We are a wholesaler selling materials to contractors for their location work. Do we have to deliver the material to the job site to have lien rights, or do they still apply even if the contractor picks that material up at our location, or we deliver it directly to their shop?
In Oklahoma, any party that provides labor or materials for the "erection, alteration, or repair for an improvement" is entitled to a mechanics lien. Material suppliers must send a preliminary notice before filing a lien within 75 days of last delivering labor or materials if the owner-occupied or aggregate claim is $10,000 or more. Therefore, suppliers' lien rights and filing of their preliminary notice are dependent upon when they last delivered the labor and/or materials. Once the preliminary notice has been sent, all lien claimants without direct contact with the owner must file a lien statement within 90 days from the date labor or materials were last furnished to the property. Finally, once the lien has been filed the lien must be enforced within 1 year of the date on which the lien was recorded. However, at least 90 days must have passed from the date when the lien was recorded prior to initiating the enforcement action. I hope that helps!
Generally, to have a valid lien, a supplier must show the material sold
to the contractor was actually used in the construction project. Delivery of the material to the construction site is one way to show the material was used in the project. A jobsite
location listed on purchase orders or delivery tickets to the contractor’s shop
could help. You should contact an experienced attorney. You might also have
claims for recovery beyond a lien.