATED IN THE CITY OF __________________, COUNTY OF __________________, AND IS OWNED BY __________________ (NAME OF OWNER) AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:
__________________
__________________
__________________
(DESCRIBE THE PROPERTY UPON WHICH THE IMPROVEMENTS WERE MADE BY USING EITHER A METES AND BOUNDS DESCRIPTION, THE LAND LOT DISTRICT, BLOCK AND LOT NUMBER, OR STREET ADDRESS OF THE PROJECT.)
UPON THE RECEIPT OF THE SUM OF $__________________, THE MECHANIC AND/OR MATERIALMAN WAIVES AND RELEASES ANY AND ALL LIENS OR CLAIMS OF LIENS IT HAS UPON THE FOREGOING DESCRIBED PROPERTY OR ANY RIGHTS AGAINST ANY LABOR AND/OR MATERIAL BOND THROUGH THE DATE OF __________________ (DATE) AND EXCEPTING THOSE RIGHTS AND LIENS THAT THE MECHANIC AND/OR MATERIALMAN MIGHT HAVE IN ANY RETAINED AMOUNTS, ON ACCOUNT OF LABOR OR MATERIALS, OR BOTH, FURNISHED BY THE UNDERSIGNED TO OR ON ACCOUNT OF SAID CONTRACTOR FOR SAID BUILDING OR PREMISES.
GIVEN UNDER HAND AND SEAL THIS __________________ DAY OF __________________, __________________.
__________________ (SEAL)
__________________
__________________
(WITNESS)
__________________
(ADDRESS)
NOTICE: WHEN YOU EXECUTE AND SUBMIT THIS DOCUMENT, YOU SHALL BE CONCLUSIVELY DEEMED TO HAVE WAIVED AND RELEASED ANY AND ALL LIENS AND CLAIMS OF LIENS UPON THE FOREGOING DESCRIBED PROPERTY AND ANY RIGHTS REGARDING ANY LABOR OR MATERIAL BOND REGARDING THE SAID PROPERTY TO THE EXTENT (AND ONLY TO THE EXTENT) SET FORTH ABOVE, EVEN IF YOU HAVE NOT ACTUALLY RECEIVED SUCH PAYMENT, 90 DAYS AFTER THE DATE STATED ABOVE UNLESS YOU FILE AN AFFIDAVIT OF NONPAYMENT PRIOR TO THE EXPIRATION OF SUCH 90 DAY PERIOD. THE FAILURE TO INCLUDE THIS NOTICE LANGUAGE ON THE FORM SHALL RENDER THE FORM UNENFORCEABLE AND INVALID AS A WAIVER AND RELEASE UNDER O.C.G.A. § 44-14-366.”
Provided, however, that the failure to correctly complete any of the blank spaces in the above form shall not invalidate said form so long as the subject matter of said release may reasonably be determined.
(e) When a claimant is requested to execute a waiver and release in exchange for or in order to induce making of final payment, the waiver and release shall substantially follow the language of the following form, be in at least 12 point font, and need not be in boldface capital letters:
“WAIVER AND RELEASE OF LIEN AND PAYMENT BOND RIGHTS UPON FINAL PAYMENT
STATE OF GEORGIA
COUNTY OF __________________
THE UNDERSIGNED MECHANIC AND/OR MATERIALMAN HAS BEEN EMPLOYED BY __________________ (NAME OF CONTRACTOR) TO FURNISH __________________ (DESCRIBE MATERIALS AND/OR LABOR) FOR THE CONSTRUCTION OF IMPROVEMENTS KNOWN AS __________________ (TITLE OF THE PROJECT OR BUILDING) WHICH IS LOCATED IN THE CITY OF __________________, COUNTY OF __________________, AND IS OWNED BY __________________ (NAME OF OWNER) AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:
__________________
__________________
__________________
(DESCRIBE THE PROPERTY UPON WHICH THE IMPROVEMENTS WERE MADE BY USING EITHER A METES AND BOUNDS DESCRIPTION, THE LAND LOT DISTRICT, BLOCK AND LOT NUMBER, OR STREET ADDRESS OF THE PROJECT.)
UPON THE RECEIPT OF THE SUM OF $ __________________, THE MECHANIC AND/OR MATERIALMAN WAIVES AND RELEASES ANY AND ALL LIENS OR CLAIMS OF LIENS IT HAS UPON THE FOREGOING DESCRIBED PROPERTY OR ANY RIGHTS AGAINST ANY LABOR AND/OR MATERIAL BOND ON ACCOUNT OF LABOR OR MATERIALS, OR BOTH, FURNISHED BY THE UNDERSIGNED TO OR ON ACCOUNT OF SAID CONTRACTOR FOR SAID PROPERTY.
GIVEN UNDER HAND AND SEAL THIS __________________ DAY OF __________________, __________________.
__________________ (SEAL)
__________________
__________________
(WITNESS)
__________________
(ADDRESS)
NOTICE: WHEN YOU EXECUTE AND SUBMIT THIS DOCUMENT, YOU SHALL BE CONCLUSIVELY DEEMED TO HAVE WAIVED AND RELEASED ANY AND ALL LIENS AND CLAIMS OF LIENS UPON THE FOREGOING DESCRIBED PROPERTY AND ANY RIGHTS REGARDING ANY LABOR OR MATERIAL BOND REGARDING THE SAID PROPERTY TO THE EXTENT (AND ONLY TO THE EXTENT) SET FORTH ABOVE, EVEN IF YOU HAVE NOT ACTUALLY RECEIVED SUCH PAYMENT, 90 DAYS AFTER THE DATE STATED ABOVE UNLESS YOU FILE AN AFFIDAVIT OF NONPAYMENT PRIOR TO THE EXPIRATION OF SUCH 90 DAY PERIOD. THE FAILURE TO INCLUDE THIS NOTICE LANGUAGE ON THE FORM SHALL RENDER THE FORM UNENFORCEABLE AND INVALID AS A WAIVER AND RELEASE UNDER O.C.G.A. § 44-14-366.”
Provided, however, that the failure to correctly complete any of the blank spaces in the above form shall not invalidate said form so long as the subject matter of said release may reasonably be determined.
(f) Nothing contained in this Code section shall affect:
(1) The enforceability of any subordination of lien rights by a potential lien claimant to the rights of any other party which may have or acquire an interest in all or any part of the real estate, factories, railroads, or other property for which the potential lien claimant has furnished labor, services, or material, even though such subordination is entered into in advance of furnishing labor, services, or material and even though the claimant has not actually received payment in full for its claim;
(2) The enforceability of any waiver of lien rights given in connection with the settlement of a bona fide dispute concerning the amount due the lien claimant for labor, services, or material which have already been furnished;
(3) The validity of a cancellation or release of a recorded claim of lien or preliminary notice of lien rights; or
(4) The provisions of paragraph (2) of subsection (a) of Code Section 44-14-361.2, paragraphs (3) and (4) of subsection (a) and subsections (b) and (c) of Code Section 44-14-361.4, or Code Section 44-14-364.
(g)
(1) When a waiver and release provided for in this Code section is executed by the claimant, it shall be binding against the claimant for purposes of the waiver of lien and labor or material bond rights to the extent stated in the waiver and release, subject only to the provisions of paragraphs (2) and (3) of this subsection.
(2) Such lien and labor or material bond waivers and releases shall conclusively be deemed effective upon the earliest to occur of:
(A) Actual receipt of funds in the amount set forth in the waiver and release;
(B) Execution by the claimant of a separate written acknowledgment of payment in full; or
(C) Ninety days after the date of the execution of the waiver and release, unless prior to the expiration of said 90 day period the claimant files in the county in which the property is located an affidavit of nonpayment, using substantially the language in the following form, where such language shall be in at least 12 point font and need not be in boldface capital letters:
“AFFIDAVIT OF NONPAYMENT UNDER
O.C.G.A. § 44-14-366
STATE OF GEORGIA
COUNTY OF __________________
THE UNDERSIGNED MECHANIC AND/OR MATERIALMAN HAS BEEN EMPLOYED BY __________________ (NAME OF CONTRACTOR) TO FURNISH __________________ (DESCRIBE MATERIALS AND/OR LABOR) FOR THE CONSTRUCTION OF IMPROVEMENTS KNOWN AS __________________ (TITLE OF THE PROJECT OR BUILDING) WHICH IS LOCATED IN THE CITY OF __________________, COUNTY OF __________________, AND IS OWNED BY __________________ (NAME OF OWNER) AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:
__________________
__________________
__________________
(DESCRIBE THE PROPERTY UPON WHICH THE IMPROVEMENTS WERE MADE BY USING EITHER A METES AND BOUNDS DESCRIPTION, THE LAND LOT DISTRICT, BLOCK AND LOT NUMBER, OR STREET ADDRESS OF THE PROJECT.)
PURSUANT TO O.C.G.A. § 44-14-366 THE UNDERSIGNED EXECUTED A LIEN WAIVER AND RELEASE WITH RESPECT TO THIS PROPERTY DATED __________________, __________________. THE AMOUNT SET FORTH IN SAID WAIVER AND RELEASE ($__________________) HAS NOT BEEN PAID IN FULL AND $__________________ OF THE AMOUNT SET FORTH IN SAID WAIVER AND RELEASE REMAINS UNPAID, AND THE UNDERSIGNED HEREBY GIVES NOTICE OF SUCH NONPAYMENT.
THE ABOVE FACTS ARE SWORN TRUE AND CORRECT BY THE UNDERSIGNED, THIS __________________ DAY OF __________________, __________________.
__________________ (SEAL)
CLAIMANT’S SIGNATURE
SWORN TO AND EXECUTED IN THE PRESENCE OF:
__________________
WITNESS
__________________
NOTARY PUBLIC
WITHIN SEVEN DAYS OF FILING THIS AFFIDAVIT OF NONPAYMENT, THE FILING PARTY SHALL SEND A COPY OF THE AFFIDAVIT BY REGISTERED OR CERTIFIED MAIL OR STATUTORY OVERNIGHT DELIVERY TO THE OWNER OF THE PROPERTY. IF THE FILING PARTY IS NOT IN PRIVITY OF CONTRACT WITH THE PROPERTY OWNER AND A NOTICE OF COMMENCEMENT IS FILED FOR THE IMPROVEMENT ON THE PROPERTY FOR WHICH THE FILING PARTY’S LABOR, SERVICES, OR MATERIALS WERE FURNISHED, A COPY OF THE AFFIDAVIT SHALL BE SENT TO THE CONTRACTOR AT THE ADDRESS SHOWN ON THE NOTICE OF COMMENCEMENT. WHENEVER THE OWNER OF THE PROPERTY IS AN ENTITY ON FILE WITH THE SECRETARY OF STATE’S CORPORATIONS DIVISION, SENDING A COPY OF THE AFFIDAVIT TO THE COMPANY’S ADDRESS OR THE REGISTERED AGENT’S ADDRESS ON FILE WITH THE SECRETARY OF STATE SHALL BE DEEMED SUFFICIENT.”
(3) A claimant who is paid, in full, the amount set forth in the waiver and release form after filing an affidavit of nonpayment shall upon request execute in recordable form an affidavit swearing that payment in full has been received. Upon recordation thereof in the county in which the Affidavit of Nonpayment was recorded, the affidavit of nonpayment to which it relates shall be deemed void.
(4) Nothing in this Code section shall shorten the time within which to file a claim of lien.
(5) A waiver and release provided in this Code section shall be suspended upon filing of an affidavit of nonpayment until payment in full has been received.
(6) The claimant may rely upon the information contained in the waiver and release form when completing for filing the affidavit of nonpayment.
§ 44-14-367. Notice; required statement
Failure of a lien claimant to commence a lien action to collect the amount of his or her claim within 365 days from the date of filing the lien, or failure of the lien claimant to file the statutory notice of commencement of lien action in the county where the property is located, renders the claim of lien unenforceable. A claim of lien may be disregarded if no notice of commencement of lien action was filed within 395 days from the date the claim of lien was filed. Any lien filed after March 31, 2009, shall include on the face of the lien the following statement in at least 12 point bold font: “This claim of lien expires and is void 395 days from the date of filing of the claim of lien if no notice of commencement of lien action is filed in that time period.” Failure to include such language shall invalidate the lien and prevent it from being filed. No release or voiding of such liens shall be required. A lien shall expire sooner and be disregarded once it is determined that no notice of commencement was timely filed in response to a notice of contest pursuant to Code Section 44-14-368.
§ 44-14-368. Notice of contest of lien
(a) An owner or an owner’s agent or attorney, or the contractor or contractor’s agent or attorney, may elect to shorten the time prescribed in which to commence a lien action to enforce any claim of lien by recording in the superior court clerk’s office a notice in substantially the following form, in boldface capital letters in at least 12 point font, along with proof of delivery upon the lien claimant:
“NOTICE OF CONTEST OF LIEN
TO: [NAME AND ADDRESS OF LIEN CLAIMANT]
YOU ARE NOTIFIED THAT THE UNDERSIGNED CONTESTS THE CLAIM OF LIEN FILED BY YOU ON __________________ 20 __________________, AND RECORDED IN __________________ BOOK __________________, PAGE __________________ OF THE PUBLIC RECORDS OF __________________ COUNTY, GEORGIA, AGAINST PROPERTY OWNED BY __________________, AND THAT THE TIME WITHIN WHICH YOU MAY COMMENCE A LIEN ACTION TO ENFORCE YOUR LIEN IS LIMITED TO 60 DAYS FROM RECEIPT OF THIS NOTICE. THIS __________________ DAY OF __________________, 20__________________.
THIS ABOVE-REFERENCED LIEN WILL EXPIRE AND BE VOID IF YOU DO NOT: (1) COMMENCE A LIEN ACTION FOR RECOVERY OF THE AMOUNT OF THE LIEN CLAIM PURSUANT TO O.C.G.A. SECTION 44-14-361.1 WITHIN 60 DAYS FROM RECEIPT OF THIS NOTICE; AND (2) FILE A NOTICE OF COMMENCEMENT OF LIEN ACTION WITHIN 30 DAYS OF FILING THE ABOVE-REFERENCED LIEN ACTION.
SIGNED: __________________
(OWNER, CONTRACTOR, AGENT OR ATTORNEY)”
(b) The clerk of the superior court shall cross-reference the notice of contest of lien to the lien. The owner or his or her agent or attorney, or the contractor or his or her agent or attorney, shall send a copy of the notice of contest of lien within seven days of filing by registered or certified mail or statutory overnight delivery to the lien claimant at the address noted on the face of the lien. Service shall be deemed complete upon mailing.
(c) The lien shall be extinguished by law 90 days after the filing of the notice of contest of lien if no notice of commencement of lien action is filed in that time period. No release or voiding of such liens shall be required. This subsection shall not be construed to extend the time in which a lien action must begin.
§ 44-14-369. Computation of certain time periods
For the purposes of this part, the computation of time shall be determined pursuant to paragraph (3) of subsection (d) of Code Section 1-3-1.