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how would we dispute lien on property in michigan

We received as a property owner notice of furnishing in michigan from a supplier we never bought any materials from. Based on discussion with supplier they provided electrical materials to a subcontractor we fired and paid him 4 months ago but he did not pay his subcontractor. Please advise how to dispute lien

2 replies

Jun 2, 2021

The supplier would have to record a Claim of Lien within 90 days of supplying the materials so if it has been 4 months you should be safe. Remember a Notice of Furnishing is not a lien and not recorded. If you are in a county with good internet access to you Register of Deeds you should monitor your property. If an invalid Claim of Lien gets recorded you have 2 options- ignore it and wait 12 months and you can have it cleared by the county clerk or hire an attorney to file suit to vacate the lien and request costs. The above response is provided as a courtesy and does not establish an attorney-client relationship. If you would like to contact me directly for a consultation, I am located in Port Huron (810) 987-3970. Since 1975.

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Jun 3, 2021

Hi there, was the supplier listed on the job’s Sworn Statement. Reviewing the SS is the owner’s (or Owners Designee’s) responsibility as well as the general contractor. If the supplier did not timely supplied its Notice of Furnishing, and is not listed on the SS, then it did not preserve its lien rights and has improperly encumbered the real property. General contractors also have a fiduciary duty regarding funds under the Michigan Builder Trust Fund Act. More information is needed here. Thanks, and hopefully you will not need to go to court.

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