An Arizona mechanic’s lien form enables the participants of a construction project to demand compensation for unpaid services or material costs. If a client breaches a contract by failing to furnish payment, the unpaid worker can file a lien claim against the property where services or materials were provided. The lien asserts that the claimant is entitled to an interest in the property for the total value of their work. Since an owner will have difficulty selling or acquiring a loan against a property with a lien attached to it, they will be incentivized to pay the claimant as quickly as possible.
Within twenty (20) days of furnishing materials, labor, or services, the claimant must serve preliminary a lien notice on the owner, original contractor, construction lender, and the individual with whom the claimant has contracted for the purchase of items. A copy of the preliminary notice, as well as a copy of the contract between the claimant and the hiring party (if written), must be attached to the lien form.
Laws & Requirements
- Laws: Title 33, Ch. 7, Art. 6
- Signing Requirements (§ 33-993(A)): Claimant and Notary Public
- Time Limit for Recording Lien (§ 33-993(A)): One hundred and twenty (120) days after contract completion, or sixty (60) days after recording a Notice of Completion.
- Deadline for Enforcing Lien (§ 33-998(A)): Six (6) months