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      09-03-2009, 12:37 PM   #1
561design
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Roofing Supplier about to put a lien on my home

I get this letter in the mail from a roofing supply company stating that the contractor has not paid them for supplies used on my home. The work was performed in June 09 and I paid in full the agreed upon amount as stated in the contract between myself and the roofing contractor. Well apparently the contractor has not paid the supplier and now they're going to put a lien on my home. How is that fair? I feel like they're putting pressure on me to pay the legal fees and do the leg work they're supposed to be doing on their own.
All I can do is take the guy to small claims court which still doesn't insure that'll he'll pay the supplier. The only other thing I could do is pay the supplier for the materials to prevent the lien on my home, in which case I would be paying TWICE.

Has anyone dealt with this? What did you do?
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      09-03-2009, 12:40 PM   #2
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You can always pay the supplier to avoid him placing a lien and then going after the roofer. But you need to have a valid, signed contract with the roofer which outlines terms and conditions of payments. If you have paid him on time and in full, him/ his subs or his supplier can not place a lien on your property.
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      09-03-2009, 12:49 PM   #3
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You can always pay the supplier to avoid him placing a lien and then going after the roofer. But you need to have a valid, signed contract with the roofer which outlines terms and conditions of payments. If you have paid him on time and in full, him/ his subs or his supplier can not place a lien on your property.
Yeah I paid him (contractor) on time and in full and apparently in the state of georgia they're still allowed to come after you. If I pay the supplier I still run the chance of the contractor not having the funds available to pay me back. Not to mention it's a hassle I rather not get into considering I had nothing to do with this situation.
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      09-03-2009, 12:53 PM   #4
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I get this letter in the mail from a roofing supply company stating that the contractor has not paid them for supplies used on my home. The work was performed in June 09 and I paid in full the agreed upon amount as stated in the contract between myself and the roofing contractor. Well apparently the contractor has not paid the supplier and now they're going to put a lien on my home. How is that fair? I feel like they're putting pressure on me to pay the legal fees and do the leg work they're supposed to be doing on their own.
All I can do is take the guy to small claims court which still doesn't insure that'll he'll pay the supplier. The only other thing I could do is pay the supplier for the materials to prevent the lien on my home, in which case I would be paying TWICE.

Has anyone dealt with this? What did you do?

Damn that sucks. Since I don't live in GA, and don't know the laws, your best bet is to contact a lawyer and see what legal rights you have.

Good Luck.
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      09-03-2009, 01:09 PM   #5
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Yeah I paid him (contractor) on time and in full and apparently in the state of georgia they're still allowed to come after you. If I pay the supplier I still run the chance of the contracor not having the funds available to pay me back. Not to mention it's a hassle I rather not get into considering I had nothing to do with this situation.
Yes, the supplier and subs can place lien on someone's property even if you pay your general contractor (roofer in this case). The law is the same everywhere in US. However. if you have paid the main guy in full and have a signed contract that outline him, his subs/ supplier can not have a valid claim on your property if paid on time and in full, then you can go after him. Again, to avoid the lien altogether paying the supplier the amount is your best options, unfortunately. But what prevents another guy working with him on your house not do the same?

Unfortunately, this sort of things are rampant these days due to sh*tty economy and people having cash flow problems. Not much can you do about it.
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      09-03-2009, 03:10 PM   #6
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Apparently the lien went on my house today. I spoke to some lawyers and it's going to cost almost as much to get the lien removed from the house than it is to just pay the supplier. In the end I may be out around $6,000 on top of what's already been paid out for the roof.
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      09-03-2009, 03:34 PM   #7
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Do they have proof that the materials were in fact used on your house?
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      09-03-2009, 03:38 PM   #8
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Weird that they would go to the site of construction as opposed to going after the contractor that "purchased" the products. I don't see how this could hold up in court at all... If you have a bill of sale for goods/services from the contractor I don't see how this could be your problem. How did they even know where you lived?
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      09-03-2009, 03:43 PM   #9
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Weird that they would go to the site of construction as opposed to going after the contractor that "purchased" the products. I don't see how this could hold up in court at all... If you have a bill of sale for goods/services from the contractor I don't see how this could be your problem. How did they even know where you lived?
My thoughts exactly. This sounds insane to me. How is this legal!?
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      09-03-2009, 03:54 PM   #10
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Your state sucks, move. Seriously that is crap. That can never happen up here here in CT, but I guess in the backwards state of Georgia this can happen. You never entered into a contract with the roofing supplier, you entered into a contract with the roofer. I would contact the court and ask them to have the supplier furnish the contract that you signed with them to deliver the supplies. If they can't then they shouldn't be allow to put a lien on your house.
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      09-03-2009, 04:00 PM   #11
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Quote:
Originally Posted by artifice View Post
Weird that they would go to the site of construction as opposed to going after the contractor that "purchased" the products. I don't see how this could hold up in court at all... If you have a bill of sale for goods/services from the contractor I don't see how this could be your problem. How did they even know where you lived?
The supplies were delivered to my home address straight from their location. So that's how they have my information.

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Your state sucks, move. Seriously that is crap. That can never happen up here here in CT, but I guess in the backwards state of Georgia this can happen. You never entered into a contract with the roofing supplier, you entered into a contract with the roofer. I would contact the court and ask them to have the supplier furnish the contract that you signed with them to deliver the supplies. If they can't then they shouldn't be allow to put a lien on your house.
I had the same logic as you guys and pursued it all day. The lawyers admited it's a messed up law but in the end it's the law. Apparently it's a law in most states. Apparently I was supposed to have something signed from the contractor releasing me from obligations of their supplier which I didn't know about. They contractor had a license in good standing and some good reviews. I didn't know about that last agreement that I needed to be signed. The supplier doesn't care where they get their money. They see the homeowner as the softer target and put the lien on my home as of today.
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      09-03-2009, 04:04 PM   #12
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Wow, unbelievable. Hopefully you can sue the contractor and recover lawyer fees as well.

That's sort of bullshit though, I was in a similar (maybe not) circumstance where I ordered something that required freight shipping (included) freight company dropped it off and I signed nothing, then 2 weeks later I get a $600 bill from the freight company. But I just told them to F off.
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      09-03-2009, 04:15 PM   #13
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Sounds like you'll be taking the contractor to small claims court. Should be a fairly easy case to win. You paid him, he didn't pay them, now he has to pay them and pay to remove the lien.
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      09-03-2009, 04:17 PM   #14
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"First, if your contractor received the full amount of the construction contract, he can not now lien the property for more money. Secondly, if you have in fact paid the full construction contract price then any sub is also precluded from liening the property. You simply have to file an affidavit with the County Recorder verifying the fact and the liens will be held void. If you did not pay the full construction contract price you can send a letter to the contractors letting them know that only the amount of the contract outstanding will be paid in portion to the lien. Finally, you may also want bring an action against the contractor for breach of the Consumer Sales Practices Act as well as Breach of Contract and Negligence as well as other potential claims."

"There are several avenues for you to pursue, first I would contact the contractors bonding agent ASAP and inform them of the lien. Second, I would check to see what the lien laws are in DC. I am in Texas, but am also licensed in DC. Normally you only have 90 days after the subcontractors finishes work to file a lien, if they filed 4 months after the completion of thier work then they might be barred from filing a lien altogether."


I dunno... Some google crap. Hope you get it sorted.
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      09-03-2009, 04:27 PM   #15
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That sucks... That does not sound like it should be legal at all. I am being scammed by some monstrous apartment rental place for $1000 when I left the place in pristine condition.

Not even close to as bad as yours though. Hope this all gets worked out. I would post something in your home domicile (zpost general discussion). I know we have at least one travelling lawyer that gives some good advice to us Z4ers. You can probably find his website in the GD somewhere... I remember him posting it once.

Can't remember his name off hand but he has the white M coupe with BMW M stripes.
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      09-03-2009, 05:38 PM   #16
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Quote:
Originally Posted by artifice View Post
Weird that they would go to the site of construction as opposed to going after the contractor that "purchased" the products. I don't see how this could hold up in court at all... If you have a bill of sale for goods/services from the contractor I don't see how this could be your problem. How did they even know where you lived?
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My thoughts exactly. This sounds insane to me. How is this legal!?
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Your state sucks, move. Seriously that is crap. That can never happen up here here in CT, but I guess in the backwards state of Georgia this can happen. You never entered into a contract with the roofing supplier, you entered into a contract with the roofer. I would contact the court and ask them to have the supplier furnish the contract that you signed with them to deliver the supplies. If they can't then they shouldn't be allow to put a lien on your house.
Welcome to mechanics lien law 101. It sucks, and there's not much the homeowner can do but pay. Some states, like Utah, have a lien recovery fund that almost all licensed contractors have to pay into. As a general contractor I have to pay into this fund to cover all the scheisters.

Not to rub salt in the wound of the OP, but most people don't know the proper way to deal with a contractor. I don't care who it is, you should always demand a lien waiver from your contractor before you pay any bills. If I'm ever worried about a guy paying his bills, I call his supplier and check his status. Sometimes I'll pay the material supplier directly for materials my subs bring onto a project. I also give all my clients lien waivers from my subs. It sucks that this has to be done, but its life these days.

To the OP, sorry about your luck. I recommend you work something out with the supplier, see if they will pay to remove the lien. They are supposed to give you a certain amount of notice before they file.

To the guy in CT, your state has mechanics lien laws too. I hope you don't get bitten in the ass.
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      09-03-2009, 05:41 PM   #17
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"First, if your contractor received the full amount of the construction contract, he can not now lien the property for more money. Secondly, if you have in fact paid the full construction contract price then any sub is also precluded from liening the property. You simply have to file an affidavit with the County Recorder verifying the fact and the liens will be held void. If you did not pay the full construction contract price you can send a letter to the contractors letting them know that only the amount of the contract outstanding will be paid in portion to the lien. Finally, you may also want bring an action against the contractor for breach of the Consumer Sales Practices Act as well as Breach of Contract and Negligence as well as other potential claims."

"There are several avenues for you to pursue, first I would contact the contractors bonding agent ASAP and inform them of the lien. Second, I would check to see what the lien laws are in DC. I am in Texas, but am also licensed in DC. Normally you only have 90 days after the subcontractors finishes work to file a lien, if they filed 4 months after the completion of thier work then they might be barred from filing a lien altogether."


I dunno... Some google crap. Hope you get it sorted.
That may be true in Texas, but not all of what you typed is true everywhere, specifically in Utah. There is a limit on time here, and that does vary by state as well.
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      09-03-2009, 08:30 PM   #18
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Not to rub salt in the wound of the OP, but most people don't know the proper way to deal with a contractor. I don't care who it is, you should always demand a lien waiver from your contractor before you pay any bills. If I'm ever worried about a guy paying his bills, I call his supplier and check his status. Sometimes I'll pay the material supplier directly for materials my subs bring onto a project. I also give all my clients lien waivers from my subs. It sucks that this has to be done, but its life these days.

To the OP, sorry about your luck. I recommend you work something out with the supplier, see if they will pay to remove the lien. They are supposed to give you a certain amount of notice before they file.

To the guy in CT, your state has mechanics lien laws too. I hope you don't get bitten in the ass.
Yes, this being my first house I didn't know about the lien wavier. I thought that if I followed the contract presented to me by the contractor, then I was good. The supplier gave me 5 days to get this resolved. I got into touch with the contractor who said he was running a little behind and would pay within 30 days. She put the lien on my house today and said she couldn't wait the 30 days the contractor told me that he could pay.

I was told she has to perfect the lien within one year which means she has to sue me for the funds. I don't know at this moment if she's willing to sue me for the $3,000 that the contractor owes her. I'll have to give the guy a few weeks to get this resolved and then I'll have to get a lawyer.
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      09-03-2009, 08:31 PM   #19
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Your state sucks, move. Seriously that is crap. That can never happen up here here in CT, but I guess in the backwards state of Georgia this can happen. You never entered into a contract with the roofing supplier, you entered into a contract with the roofer. I would contact the court and ask them to have the supplier furnish the contract that you signed with them to deliver the supplies. If they can't then they shouldn't be allow to put a lien on your house.
Yes, it can happen in your backwards state of CT. Trying doing some research so you don't make such ignorant statements next time.
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      09-04-2009, 02:26 PM   #20
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What contractor if you do not mind me asking? Just want to make sure no one else in the area uses them.
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      09-04-2009, 02:30 PM   #21
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And just for the record, the metro Atlanta area has 50% more population than the entire state of CT.
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      09-04-2009, 09:36 PM   #22
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Next time when you pay contractor tell him you need to see the FINAL WAIVER OF LIEN. This document is issued by the place where materials for your home were purchased, and it states if the contractor actually paid for everything. My family owns one of the construction supplies in Chicago and they issue many documents like this everyday. The roofing supply company is not going to go after the contractor that did the job, they gonna go after you, although they should help you find the guy. ( At least that is what my family is doing) Im sure they have his name and address in their file. I dont know the rules in other states other than in Illinois but when it comes to construction materials, for sales that are over $300 you need to take Business license number,(If he has any) if not than costumers name, address and state DL licence number. And if he did not pay for materials than his check bounced or he had an account with that roofing supply and was their costumer.
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