What to do about a mechanic’s lien if the general contractor has gone out of business?

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What to do about a mechanic’s lien if the general contractor has gone out of business?

Our pool and spa general contractor just closed their doors yesterday and I already got a call from a vendor asking us to pay for something we already paid our general contractor for. They said they will place a lien on our house if we don’t pay. How do we know what was or wasn’t paid? The mechanic’s lien laws are slanted to the subcontractors not consumers. How do we know they aren’t double dipping? There has to be some burden of proof. I can prove I paid those losers at my general contractor.

Asked on August 21, 2010 under General Practice, California

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

Yes, you are correct.  The consumer has very little power in these situations initially, but eventually you will prevail.  First I would send speak with the vendor and ask then (first on the phone and after you get a name and address and then in writing confirming the conversation) to send you a copy of the agreement opening the account that was signed by you, a copy of the credit card or other identification and method of payment listed for the account, a list of the purchases made and the payments made too.  I doubt that you will get it but do it anyway.  Then state that if they file a line that is against the law you will take them to court.  How much is their good name worth to them?  You ma not be able to avoid court if they file a lien.  You are going to have to go after the contractor.  Also see if you can get any help from your state attorney general's office.  Good luck.


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