On owner-occupied residential projects, must provide notice of lien rights and identity of subs to be used.
Iowa Mechanics Lien Guide & FAQs
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Iowa mechanics lien deadlines for:
For maximum protection lien must be filed within 90 days of last providing materials or labor. Lien may be filed for a period of 2 years after the 90-day deadline, but is only effective as to amounts not yet paid to the general contractor.
In Iowa, an action to enforce a mechanics lien must be initiated within 2 years from the last date the lien could have been filed. So the deadline is actually 2 years and 90 days from last furnishing labor or materials.
However, that period can be significantly shortened. A property owner may – by written demand – require the lien claimant to initiate the enforcement action within 30 days.
On owner-occupied residential projects, must provide notice of providing labor/materials to owner upon starting work. If a sub-sub on non-residential, must notify prime contractor within 30 days of first furnishing materials.
For maximum protection lien must be filed within 90 days of last providing materials or labor. Lien may be filed for a period of 2 years after the 90-day deadline, but is only effective as to amounts not yet paid to the general contractor.
In Iowa, an action to enforce a mechanics lien must be initiated within 2 years from the last date the lien could have been filed. So the deadline is actually 2 years and 90 days from last furnishing labor or materials.
However, that period can be significantly shortened. A property owner may – by written demand – require the lien claimant to initiate the enforcement action within 30 days.
On owner-occupied residential projects, must provide notice of providing labor/materials to owner upon starting work. If supplying to a sub on non-residential projects, must notify prime contractor within 30 days of first furnishing materials.
For maximum protection lien must be filed within 90 days of last providing materials or labor. Lien may be filed for a period of 2 years after the 90-day deadline, but is only effective as to amounts not yet paid to the general contractor.
In Iowa, an action to enforce a mechanics lien must be initiated within 2 years from the last date the lien could have been filed. So the deadline is actually 2 years and 90 days from last furnishing labor or materials.
However, that period can be significantly shortened. A property owner may – by written demand – require the lien claimant to initiate the enforcement action within 30 days.
Iowa Mechanics Lien FAQs
Who can file an Iowa mechanics lien?
In Iowa, all parties who furnish labor and/or materials to the property owner, the original contractor, or subcontractor are entitled to mechanics lien rights. It is unsettled whether any more remote party, such as suppliers to suppliers, may file a valid mechanics lien.
Note mechanics lien rights have become very restricted on tenant improvements after a recent case from the Supreme Court of Iowa. If the construction project was initiated by the tenant, rather than the owner of the property, lien rights won’t exist in the underlying land itself.
Is a written contract required to file a mechanics lien in Iowa?
Generally, a written contract isn’t required in Iowa to be able to file a mechanics lien. However, its always a good idea to get a contract in writing at the outset of each and every construction project.
• Dive deeper: Can a Contractor File a Lien Without a Written Contract?
Can an unlicensed contractor file a Iowa mechanics lien?
Yes, there is no specific requirement to be licensed in order to file a valid mechanics lien claim in Iowa. However, it’s always best to be licensed if a license is required to perform the work in question.
• Learn how to get licensed: Iowa Contractor Licensing: Guide to Requirements & More
When is the deadline to file an Iowa mechanics lien?
Iowa is unique in its time requirements for filing a valid mechanics lien.
• For full protection, an Iowa mechanics lien should be filed within 90 days after the date of last furnishing labor and/or materials to the project.
• If that deadline is missed, however, all is not lost. Iowa allows a lien to be filed after the 90-day deadline for a period of two years.
Note, however, that a lien filed after the expiration of the 90-day period only protects the lien claimant to the extent that the owner has not yet paid the general contractor.
What information should I include in an Iowa mechanics lien?
The information required on an Iowa mechanics lien claim can be found under Iowa Code §572.8, and should include all of the following information:
• Claimant’s name & address;
• First and last dates of furnishing labor and/or materials to the project;
• Statement of account of the demand due, after allowing all credits;
• Property address, legal description, and tax parcel ID number; &
• Owner’s name & address.
• Note: if hired by a subcontractor on a residential project, an affidavit stating that the preliminary notice was properly sent must be attached.
Does a Iowa mechanics lien need to include a legal property description?
Yes. Iowa not only requires a legal description of the property to be charged with the lien but also requires the address of the property (or a description of the location of the property if there is no address) and the tax parcel identification number.
In July 2013, the state amended its mechanics lien law to no longer require simply a “legal description,” but instead now requires a “legal description adequate to describe the property.” This appears to be a lower standard, but courts have not addressed this.
• Learn more: Legal Property Description Search | A Complete Guide
Can attorney fees, collection costs, or other amounts be included in the lien amount?
Attorney’s fees and other consequential damages should not be included in the lien amount in Iowa. However, in a successful action to enforce a mechanics lien, the lien claimant may be awarded reasonable attorney fees by the court.
Does an Iowa mechanics lien need to be notarized?
Yes, Iowa law requires that a mechanics lien must be notarized to be valid and accepted for recording.
• Learn more about notarizing construction payment documents
• Options for notarizing mechanics liens remotely
Where do I file and record an Iowa mechanics lien?
Iowa mechanics liens, and notices for that matter, are recorded through the Iowa Mechanic’s Notice & Lien Registry online portal.
How do I actually file an Iowa mechanics lien?
There are a lot of questions on this page about who can file an Iowa mechanics lien, when it must be filed, what types of rules apply, and more. But you may be wondering something much more practical: how do I actually get my mechanics lien recorded and filed?
• For a full breakdown of the process, you may want to consult: How to File an Iowa Mechanics Lien | A Step-by-Step Guide
Do I need to send notice that the mechanics lien was recorded in Iowa?
Yes. Iowa requires that the lien be mailed to the property owner.
However, when the lien is filed by posting with Iowa’s mechanics lien registry website, the administrator is required to mail a copy of the lien to the owner for the lien claimant.
Can I file an Iowa mechanics lien on a condominium project?
Yes. You may file a mechanic’s lien against a condominium project in Iowa, to the extent you are a party otherwise allowed to file a mechanic’s lien.
Note, however, to have a claim against an individual owner-occupied unit, the claim must specifically describe the unit in question, and the timing of the claim is determined by the last date of furnishing to that specific unit.
When is the deadline to enforce an Iowa mechanics lien, or, how long is my lien effective?
In Iowa, all lien claimants must initiate the enforcement of the lien within two (2) years and 90 days after the last date on which labor and/or materials were furnished to the project.
However, note that a property owner may – by written demand – require the lien claimant to initiate the enforcement action within 30 days.
Can I collect the entire unpaid amount from the property owner if they already paid the general contractor in full in Iowa?
It depends, as mentioned above if the claim is filed within 90 days after the last date of furnishing labor and/or materials to the project; the claimant will have a full price lien. However, if filed after the 90-day period, then the claim is limited to the unpaid balance at the time the claim was filed.
• Dive deeper: Full Price Liens vs. Unpaid Balance Liens
Does an Iowa lien have priority over pre-existing mortgages or other construction loans?
No. Priority of mechanics liens in Iowa is based generally on the date of the lien filing. Generally speaking, mechanics liens have priority over liens or other encumbrances that arise after the filing of the mechanics lien. Construction mortgage liens are preferred to all mechanics liens based on work initiated subsequent to the date of recording of the construction mortgage lien.
As between multiple mechanics lien claimants, mechanics liens have priority over other mechanics lien based on the date of filing of the statement of account.
Who cancels the Iowa mechanics lien if/when I get paid?
In Iowa, when a mechanics lien claim is paid, it is the responsibility of the claimant to acknowledge satisfaction thereof upon the mechanic’s lien book, or otherwise in writing.
If the claimant neglects to acknowledge satisfaction of the lien for thirty days after demand in writing is personally served upon the claimant, the claimant is required to pay a small penalty and is liable to any person injured by the failure to acknowledge the satisfaction to the extent of the injury.
People are asking Iowa construction attorneys:
False mechanics lien placed t hurt my business; what can I do
Hi Sheri,
You shoud hire an attorney to help you get Andrew out of your hair. It sounds like what he is trying to do is called "litigation abuse" where a ex-partner tries to retaliate after a breakup by abusing the legal system to harass you. If the lien he filed against your property is fraudulent, then he could actually get himself into legal trouble. You may have grounds to sue him, but only an attorney licensed in your state could tell you for certian. However, if you do not take legal action against his harassment, his harassment will likely escalate (statistically speaking). You may also want to consider getting a restraining order against him.
Here is a list of lawyers in Iowa: https://www.levelset.com/payment-help/experts/construction-lawyer/iowa/ Call one or a few of these attorneys directly and explain your situation, then pick one to represent you. This forum is public so it is not place to discuss a sensitive legal issue like this, it is best that you discuss this with a lawyer in private. I hope this all works out for you.
Do Iowa mechanics liens need to be notarized?
Simply yes,
If after Filing your lien you are still having payment resolution Issues I can actually help I am Licensed and bonded and help Contractors and company onwers get paid everyday on mechanics liens give me a ring at 972-872-8783 and i would love to help out
Can a property owner use a mechanic's loan on a fully paid contractor that will not finish the work?
If I file a mechanics lien does it prevent me from suing later?
What Lien waiver is the correct to file?
Technically speaking, you aren't required to do anything with your lien claim after receiving partial payment. Allowing the claim to remain intact still secures full payment, and if the dispute reaches the point of foreclosure, any payments made will be deducted.
- We explore this issue in depth here: After Partial Payment, What Should You Do With Your Lien?
If you are still being pressured by the property owner, there are two safe options available:
1. Amend the claim: Iowa may not provide for "partial releases" they do specifically allow for the ability to amend the claim to decrease the amount under Iowa Code §572.26: "A claimant may amend a lien statement without leave of the courtto decrease the amount demanded, and such amendment shall be effected through the mechanics' notice and lien registry."
2. Provide a waiver to the owner: Filing a lien waiver isn't really necesssary, but you can sign a waiver and send it directly to the property owner as proof that the amount paid has been waived; the amount listed on the claim won't change, but they'll have physical proof that you have waived that amount of lien rights:
- If you have already received payment, you could execute an Unconditional Waiver on Progress Payment; or
- If you are still waiting on that check to be deposited, you could execute a Conditional Waiver on Progress Payment.
- For more on the distinction, see: 4 Basic Types of Lien Waivers Explained
Can a commercial property I filed a mechanic’s lien against challenge it and accuse me of price gauging?
Can we file a lien on one of our Iowa customers
We need to foreclose on a lien in Iowa
Do i have lien rights?
can i file a mechanics lien if i didnt file preliminary notice
Typically, direct contractors on owner-occupied residential projects will need to send a preliminary notice in order to preserve mechanics lien rights. That notice should typically be given in the contract itself, or within 10 days of commencing work. Further discussion here: Do I Need to Send a Iowa Preliminary Notice?
Note that there are other tools, besides mechanics liens, that can lead to payment, too. Levelset discusses some of those tools here: Can’t File a Lien? Here Are Some Other Options For Recovery.
Are we able to file a lien?
Hello!
IA as in Iowa? Here's the Levelset guide to the Iowa lien process: https://www.levelset.com/mechanics-lien/iowa-lien-law-faqs/
Consider filing the lien on the property and immediately moving to enforce it. I am not sure of Iowa laws specifically but they will have to explain to a judge why they got an unconditional lien waiver signed by you and then refused to pay you.
You will have to sue to enforce in Iowa, though, under their laws.
E. Aaron Cartwright III
214.789.1354
Aaron@EACLawyer.com
Address to send paperwork to file a lien in iowa
- The claim will be limited to the "unpaid balance" due to the general contractor at the time the lien was posted; &
- Written notice must be served by the claimant to the owner by certified mail with return receipt requested.
What’s the procedure and cause to file on a bond
You'll have to go to the Iowa Secretary of State's website, register, find the project and then file the lien. This is a centralized lien filing program for the entire state. If you are a sub of the GC, you shouldn't have a problem. But, if you are a supplier, there are certain notice provisions that you'll need to meet in order to have a valid lien.
Here is a link to the lien registry: https://sos.iowa.gov/mnlr/index.aspx
You'll need to search for the property, register, then file your lien.
Can workers put a lien on my house?
How do we dispute this debt?
Is a single family dwelling owned by a Trust and is a place of business, subject to a commercial lien?
Can I file a lien on a property even if the PO has proof that they have paid the GC?
Are there situations where an NOC/MLNR # are not required on IA residential jobs?
Iowa Notice of Commencement requirements
If the project is residential, and the GC has or plans to hire any subcontractors, then a Iowa Notice of Commencement (NOC) is required to secure mechanics lien rights; under Iowa Code §572.13A. It should be filed with the IA MNLR website within 10 days of the start of the project. A GC's failure to post the NOC within that deadline is fatal to their mechanics lien rights.- Note: There haven't been any amendments to the Iowa Notice of Commencement statute that went into effect since 2017
Iowa Notice to Owner on residential projects
In addition to the NOC, Iowa Code §§572.13 also requires that certain mechanics lien information be provided to the residential property owner. This can be included in either the contract itself or in a separate document. The language can be found here. Here are some additional resources you may find helpful:Is a mechanics lien the correct thing.
Can I file a mechanic's lien 4 the client canceling a contract early without paying in full?
Contract claims when improperly terminated on a construction project
Note, also, that there could be legal causes of action in play - beyond a mere mechanics lien filing - when an owner has improperly terminated their contractor. Namely, actions based in breach of contract and wrongful termination might be on the table.Recovering payment without actually filing a lien
Finally, keep in mind that there are tools that can help with payment recovery without the need for actually filing a mechanics lien or pursuing legal claims.Payment demand letters
A payment demand letter lets a customer know that you're serious about getting paid, and that a contractor won't sit idly by if payment isn't made. By sending a demand letter with specific legal threats, a contractor may be able to push their customer to do the right thing and pay what's owed. More on that here: Demand Letters for Contractors – How To Write One That Gets You Paid.Notice of Intent to Lien
A Notice of Intent to Lien can take things a step further. It acts like a warning shot - informing a customer that if payment isn't made and made soon, then a lien claim will be filed against their project. Considering the drastic nature of mechanics liens, customers will usually want to do what it takes to avoid a lien claim - so they're more likely to pay what's owed on the job. You can learn more about that recovery tool here: What Is a Notice of Intent to Lien and Should You Send One?Sometimes, a mechanics lien will be necessary
With the above information in mind, mechanics lien claims are sometimes necessary. Here are some resources with great information on Iowa mechanics lien claims: - Iowa Mechanics Lien Guide and FAQs - Mechanics Lien Iowa: How to File an IA Mechanics Liencan I file a mechanics Lein if I'm not a licenced contractor and had only verbal agreement?
Customer negotiating the total due and willing to Settle for 50% only
That's an interesting question. Ultimately, that would come down to a business decision and a claimant would have to determine whether 50% of an invoice is enough. That could depend on a number of variables - including the business' margins, cash flow, the relationships of the parties involved, and a whole host of other factors. Let's look at some of that below, as well as how to settle an old invoice with partial payment without forgoing the right to collect future invoices.
Deciding what's a reasonable settlement on an invoice
When deciding whether or not to accept a settlement offer, it's important to assess the leverage of the situation and to contemplate the other options. If not all recovery tools have been utilized, proceeding with those tools (or, at least showing that you're prepared to proceed with those tools) might lead to full payment or at least a better offer. Sending a document like a Notice of Intent to Lien to the customer and to the project owner could help in that regard. Or, if a Notice of Intent to Lien has already been used, actually proceeding with a mechanics lien claim could potentially help a claimant obtain full payment.
But it's also up to the claimant to determine just how far to take the dispute, and when might be a good time to settle for less than full payment. Plus, every project and every set of circumstances is different. So, while it might make sense to settle for less on one job, it may make sense to stick it out for a better payment offer on another. But, before deciding to take a settlement that'd really hurt the business, it might be worthwhile to use all the recovery tools available. Plus, while a customer might only be willing to make partial payment, brining the owner into the dispute and showing them that their property title is in danger might either create more pressure for the customer or even result in the owner making payment, too.
Settling an invoice without creating other problems
As for exactly how to resolve a payment dispute on an invoice, that can be tricky, too. For one - the use of pre-dated checks might be relatively common in the construction industry, but that doesn't mean it's a good idea. You're right to be a little skeptical. For a claimant, there's really no reason to use pre-dated checks, and it isn't unreasonable to request that all documentation be legitimate. Using pre-dated checks might not always lead to issues, but intentionally manipulating the timeline of a dispute isn't typically a good idea for a claimant - it's probably better to use the correct dates on all documentation in most situations.
As for the terminology when accepting less than full payment - that's crucial, too. It's important that a claimant gives up no greater rights than intended. So, any agreement to accept less than full payment should very clearly indicate the invoice that's being paid, and it should indicate that the acceptance of payment is specifically to resolve the payment dispute pertaining to that invoice. Unfortunately, it's pretty common for some construction businesses to try and take advantage of situations like this - so carefully reading over any and all documentation is a must. Further, it's a good idea to condition the waiver of rights on the receipt of payment, much like with a conditional lien waiver. When properly done, any payment rights wouldn't be waived until payment hits the bank.
Here's an article I think might be valuable when discerning whether settlement language is acceptable. The situation described in your question is a unique one, so it might not all *directly* apply to the situation at hand. But, I think the principles should still apply: Should You Sign That Lien Waiver? The Details Are Important
As a final note, when weighing whether or not to accept a settlement or whether to sign certain documentation, it's a good idea to consult a local construction attorney. While I'm able to provide helpful information, they can review all of your documentation and circumstances in depth then advise on how best to proceed.
I hope this was helpful! If not, or if you've got other questions, please feel free to post additional questions here!
Owner called about a lien...
Lien holder name different than company that is owed for work completed
did plumbing for a daycare center, the general was paid and kept telling me he wasn,t, so waited till the last minute and put a lien on the property 9-23-16, still have not received any payment. was thinking of a law suit against the general but because of the amount we think he will just go bankrupt ($36550.00) want to find out what my options are and if i should look into a law suit.
If we deliver material to the nearest street address to a project on a nearby acreage, how can we confirm whether the street address is legally associated with the final project location in order to maintain our lien rights?
I'm a painter and remodeler without an lcc or license. This past summer through start of new year I had worked on my biggest project, 58 garage units and surrounding structures at a 3 condo complex. They have paid me the full of my estimate but my final bill is yet to be paid. seeing as how the final bill includes all of the additional labor that was asked of me and performed of me I was even verbally told that I would be getting paid, but it may be negotiable the amount. Which is ridiculous, because I feel like I charged nothing the condo I did work on is also were my mother owns her unit and lives. which I have lived at half the time with her over the past year; i caught a legal charge and since the board of directors is an ex cop, it can be stated that they don't want to pay me due to this charge. Not taking me as seriously. It's stated 'seems as though this bill has come up for obvious reasons' was stated in an email between board members. which my mother used to be secretary on but currently no longer. Help! The board of condo association hired me to prep patch and paint the 58 garages. Now, out of everyone in the condo, only 58 of them have garages. So, those people with the garages will be charged an amount over the course of... finding out now. in the 'association dues' although they are not aware of this amount until project is done. they have 18 months to pay it. BUT the condo takes out loans to pay the laborers hired for any project and then try and pay it back with charging the tenants their association dues so, i have paperwork from condos meeting last night saying they have paid for all the garage repairs. Which there was a company who is huge and more seasoned than myself who charged them 37,000 for wood rot repair and such. Where as i had it added on my plate to patch all of their mistakes when there was still complaints about their work. I want to get paid! Do I have that right?
Are Architects and Engineers entitles to mechanics lien rights in Iowa, whether the land or building is improved or not?
Best rated general contractors in Iowa
Iowa Mechanics Lien Requirements
Iowa’s mechanics lien law sets specific requirements that unpaid construction parties must follow in order to file a mechanics lien claim.
Lien rights
Iowa mechanics lien law statutes allows for broad coverage, including any party who performed any labor on “any building or land for improvement, alteration or repair thereof, including those engaged in the construction or repair of any work of internal or external improvement, and those engaged in grading, sodding, installing nursery stock, landscaping, sidewalk building, fencing… by virtue of any contract with the owner, the owner’s agent, trustee, contractor, or subcontractor.”
Equipment renters and those who supplied off-site materials (if the off-site work is necessary for the delivery of labor or materials) to the site are all eligible for lien rights just as long as the work is called for in the contract. Architects, engineers, surveyors, and interior designers are not mentioned and it is a gray area if they are covered.
Sub-sub-subcontractors (and parties further down the chain) do not have lien rights.
Filing deadlines
In Iowa, the deadline to file a mechanics lien is 90 days from the last furnishing of labor or materials to the project. However, unlike most states, a potential lien claimant in Iowa is allowed to file a lien after the 90 day period, provided notice is served to the owner.
While filing an untimely lien is allowed, a lien filed past the 90 day period is only effective against the funds unpaid to the general contractor.
Notice requirements
Sending an Iowa preliminary notice is a requirement depending on the type of project and contractor role.
Prime contractors need to provide notice to the property owner on an owner-occupied residential project to identify subcontractors or suppliers.
Subcontractors and laborers on an owner-occupied residential project must provide notice to the owner when starting work.
On non-residential projects, sub-subcontractors and material suppliers must provide notice to the general contractor within 30 days of furnishing to the project.
Recording requirements
To perfect a mechanics lien in Iowa, it must be filed electronically through the Secretary of State Office Mechanic’s Notice and Lien Registry (MNLR). Preliminary notices can be filed through the system as well.
When a claimant files through Iowa’s MNLR, it will ask for the project information, such as the project type (commercial or residential), address, dollar amount owed, and the tax parcel ID number.
Enforcing the lien
A mechanics lien doesn’t last forever. If unpaid, Iowa claimants must take action to enforce their lien within 2 years from the date of recording.
How to file a mechanics lien in Iowa (DIY)
Read the step-by-step guide
In our Guide to Filing an Iowa Mechanics Lien, we will walk you through each step required to qualify for and file a mechanics lien in Iowa. We’ll show you the notices you need to send, the information required on Iowa’s mechanics lien form, and essential tips about delivering it to the appropriate county office.
Get the right form
Download a blank Iowa mechanics lien form to use when filing a claim. Our free forms were created by construction attorneys to meet the requirements in Iowa’s mechanics lien laws. The state statutes are very specific about the language and formatting required in a lien claim document. We make it easy to get this part right.
Fill out the form
Making a mistake on the form could cause an Iowa lien claim to be invalid. 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.
File your lien claim
File your completed form with the recorder’s office in the Iowa county where the property is located, and pay the recording fee. View a full list of Iowa recorder’s offices to find contact information, fees, and filing requirements.
After you file
A mechanics lien doesn’t last forever in Iowa. If you get paid, it’s a good idea to release your Iowa lien. If you don’t get paid, you may need to enforce it. You must file an enforcement action before the deadline expires.
Iowa Mechanics Lien Statutes
The provisions of the Iowa statutes that permit the filing of mechanics liens and materialman’s liens can be found in Iowa’s Mechanics Lien Act, Iowa Code § 572.1 et. seq. The full text of the Iowa Mechanics Lien Law is provided below. Updated as of May 2023.
§ 572.1. Definitions and rules of construction
For the purpose of this chapter:
1.”Administrator” means the secretary of state.
2.”Building” shall be construed as if followed by the words “erection, or other improvement upon land”.
3.”General contractor” includes every person who does work or furnishes materials by contract, express or implied, with an owner. “General contractor” does not include a person who does work or furnishes materials on contract with an owner-builder.
4.”Labor” means labor completed by the claimant.
5.”Material“, in addition to its ordinary meaning, includes machinery, tools, fixtures, trees, evergreens, vines, plants, shrubs, tubers, bulbs, hedges, bushes, sod, soil, dirt, mulch, peat, fertilizer, fence wire, fence material, fence posts, tile, and the use of forms, accessories, and equipment furnished by the claimant.
6.”Mechanics’ notice and lien registry” means a centralized computer database maintained on the internet by the administrator that provides a central repository for the submission and management of preliminary notices, notices of commencement of work on residential construction properties, and mechanics’ liens on all construction properties.
7.”Mechanics’ notice and lien registry number” means a number provided by the administrator for all residential construction properties posted to the mechanics’ notice and lien registry.
8.”Owner” means the legal or equitable titleholder of record.
9.”Owner-builder” means the legal or equitable titleholder of record who furnishes material for or performs labor upon a building, erection, or other improvement, or who contracts with a subcontractor to furnish material for or perform labor upon a building, erection, or other improvement and who offers or intends to offer to sell the owner-builder’s property without occupying or using the structures, properties, developments, or improvements for a period of more than one year from the date the structure, property, development, or improvement is substantially completed or abandoned.
10.”Residential construction” means construction on single-family or two-family dwellings occupied or used, or intended to be occupied or used, primarily for residential purposes, and includes real property pursuant to chapter 499B.
11.”Subcontractor” includes every person furnishing material or performing labor upon any building, erection, or other improvement, except those having contracts directly with the owner. “Subcontractor” shall include those persons having contracts directly with an owner-builder.
§ 572.2. Persons entitled to lien
1. Every person who furnishes any material or labor for, or performs any labor upon, any building or land for improvement, alteration, or repair thereof, including those engaged in the construction or repair of any work of internal or external improvement, and those engaged in grading, sodding, installing nursery stock, landscaping, sidewalk building, fencing on any land or lot, by virtue of any contract with the owner, owner-builder, general contractor, or subcontractor shall have a lien upon such building or improvement, and land belonging to the owner on which the same is situated or upon the land or lot so graded, landscaped, fenced, or otherwise improved, altered, or repaired, to secure payment for the material or labor furnished or labor performed.
2. If material is rented by a person to the owner, general contractor, or subcontractor, the person shall have a lien upon such building, improvement, or land to secure payment for the material rental. The lien is for the reasonable rental value during the period of actual use of the material and any reasonable periods of nonuse of the material taken into account in the rental agreement. The delivery of material to such building, improvement, or land, whether or not delivery is made by the person, creates a presumption that the material was used in the course of alteration, construction, or repair of the building, improvement, or land. However, this presumption shall not pertain to recoveries sought under a surety bond.
3. An owner-builder is not entitled to a lien under this chapter as to work the owner-builder performs, or is contractually obligated to perform, prior to transferring title to the buyer.
§ 572.3. [Repealed]
[Repealed]
§ 572.4. Security after completion of work
After the completion of such work, the taking of security of any kind shall not affect the right to establish a mechanic’s lien unless such new security shall, by express agreement, be given and received in lieu of such lien.
§ 572.5. Extent of lien
The entire land upon which any building or improvement is situated, including that portion not covered therewith, shall be subject to a mechanic’s lien to the extent of the interest therein of the person for whose benefit such material was furnished or labor performed.
§ 572.6. In case of leasehold interest
When the interest of such person is only a leasehold, the forfeiture of the lease for the nonpayment of rent, or for noncompliance with any of the other conditions therein, shall not forfeit or impair the mechanic’s lien upon such building or improvement; but the same may be sold to satisfy such lien, and removed by the purchaser within thirty days after the sale thereof.
§ 572.7. In case of internal improvement
When the lien is for material furnished or labor performed in the construction, repair, or equipment of any railroad, canal, viaduct, or other similar improvement, said lien shall attach to the erections, excavations, embankments, bridges, roadbeds, rolling stock, and other equipment and to all land upon which such improvements or property may be situated, except the easement or right-of-way.
§ 572.8. Perfection of lien
1. A person shall perfect a mechanic’s lien by posting to the mechanics’ notice and lien registry internet website a verified statement of account of the demand due the person, after allowing all credits, setting forth:
a. The date when such material was first furnished or labor first performed, and the date on which the last of the material was furnished or the last of the labor was performed.
b. The legal description that adequately describes the property to be charged with the lien.
c. The name and last known mailing address of the owner of the property.
d. The address of the property or a description of the location of the property if the property cannot be reasonably identified by an address.
e. The tax parcel identification number.
2. Upon posting of the lien, the administrator shall mail a copy of the lien to the owner. If the statement of the lien consists of more than one page, the administrator may omit such pages as consist solely of an accounting of the material furnished or labor performed. In this case, the administrator shall attach a notification that pages of accounting were omitted and may be inspected on the mechanics’ notice and lien registry internet website.
3. A lien perfected under this section shall be limited to the county or counties in which the building, land, or improvement to be charged with the lien is situated. The county or counties identified on the mechanics’ notice and lien registry internet site at the time of posting the required notices pursuant to sections 572.13A and 572.13B shall be the only county or counties in which the building, land, or improvement may be charged with a mechanic’s lien.
§ 572.9. Time of lien posting
The statement of account required by section 572.8 shall be posted by a general contractor or subcontractor within two years and ninety days after the date on which the last of the material was furnished or the last of the labor was performed.
§ 572.10. Perfecting lien after lapse of ninety days
A general contractor or a subcontractor may perfect a mechanic’s lien pursuant to section 572.8 beyond ninety days after the date on which the last of the material was furnished or the last of the labor was performed by posting a lien to the mechanics’ notice and lien registry internet website and giving written notice thereof to the owner. Such notice may be served by any person in the manner original notices are required to be served. If the party to be served is out of the county wherein the property is situated, a return of that fact by the person charged with making such service shall constitute sufficient service from and after the time it was posted to the mechanics’ notice and lien registry internet website.
§ 572.11. Extent of lien posted after ninety days
Liens perfected under section 572.10 shall be enforced against the property or upon the bond, if given, by the owner or by the owner-builder’s buyer, only to the extent of the balance due from the owner to the general contractor or from the owner-builder’s buyer to the owner-builder at the time of the service of such notice; but if the bond was given by the general contractor or owner-builder, or person contracting with the subcontractor posting the claim for a lien, such bond shall be enforced to the full extent of the amount found due the subcontractor.
§ 572.12. Time of filing against railway
Where a lien is claimed upon a railway, the subcontractor shall have ninety days from the last day of the month in which such labor was done or material furnished within which to file the claim therefor.
§ 572.13. General contractor - owner notice - residential construction
1. A general contractor who has contracted or will contract with a subcontractor to provide labor or furnish material for the property shall provide the owner with the following owner notice in writing in boldface type of a minimum size of ten points: Persons or companies furnishing labor or materials for the improvement of real property may enforce a lien upon the improved property if they are not paid for their contributions, even if the parties have no direct contractual relationship with the owner. The mechanics’ notice and lien registry provides a listing of all persons or companies furnishing labor or materials who have posted a lien or who may post a lien upon the improved property.
2. The notice described in subsection 1 shall also contain the internet website address and toll-free telephone number of the mechanics’ notice and lien registry.
3. A general contractor who fails to provide notice pursuant to this section is not entitled to a lien and remedy provided by this chapter.
4. This section applies only to residential construction properties.
§ 572.13A. Notice of commencement of work - general contractor - owner-builder
1. Either a general contractor, or an owner-builder who has contracted or will contract with a subcontractor to provide labor or furnish material for the property, shall post a notice of commencement of work to the mechanics’ notice and lien registry internet site no later than ten days after the commencement of work on the property. A notice of commencement of work is effective only as to any labor, service, equipment, or material furnished to the property subsequent to the posting of the notice of commencement of work. A notice of commencement of work shall include all of the following information:
a. The name and address of the owner.
b. The name, address, and telephone number of the general contractor or owner-builder.
c. The address of the property or a description of the location of the property if the property cannot be reasonably identified by an address.
d. The legal description that adequately describes the property to be charged with the lien.
e. The date work commenced.
f. The tax parcel identification number.
g. Any other information prescribed by the administrator pursuant to rule.
2. If a general contractor or owner-builder fails to post the required notice of commencement of work to the mechanics’ notice and lien registry internet website pursuant to subsection 1, within ten days of commencement of the work on the property, a subcontractor may post the notice in conjunction with the posting of the required preliminary notice pursuant to section 572.13B. A notice of commencement of work must be posted to the mechanics’ notice and lien registry internet website before preliminary notices pursuant to section 572.13B may be posted.
3.
a. At the time a notice of commencement of work is posted on the mechanics’ notice and lien registry internet site, the administrator shall assign a mechanics’ notice and lien registry number and send a copy of the owner notice described in section 572.13. The owner notice shall contain the following language: Persons or companies furnishing labor or materials for the improvement of real property may enforce a lien upon the improved property if they are not paid for their contributions, even if the parties have no direct contractual relationship with the owner. The mechanics’ notice and lien registry internet site provides a listing of all persons or companies furnishing labor or materials who have posted a lien or who may post a lien upon the improved property. If the person or company has posted its notice or lien to the mechanics’ notice and lien registry internet site, you may be required to pay the person or company even if you have paid the general contractor the full amount due. Therefore, check the mechanics’ notice and lien registry internet site for information about the property including persons or companies furnishing labor or materials before paying your general contractor. In addition, when making payment to your general contractor, it is important to obtain lien waivers from your general contractor and from persons or companies registered as furnishing labor or materials to your property. The information in the mechanics’ notice and lien registry is posted on the internet site of the mechanics’ notice and lien registry.
b. Other relevant information may be included with the notice described in subsection 1 as prescribed by the administrator pursuant to rule.
c. The notice described in subsection 1 shall be sent to the owner’s address as posted to the mechanics’ notice and lien registry internet site by the general contractor, owner-builder, or subcontractor. If the owner’s address is different than the property address, a copy of the notice shall also be sent to the property address, addressed to the owner if a mailing address has been assigned to the property by the United States postal service.
d. Notices under this section shall not be sent to owner-builders.
4. A general contractor who fails to provide notice pursuant to this section is not entitled to a lien and remedy provided by this chapter.
5. This section applies only to residential construction properties.
§ 572.13B. Preliminary notice - subcontractor - residential construction
1. A subcontractor shall post a preliminary notice to the mechanics’ notice and lien registry internet website. A preliminary notice posted before the balance due is paid to the general contractor or the owner-builder is effective as to all labor, service, equipment, and material furnished to the property by the subcontractor. The preliminary notice shall contain all of the following information:
a. The name of the owner.
b. The mechanics’ notice and lien registry number.
c. The name, address, and telephone number of the subcontractor furnishing the labor, service, equipment, or material.
d. The name and address of the person who contracted with the claimant for the furnishing of the labor, service, equipment, or material.
e. The name of the general contractor or owner-builder under which the claimant is performing or will perform the work.
f. The address of the property or a description of the location of the property if the property cannot be reasonably identified by an address.
g. The legal description that adequately describes the property to be charged with the lien.
h. The date the material or materials were first furnished or the labor was first performed.
i. The tax parcel identification number.
j. Any other information required by the administrator pursuant to rule.
2. At the time a preliminary notice is posted to the mechanics’ notice and lien registry internet site, the administrator shall send notification to the owner, including the owner notice described in section 572.13, subsection 1, and shall post the mailing of the notice on the mechanics’ notice and lien registry internet site as prescribed by the administrator pursuant to rule. Notices under this section shall not be sent to owner-builders. Upon request, the administrator shall provide proof of service at no cost for the notice required under this section.
3.
a. A mechanic’s lien perfected under this chapter is enforceable only to the extent of the balance due the general contractor or the owner-builder at the time of the posting of the preliminary notice specified in subsection 1, and, except for residential construction property owned by an owner-builder, also is enforceable only to the extent of the balance due the general contractor at the time the owner actually receives the notice provided pursuant to subsection 2 or paragraph “b”.
b.
(1) In any action to enforce a mechanic’s lien perfected under this chapter against the owner, the subcontractor bears the burden to prove by a preponderance of the evidence that the owner received notice pursuant to subsection 2. A subcontractor may satisfy the burden of proof by providing separate notice to an owner by including but not limited to any of the following means:
(a) By certified mail with return receipt.
(b) By personal service in the manner original notices are required to be served.
(c) By actual notice with a signed receipt from the owner acknowledging notice.
(2) If the subcontractor provides an affidavit of mailing, the presumption is that the owner received the notice on the fourth day of business for the post office after the notice was sent and the burden of proof shifts from the subcontractor to the owner to refute the presumption.
4. A subcontractor who fails to post a preliminary notice pursuant to this section shall not be entitled to a lien and remedy provided under this chapter.
5. This section applies only to residential construction properties.
§ 572.14. Liability to subcontractor after payment to general contractor or owner-builder
Except as provided in section 572.13B, payment to the general contractor or owner-builder of any part or all of the contract price of the building or improvement within ninety days after the date on which the last of the materials was furnished or the last of the labor was performed by a subcontractor, does not relieve the owner from liability to the subcontractor for the full value of any material furnished or labor performed upon the building, land, or improvement if the subcontractor posts a lien within ninety days after the date on which the last of the materials was furnished or the last of the labor was performed.
§ 572.15. Discharge of mechanic's lien - bond
A mechanic’s lien may be discharged at any time by submitting a bond to the administrator in twice the amount of the sum for which the claim for the lien is posted, with surety or sureties, to be approved by the administrator, conditioned for the payment of any sum for which the claimant may obtain judgment upon the claim.
§ 572.16. Rule of construction
Nothing in this chapter shall be construed to require the owner to pay a greater amount or at an earlier date than is provided in the owner’s contract with the general contractor, unless the owner pays a part or all of the contract price to the general contractor before the expiration of the ninety days allowed by law for the posting of a mechanic’s lien by a subcontractor; provided that in the case of residential construction, nothing in this chapter shall be construed to require the owner to pay a greater amount or at an earlier date than is provided in the owner’s contract with the general contractor, unless the owner pays a part or all of the contract price to the general contractor after the owner receives notice pursuant to section 572.13B, subsection 2 or section 572.13B, subsection 3, paragraph “b“.
§ 572.17. Priority of mechanics' liens between mechanics
Mechanics’ liens shall have priority over each other in the order of the posting of the statements of accounts as provided in section 572.8.
§ 572.18. Priority over other liens
1. Mechanics’ liens posted by a general contractor or subcontractor within ninety days after the date on which the last of the material was furnished or the last of the claimant’s labor was performed and for which notices were properly posted to the mechanics’ notice and lien registry internet website pursuant to sections 572.13A and 572.13B shall be superior to all other liens which may attach to or upon a building or improvement and to the land upon which it is situated, except liens of record prior to the time of the original commencement of the claimant’s work or the claimant’s improvements, except as provided in subsection 2.
2. Construction mortgage liens shall be preferred to all mechanics’ liens of claimants who commenced their particular work or improvement subsequent to the date of the recording of the construction mortgage lien. For purposes of this section, a lien is a “construction mortgage lien” to the extent that it secures loans or advancements made to directly finance work or improvements upon the real estate which secures the lien.
3. The rights of purchasers, encumbrancers, and other persons who acquire interests in good faith, for a valuable consideration, and without notice of a lien perfected pursuant to this chapter, are superior to the claims of all general contractors or subcontractors who have perfected their liens more than ninety days after the date on which the last of the claimant’s material was furnished or the last of the claimant’s labor was performed.
4. For purposes of this section, a lender who obtains an interest in the real estate by assignment of a mortgage shall be entitled to the same priority as the original mortgagee.
§ 572.19. Priority over garnishments of the owner
Mechanics’ liens shall take priority over all garnishments of the owner for the contract debts, whether made prior or subsequent to the commencement of the furnishing of the material or performance of the labor, without regard to the date of posting the claim for such lien.
§ 572.20. Priority as to buildings over prior liens upon land
Mechanics’ liens, including those for additions, repairs, and betterments, shall attach to the building or improvement for which the material or labor was furnished or done, in preference to any prior lien, encumbrance, or mortgage upon the land upon which such building or improvement was erected or situated except as provided in sections 572.10 and 572.11.
§ 572.21. Foreclosure of mechanic's lien when lien on land
In the foreclosure of a mechanic’s lien when there is a superior lien, encumbrance, or mortgage upon the land the following regulations shall govern:
1. Lien on original and independent building or improvement. If such material was furnished or labor performed in the construction of an original and independent building or improvement commenced after the attaching or execution of such superior lien, encumbrance, or mortgage, the court may, in its discretion, order such building or improvement to be sold separately under execution, and the purchaser may remove the same in such reasonable time as the court may fix. If the court shall find that such building or improvement should not be sold separately, it shall take an account of and ascertain the separate values of the land, and the building or improvement, and order the whole sold, and distribute the proceeds of such sale so as to secure to the superior lien, encumbrance, or mortgage priority upon the land, and to the mechanic’s lien priority upon the building or improvement.
2. Lien on existing building or improvement for repairs or additions. If the material furnished or labor performed was for additions, repairs, or betterments upon any building or improvement, the court shall take an accounting of the values before such material was furnished or labor performed, and the enhanced value caused by such additions, repairs, or betterments; and upon the sale of the premises, distribute the proceeds of such sale so as to secure to the superior mortgagee or lienholder priority upon the land and improvements as they existed prior to the attaching of the mechanic’s lien, and to the mechanic’s lienholder priority upon the enhanced value caused by such additions, repairs, or betterments. In case the premises do not sell for more than sufficient to pay off the superior mortgage or other superior lien, the proceeds shall be applied on the superior mortgage or other superior liens.
§ 572.22. Record of Claim
Each claim posted to the mechanics’ notice and lien registry internet website shall be properly indexed and shall contain the following items:
1. The name of the person by whom posted.
2. The date and hour of posting.
3. The amount thereof.
4. The name of the person against whom posted.
5. The legal description that adequately describes the property to be charged with the lien.
6. The tax parcel identification number of the property to be charged.
7. The address of the property or a description of the location of the property if the property cannot be reasonably identified by an address.
§ 572.23. Acknowledgment of satisfaction of claim
1. When a mechanic’s lien is satisfied by payment of the claim, the claimant shall acknowledge satisfaction thereof and, if the claimant neglects to do so for thirty days after demand in writing is personally served upon the claimant, the claimant shall forfeit and pay twenty-five dollars to the owner, general contractor, or owner-builder and be liable to any person injured to the extent of the injury.
2. If satisfaction is not acknowledged within thirty days after service of the demand in writing, the party serving the demand or causing the demand to be served may file for record with the administrator a copy of the demand with proofs of service attached and endorsed and, in case of service by publication, a personal affidavit that personal service could not be made within this state. Upon completion of the requirements of this subsection, the posting shall be constructive notice to all parties of the due forfeiture and cancellation of the lien. Upon the posting of the demand with the required attachments, the administrator shall mail a date-stamped copy of the demand to both parties.
§ 572.24. Time of bringing action - court
1. An action to enforce a mechanic’s lien, or an action brought upon any bond given in lieu thereof, may be commenced in the district court after said lien is perfected.
2. An action to challenge a mechanic’s lien may be commenced in the district court or small claims court if the amount of the lien is within jurisdictional limits. Any permissible claim or counterclaim meeting subject matter and jurisdictional requirements may be joined with the action. The court shall make written findings regarding the lawful amount and the validity of the mechanic’s lien. In addition to any other appropriate order, the court may enter judgment on a permissibly joined claim or counterclaim. If the court determines that the mechanic’s lien is invalid, valid for a lesser amount, frivolous, fraudulent, forfeited, expired, or for any other reason unenforceable, the clerk of the district court shall submit the ruling to the administrator who shall make a posting to the mechanics’ notice and lien registry internet website regarding the proper amount of the lien or, if warranted, canceling the lien.
§ 572.25. Place of bringing action
An action to enforce a mechanic’s lien shall be brought in the county in which the property to be affected, or some part thereof, is situated.
§ 572.26. Kinds of action - amendment
1. An action to enforce a mechanic’s lien shall be by equitable proceedings, and no other cause of action shall be joined therewith.
2.
a. Except as provided in paragraph “b”, a claimant may only amend a lien statement by leave of court in furtherance of justice.
b. A claimant may amend a lien statement without leave of court to decrease the amount demanded, and such amendment shall be effected through the mechanics’ notice and lien registry. Amendment of a lien statement pursuant to this paragraph shall not change or otherwise affect its priority.
c. A claimant shall not amend a lien statement to increase the amount demanded.
§ 572.27. Limitation on action
Any action to enforce a mechanic’s lien shall be brought within two years from the expiration of ninety days after the date on which the last of the material was furnished or the last of the labor was performed.
§ 572.28. Demand for bringing suit
1. Upon the written demand of the owner served on the claimant requiring the claimant to commence action to enforce the lien, such action shall be commenced within thirty days thereafter, or the lien and all benefits derived there from shall be forfeited.
2. If an action is not filed within thirty days after demand to commence action is served, the party serving the demand or causing the demand to be served may post with the administrator a copy of the demand with proofs of service attached and endorsed and, in case of service by publication, a personal affidavit that personal service could not be made within this state. Upon completion of the requirements of this subsection, the record shall be constructive notice to all parties of the due forfeiture and cancellation of the lien. Upon the posting of the demand with the required attachments, the administrator shall mail a date-stamped copy of the demand to both parties.
§ 572.29. Assignment of lien
A mechanic’s lien is assignable, and shall follow the assignment of the debt for which it is claimed.
§ 572.30. Action by subcontractor or owner against general contractor or owner-builder
Unless otherwise agreed, a general contractor or owner-builder who engages a subcontractor to supply labor or materials or both for improvements, alterations, or repairs to a specific residential construction property shall pay the subcontractor in full for all labor and materials supplied within thirty days after the date the general contractor or owner-builder receives full payment from the owner. If a general contractor or owner-builder fails without due cause to pay a subcontractor as required by this section, the subcontractor, or the owner by subrogation, may commence an action against the general contractor or owner-builder to recover the amount due. Prior to commencing an action to recover the amount due, a subcontractor, or the owner by subrogation, shall give notice of nonpayment of the cost of labor or materials to the general contractor or owner-builder paid for the improvement. Notice of nonpayment must be in writing, delivered in a reasonable manner, and in terms that reasonably identify the real estate improved and the nonpayment complained of. In an action to recover the amount due a subcontractor, or the owner by subrogation, under this section, the court in addition to actual damages, shall award a successful plaintiff exemplary damages against the general contractor or owner-builder in an amount not less than one percent and not exceeding fifteen percent of the amount due the subcontractor, or the owner by subrogation, for the labor and materials supplied, unless the general contractor or owner-builder does one or both of the following, in which case no exemplary damages shall be awarded:
1. Establishes that all proceeds received from the person making the payment have been applied to the cost of labor or material furnished for the improvement.
2. Within fifteen days after receiving notice of nonpayment the general contractor or owner-builder gives a bond , in an amount not less than the amount necessary to satisfy the nonpayment for which notice has been given under this section, and in a form approved by the administrator, to hold harmless the owner or person having the improvement made from any claim for payment of anyone furnishing labor or material for the improvement, other than the general contractor or owner-builder.
§ 572.31. Cooperative and condominium housing
A lien arising under this chapter as a result of the construction of an apartment house or apartment building which is owned on a cooperative basis under chapter 499A, or which is submitted to a horizontal property regime under chapter 499B, is not enforceable, notwithstanding any contrary provision of this chapter, as against the interests of an owner in a unit contained in the apartment house or apartment building acquired in good faith and for valuable consideration, unless a lien statement specifically describing the unit is posted under section 572.8 within the applicable time period specified in section 572.9, but determined from the date on which the last of the material was supplied or the last of the labor was performed in the construction of that unit.
§ 572.32. Attorney fees - remedies
1. In a court action to enforce a mechanic’s lien, or an action brought upon any bond given in lieu thereof, a prevailing plaintiff may be awarded reasonable attorney fees.
2. In a court action to challenge a mechanic’s lien posted on a residential construction property, or any bond given in lieu thereof, if the person challenging the lien or defending against any action on the bond prevails, the court may award reasonable attorney fees and actual damages. If the court determines that the mechanic’s lien was posted in bad faith or the supporting affidavit was materially false, the court shall award the owner reasonable attorney fees plus an amount not less than five hundred dollars or the amount of the lien, whichever is less.
§ 572.33. Requirement of notification for commercial construction
1. The notification requirements in this section apply only to commercial construction.
2. A person furnishing labor or materials to a subcontractor shall not be entitled to a lien under this chapter unless the person furnishing labor or materials does all of the following:
a. Notifies the general contractor or owner-builder in writing with a one-time notice containing the name, mailing address, and telephone number of the person furnishing the labor or materials, and the name of the subcontractor to whom the labor or materials were furnished, within thirty days of first furnishing labor or materials for which a lien claim may be made. Additional labor or materials furnished by the same person to the same subcontractor for use in the same construction project shall be covered by this notice.
b. Supports the lien claim with a certified statement that the general contractor or owner-builder was notified in writing with a one-time notice containing the name, mailing address, and telephone number of the person furnishing the labor or materials, and the name of the subcontractor to whom the labor or materials were furnished, within thirty days after the labor or materials were first furnished, pursuant to paragraph “a”.
3. Notwithstanding other provisions of this chapter, a general contractor or owner-builder shall not be prohibited from requesting information from a subcontractor or a person furnishing labor or materials to a subcontractor regarding payments made or payments to be made to a person furnishing labor or materials to a subcontractor.
§ 572.33A. Liability of owner to general contractor - commercial construction
1. An owner of a building, land, or improvement upon which a mechanic’s lien of a subcontractor may be posted is not required to pay the general contractor compensation for work done or material furnished for the building, land, or improvement until the expiration of ninety days after the completion of the building or improvement unless the general contractor furnishes to the owner one of the following:
a. Receipts and waivers of claims for mechanics’ liens, signed by all persons who furnished material or performed labor for the building, land, or improvement.
b. A good and sufficient bond to be approved by the owner, conditioned that the owner shall be held harmless from any loss which the owner may sustain by reason of the posting of mechanics’ liens by subcontractors.
2. This section applies only to commercial construction properties.
§ 572.34. Mechanics' notice and lien registry
1. A mechanics’ notice and lien registry is created and shall be administered by the administrator. The administrator shall adopt rules pursuant to chapter 17A for the creation and administration of the registry.
2. The mechanics’ notice and lien registry shall be accessible to the general public through the administrator’s internet website.
3. The registry shall be indexed by owner name, general contractor name, mechanics’ notice and lien registry number, property address, legal description, tax parcel identification number, and any other identifier considered appropriate as determined by the administrator pursuant to rule.
4. Any person who posts fictitious, forged, or false information to the mechanics’ notice and lien registry shall be subject to a penalty as determined by the administrator by rule in addition to all other penalties and remedies available under applicable law.
5. A person may post a correction statement with respect to a record indexed on the mechanics’ notice and lien registry internet website if the person believes the record is inaccurate or wrongfully posted.
6. The administrator shall charge and collect fees as established by rule necessary for the administration and maintenance of the registry and the registry’s internet site. The administrator shall not charge a posting fee for a preliminary notice required pursuant to this chapter that exceeds the cost of sending such notice by certified mail with restricted delivery and return receipt. The administrator shall not charge a posting fee that exceeds forty dollars for a mechanic’s lien .
7. Notices may be posted to the mechanics’ notice and lien registry electronically on the administrator’s internet website, or may be sent to the administrator for posting by United States mail or facsimile transmission, or other alternate method as provided by the administrator pursuant to rule. Notices received by United States mail or facsimile transmission shall be posted by the administrator to the mechanics’ notice and lien registry within three business days of receipt.
8. Mechanics’ liens may be posted to the mechanics’ notice and lien registry electronically on the administrator’s internet website or may be sent to the administrator for posting by United States mail. Liens received by United States mail shall be posted by the administrator to the mechanics’ notice and lien registry within three business days of receipt.
9. The administrator shall send a receipt acknowledging a notice or lien submitted by United States mail or facsimile transmission, as provided by the administrator by rule.
10. Information collected by and furnished to the administrator in conjunction with the submission and posting of notices pursuant to sections 572.13A and 572.13B shall be used by the administrator solely for the purposes of the mechanics’ notice and lien registry.
11. Registration under chapter 91C shall not be required in order to post a notice or a lien under this chapter.
12. A preliminary notice that remains posted on the mechanics’ notice and lien registry internet website two years after the date of posting shall be declared inactive by the administrator, unless renewed. A notice of commencement of work, if there are no related active postings, shall be declared inactive two years from the date of posting, unless renewed. The administrator shall establish a process for the removal of inactive notices and for the renewal of notices pursuant to rule.
13. The administrator shall make, or cause to be made, preservation duplicates of mechanics’ notice and lien registry records, including records stored in a computer database. Any preservation duplicate record shall be accurate, complete, and clear, and shall be made, preserved, and made accessible to the public by means designated by the administrator by rule.