Our company fabricates exterior metal wall panels for Commercial/Residential/Federal/State buildings. Almost all of our costs are incurred prior to shipping the panels to our customers. We provide shop drawings and engineering services, order the materials for the panels, and fabrication labor all prior to delivery. Since the majority of the documents for lien rights are based off of shipping/delivery dates, we generally send the preliminary paperwork upon shipping. In this case, we have provided the service for the shop drawings and engineering (customer has paid for these services), and have ordered and received the materials for fabrication (customer has failed to pay for materials - received and invoiced in November 2022). No preliminary notice was sent, as no panels were delivered to the job site yet. The job site is in Scottsdale AZ, (Housing/Apartment Complex) Can we still lien? What options do we have prior to looking into a lawsuit?
This question spotlights a non-payment situation that confronts manufacturers/fabricators across the USA. Because this platform only provides general information, I do not provide a specific answer in the general comment section. For specific options for a situation, it is best to speak with an experienced Arizona construction attorney like myself because every factual detail can impact the critical analysis of facts and law for a specific situation. The details determine the outcome. The profit is in the details. Generally, Arizona or other state lien laws are intended to provide a mechanism for payment security but have short timelines and precise requirements. Other options to explore might include examining and leveraging the relationships of the parties, the contract terms, and potential legal or equitable claims for relief. Time is of the essence. Best wishes for success.