The legal timing considerations as it concerns mechanic liens in New York.

Jul 30, 2021

Kiritsis Law Group 212 922 0005

By John Kiritsis, Esq., CPA, MBA, MS, JD, LL.M

 

Courts are littered with construction case controversies, which may have otherwise been avoided, but for failure to timely exercise related mechanic's lien law rights.

New York State Constitution.

 

A mechanic’s lien stays attached to the subjected real property for one (1) year from the date it is filed and perfected in the County Clerk’s office. Within one year, the lienor must either foreclose on the lien or file an extension for another 1 year. Lienor may file an extension on the lien by court order. To be granted further extensions a court order is required. If the subject premises is a single family dwelling, any extension of the lien must be obtained by a court order. Even if the lien expires, encumbrance still shows up on property.

 

After reviewing hundred of New York and New Jersey construction contracts , by far and away, one of the more common mistakes made with regards to preparing a construction contract, is lack of fundamental understanding of the laws surrounding mechanic's liens, as well as, failure to appreciate their possible legal effect on real property and projects.

 

The views expressed by this author is not legally binding nor reflective of the author per se, the author's firm, the author's employers, the author's employees or any individual and/or organization.

 

Sources and potentially useful references:

U.S. Constitution

New York State Bar Association

New York City Bar Association

New York State Court of Appeals

New York Court of Claims

New York Appellate Division Court

New York Appellate Term Court

New York Supreme Court

New York Real Property Law

Warren's NY Real Property Law

NYS Lien Laws

Section 43 New York State Lien Law

RPAPL

CPLR

New York General Obligations Law

New York City Department of Finance

Lien Law Section 3

Lien Law Section 5

New York State Appellate Departments

Lien Law Section 2.03

Real Property Law Section 339

Lien Law Section 9 (NYS)

Lien Law Section 10 (NYS)

Section 11 of New York Lien Law

Lien Law Sections 34, 39 & 59

Robert P Frink v Dudley Bierau et al, 212 NYS2d 869

Section 13 of New York Lien Law

Leonard Engineering, Inc. v. Zephyr Petroleum Corporation, 522 NYS 2d 900

Section 22 New York Affidavit Form

Monroe Sav. Bank v. First Nat'l Bank 50 App Div2d 314 -- 4th Dept 1976

Nanuet Nat'l Bank v. Ackerson Terrace, Inc. 417 N.Y. S. 2d 901

HNC Realty Co. V. Golan Heights Developers, 360 NYS2d 954

Aspro Mechanical Contracting, Inc. v. Fleet Bank, N.A. (Circa 2004)

Byrd Underground, LLC v. Anguar, LLC (332 P3d 273 Nev Adv Op 62)

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