Home>Levelset Community>Legal Help>hi i have lien on my mortgage by sub contractor. can u please help me out how to get ride of that and do the settle ment?
hi i have lien on my mortgage by sub contractor. can u please help me out how to get ride of that and do the settle ment?
hi i have lien on my mortgage by sub contractor. can u please help me out how to get ride of that and do the settlement?
1 reply
Sep 17, 2019
The fastest, easiest, and cheapest way to remove a lien from the property title is to have the mechanics lien claimant release it, themselves.
If a subcontractor has been paid in full, it should be easy to have them release their lien. Generally, failure to release a lien that's been satisfied could lead to liability on the part of the lien claimant, and releasing a filed lien is an easy process, so it shouldn't be too hard to have that done. Further, if the lien hasn't actually been paid, it might be possible to convince the claimant to release their lien if the lien has expired.
As for how to settle a mechanics lien claim - paying a lien claimant in full will resolve a payment dispute. But, they may be willing to accept some amount less than what they're owed to resolve the issue - so, making an offer and feeling out how much they're willing to accept in exchange for the release of their lien would be a good start. Of course, it'd be important to put any settlement agreement in writing and to have the lien claimant agree, in writing, that their lien will be released in exchange for the payment agreed to in the settlement. Granted, if payment is made in full, having a written settlement might be less important since there would be no more lien rights in the property at all.
In any event, when a lien is to be dissolved, the lien claimant must file a notice that the lien is to be dissolved in the county where the lien was filed. Upon filing the lien release notice, the lien will be removed from the property title.
In addition to the above information, I think these resources might be helpful:
(1) A Mechanics Lien Was Filed on My Property – What Do I Do Now?(2) Lien Release Guide, Forms, & Resources