A common type of lien is the Mechanic’s Lien. This does not refer to automobile mechanics, but rather this lien exists for someone who has provided labor or materials to the improvement of real estate and has not been paid. 

The purpose of the lien law is to ensure payment to the contractor or laborer for their work by attaching a "lien" to the property that was improved. 

The lien legally begins when the first work or material is furnished, but a document called a lien statement is usually not filed unless timely payments are not made. A lien statement must be recorded on the county real estate records to make the lien effective. 

Some people record mechanic’s liens on their own. If you do this, you must be careful. While every state has a mechanic’s lien law, the requirements in each state may be quite different. Minnesota, as do most states, has many rules. 

In Minnesota, the lien statement must be recorded with the County Recorder’s Office in the county where the property is located. The lien statement must be recorded within 120 days of when the last labor or material is supplied to the property.  Liens are enforced through a foreclosure. If a foreclosure action is necessary, it must be started within one year of when the last labor or material was supplied. These time limits must be met for the lien to be enforceable. 

Foreclosure is complicated and will require a lawyer’s help. However, the law does provide for the recovery of attorney’s fees as part of the foreclosure action. There are other rules and exceptions that apply to mechanic’s liens. When recording a mechanic’s lien statement, the requirements of the state statutes should be reviewed. If there are questions regarding the process, seek legal advice.

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Our Client Services 

A s part of our ongoing effort to improve client services, Kraft, Walser, Hettig & Honsey recently upgraded our computer systems and legal software. Our new ProLaw case management system benefits you by allowing us to complete the work we do for you faster and better than before. 

We now have the ability to track the details of your case electronically. In most cases, your attorney will be able to discuss it with you immediately, rather than after we have retrieved the paper file. ProLaw’s automated accounting and billing systems also make our invoices more informational and easier to read. ProLaw allows us to bring the latest legal technology to you, our client.

 It is one more way Kraft, Walser, Hettig & Honsey is providing legal solutions for greater Minnesota.