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Best practice for warranty work

Occasionally we will be called back to a job site months or years later for work that's covered under their warranty. When this happens, does a preliminary notice need to be issued/re-issued if it's required? What is the best practice to be able to protect that work if something were to happen?

1 reply

Jul 8, 2020

Generally, warranty work won't entitle contractors to additional payment. So, considering preliminary notices are used to (1) encourage smooth and timely payments; and (2) to preserve lien rights, there may not be much point in sending a prelim if payment won't be made for the work. But, if payment will be made for the new work, then it'd probably be a good idea to send a new preliminary notice (if one is required). In essence, that'd be like entering into a new contract for the specific scope of work. For further discussion on Illinois' preliminary notice rules: Illinois Preliminary Notice Guide and FAQs.

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