How do you get paid without resorting mechanics' liens?

While mechanic's lien rights are Constitutional, they don't have to be the only way to get paid for your work if there are problems. The best way is to craft a contract or only agree to contracts that have a compensation clause that requires pay in a timely manner and a clearly understood procedure for pay applications for work and extras.

Look out for ambiguous or oppressive terms that could delay your pay. Also be sure to have a clause that gives you the power to stop work if you are not getting paid, or at least guarantees that you will be paid for all work that isn't in dispute. If you have enough contract terms in your favor, you should be getting paid as you complete your work.

With a construction attorney negotiating your terms and conditions, you can have clauses that provide for a fair and timely method of compensation with a minimum of risk if the owner or general starts to run out of money. There is no reason to have to wait until the end of the project to get compensated for work done early on.

Don't think that a mechanic's lien is your only resource. A mechanic's lien attaches to the property, which used to be a pretty solid bet. Now, it is necessary to look beyond mechanics' liens and consider other remedies such as judgement liens.

For more information on this topic: click here Mechanics' Liens, powerful but not always efficient"

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