Mechanic's LienMISSISSIPPIPreLien2LienTemplate Updates

MISSISSIPPI gets new notices, custom template technology (CTT)

By November 23, 2008No Comments

If the weekend does not have great golf weather, I am usually on the laptop working in between my kids Saturday Roseville Youth Soccer games.

This weekend I just finished writing the new notices for the state of MISSISSIPPI. It is the 36th state to have it legal notices entirely re-written in PreLien2Lien. They also have (CTT) Custom Template Technology, enabling each template notice to be customized for a one-time $50 fee.

Subcontractors have it tough here – the right to record a lien is reserved exclusively for General/Prime Contractors. Also, unlike neighboring states there is no 1st notice law for Subcontractors to notify Owners of the future right to lien. You still have the option of sending a Preliminary Notice. It will improve your chances of being paid on a timely basis, as it notifies all legal parties of your future right to file a Bond Claim or Stop Notice in the event you are not paid on a timely basis.

General/Prime Contractors (Private Projects): MISSISSIPPI Code Annotated § 85-7-133 mandates that a Claim Of Lien can be filed only by the Prime/General Contractor who is in direct contract with the Owner. It should be recored with the Chancery Clerk in the county in which the project is located. It must be recorded no later than twelve (12) months after the invoice due date after providing equipment, labor, materials or services for the improvement of a project. A recorded copy of the Claim needs to be delivered promptly to the Owner and other legal parties (Owner Agent, Lender) after the Claim Of Lien is recorded.

Subcontractors (Private Projects): Anyone providing equipment, labor, materials or services who is NOT in direct contract with the Owner has to move aggressively when they are not getting paid. MISSISSIPPI Code Annotated § 85-7-181 mandates that in lieu of a Claim Of Lien, a Subcontractor on a commercial or residential project must deliver a Stop Notice to the Owner and General/Prime Contractor in order to stop payment of funds to the General/Prime Contractor owed to the Subcontractor. The Notice should be delivered in person or by Certified Mail to the Owner of the property and the General/Prime Contractor along with any other legal parties related to the improvement of the property (Customer, Lender).