Vermont Mechanics Lien FAQs

In Vermont, any party who furnishes labor or materials for the erecting, repairing, moving, or altering improvements to real property under contract with the property owner, owner’s agent, contractor or subcontractor of owner is entitled to mechanics lien rights. It appears that subcontractors and suppliers of any tier are allowed to claim a mechanics lien in Vermont. It is not clear whether design professionals are able to claim a lien in Vermont.

Generally, a written contract isn’t required in Florida 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?

Vermont imposes no specific licensing requirements for a party claiming a mechanics lien, but it is never a good idea to perform work for which a license is required without that license.

• Learn how to get licensed: Vermont Contractor Licensing | Guide to Rules and Requirements

In Vermont, a Notice of Mechanics Lien must be filed no later than 180 days from the date on which payment became due for the last labor and/or materials furnished to the project.

It is not completely clear if this 180-day time limit is from the date on which payment is due to the claimant for his last furnishing of labor and/or materials, or the date payment is due to the last party to perform work and/or furnish materials to the project.

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The statute governing Vermont Notices of Mechanics Liens is not particularly clear regarding the information required on a lien. However, the following information should generally be included in every lien claim:

• Claimant’s information;
• Owner’s information;
• Lien amount;
• Description of labor and/or materials provided;
• Property description; &
• Date when payment became due.

→ Download a free Vermont Notice of Mechanics Lien form here

No, other than the date the payment was due (if known), and the claimant’s signature, nothing is statutorily required to be included on a Vermont mechanics lien. Best practice is always to obtain a legal description, but it appears any description of the property is sufficient in Vermont. The more specific the description of the property, the less it is likely to be challenged.

• Learn more: Legal Property Description Search | A Complete Guide

No. Vermont does not allow for the inclusion of attorney’s fees or other consequential amounts in the lien amount. Interest and attorney fees may be awarded to the successful lien claimant in a foreclosure action at the discretion of the court.

Yes. Vermont 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

Vermont mechanics lien claims are documents recorded with the town clerk’s office. For your mechanics lien to be valid, you must record it in the town where the job is physically located.

Each office has their own unique rules and requirements. To help you, we’ve assembled all of the offices in Vermont that record mechanics liens. These pages will walk you through the county’s specific formatting requirements, deadlines, and fees.

• Be prepared: Essential Questions to Ask The County Recorder Before Filing a Lien

There are a lot of questions on this page about who can file a Vermont 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 a Vermont Mechanics Lien | A Step-by-Step Guide

There is no formal requirement that any notice be provided that the mechanics lien was recorded with the town clerk of the town in which the property was located. However, it may be best practice to send a copy of the lien to the property owner and general contractor (if applicable) in order to attempt to facilitate payment.

In Vermont, an action to enforce a mechanics lien must be initiated within 180 days of the date on which the Notice of Mechanics Lien was filed. Additionally, within the same 180-day period, a prejudgment Writ of Attachment of the real estate must be obtained and recorded. One step alone is not sufficient, both steps are necessary.

→ Find a Vermont construction attorney

No, Vermont is considered an “unpaid balance lien state.” This means that a claimant may only recover the amount unpaid to the general contractor at the time the lien is filed; so for subcontractors and suppliers, time is of the essence in Vermont.

• Learn more: Full Price vs. Unpaid Balance Lien States

No. In Vermont, mechanics liens follow the general “first-in-time, first-in-right” rule. That is, any encumbrance recorded prior to the recording of the Notice of Mechanics Lien is superior to the mechanics lien, and the mechanics lien is superior to the encumbrances recorded after the recording of the Notice of Mechanics Lien.

• Dive deeper: Lien Priority- What Happens When Everyone Is Trying to Grab a Piece of the Same Pie?

Vermont mechanics lien law does not specify who is required to have the lien released upon satisfaction. However, generally speaking, any payment to a lien claimant after a lien has been filed is made in consideration of, and contingent upon, the lien being released by the lien claimant.