Colorado Mechanics’ Lien Attorneys

MECHANICS’ LIENS IN COLORADO

A Mechanic’s Lien is an effective legal tool used by general contractors, subcontractors, architects, engineers, suppliers, or laborers to secure payment for unpaid labor, materials, or equipment. A Mechanic’s Lien is filed on the property where the construction job site is located, in order to leverage the owner to make payment for services or materials provided.

One of the most common disputes our firm handles is conflicts between contractors and homeowners. This often leads to the homeowner threatening to not pay the contractor for work and the contractor threatening to record a mechanics’ lien against the homeowner’s property. Having a mechanics’ lien on your property is a serious issue that needs to be resolved. Likewise, not being paid for providing improvements to someone’s property is a serious issue affecting a contractor’s livelihood. We represent homeowners, general contractors, subcontractors, architects, engineers, suppliers, and laborers on these issues. If you have a dispute involving construction, give us a call or complete our Consultation Form to determine how to proceed.

If you are a contractor, we can record a mechanics’ lien on your behalf and walk you through the process, up through and including foreclosure and breach of contract litigation if needed. If you are a homeowner, we can help you with dispute resolution, up to and including breach of contract litigation, removal of the mechanics’ liens, and construction defect litigation, to name a few.

HOW LONG SHOULD I WAIT TO BEGIN THE PROCESS OF FILING MECHANICS’ LIENS IN COLORADO?

If you are a contractor, a common mistake is to assume you will be paid for your work. To be safe, the best practice is to assume you will not be paid and to keep in mind the proper deadlines and legal remedies set out by Colorado statutes governing mechanics’ liens. If you are a property owner and have been threatened with a mechanic’s lien, you have a very limited window of time to resolve the threatened lien before it is filed against your property. Give us a call at 720-770-3457 or Contact us today to learn more about filing mechanics’ liens in Colorado.

Mechanics Lien Law FAQs

Who can file a mechanic’s lien?

Mechanic’s liens in Colorado may be filed by contractors, subcontractors, suppliers, laborers, or other parties who provided labor, materials, or services to improve the property in question. That is, anyone who contributed to the improvement of the property and has not been paid typically has lien rights. In most cases, property owners, engineers, and architects cannot file mechanics’ liens. Mechanic’s liens are a legal avenue for contractors and subcontractors to secure payment for services and property improvements they have already completed.

How does a mechanic’s lien protect contractors and subcontractors?

Mechanic’s liens afford payment protections for general contractors and subcontractors (including electricians, plumbers, and HVAC installers) who made improvements to, repaired, or completed construction on a piece of real property. Filing a mechanic’s lien creates a public record of the money owed for services performed and materials supplied by the contractor. It prevents the property owner from selling the property until the lien and any applicable interest or penalties are resolved. Liens create a security interest in the property and can allow the claimant to initiate foreclosure action on the property if the debt remains unpaid.

What types of work qualify for a mechanic’s lien?

Labor, services, and materials used for the construction, improvement, or repair of real property may all be included in a mechanic’s lien. This includes general contracting, subcontracting, supplying building materials, landscaping, architectural and engineering services, and installation of equipment or fixtures. To qualify for a mechanic’s lien, the work completed by the contractor or subcontractor must enhance the property’s condition, increase its value, or otherwise directly benefit the property’s value.

What is the process for filing a mechanic’s lien?

The first step in filing a mechanic’s lien is for our mechanic’s lien lawyer to prepare the claim and accurately value the materials and services you contributed to the improvement of the property. Then, notice of the claim is provided to the property owner or general contractor (if you are a subcontractor seeking payment), and a specific timeframe for payment is provided. The claim must include a detailed description of the work performed and materials used, the exact amount owed, and the property in question. Mechanic’s liens are filed with the county recorder of the county in which the property is located. If the petitioner does not receive payment before the deadline stated in the petition (or required by the court), then the lienholder may initiate foreclosure action on the property.

Can a mechanic’s lien be filed without a written contract?

Yes, Colorado recognizes both oral and written contracts as legally binding, provided all the elements of a valid contract are present. Mechanic’s liens can be filed even if the parties involved had a handshake deal or other verbal contractual agreement of payment for services rendered. However, you, as the contractors, subcontractors, laborers, or material suppliers, must be able to prove to the court that the labor, materials, or other services you provided were intended to improve the property or enhance its value. A lack of a written contract can make your claim more challenging, though, especially if there are disputes about the scope of work, payment terms, or the amount owed. Our mechanic’s lien lawyer can help present clear evidence of the work performed and the benefit conferred to the property.

FEES

A $5,000 retainer is required for all pre-litigation dispute cases, while active litigation matters have a minimum retainer of $10,000. As of 1/1/2025, attorney rates vary between $275 – $400/hour. These hourly rates are paid by the retainer account. Fees and retainers for contract reviews and smaller projects vary, with some cases best suited for a 1-2 hour paid complimentary discovery call at $350 per hour or $700 for two hours. All retainers are evergreen and refundable. Please call to inquire for further details.

DISCLAIMER

The information contained on this website is provided for informational purposes only. It is not legal advice and should not be construed as providing legal advice on any subject matter. Laws frequently change and therefore this content is not necessarily up to date, nor comprehensive. Contact us or another attorney with any legal questions specific to your matter. You may contact us by completing our complimentary discovery call.