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NORTH CAROLINA Stop Notice and Lien combined for Subcontractors

A change was made today in PreLien2Lien for NORTH CAROLINA that affects Subcontractors. Since they should be delivered jointly, the Claim of Lien On Real Property (Subcontractor) that is recorded is now combined with a Notice Of Claim of Lien By First, Second Or Third Tier Subcontractor/ Supplier (in essence, a Stop Notice of money from the funds source to the General Contractor.

Subcontractors (Private Projects): NORTH CAROLINA General Statutes §§ 44A-20(d), 44A-23 mandates that a Claim of Lien On Real Property (Subcontractor) be filed within one hundred twenty (120) days of last providing labor or materials for a project. It must be filed with the Clerk of the Superior Court in the county where the project is located. The Claim of Lien On Real Property must then be enforced through a lawsuit within one hundred eighty (180) days of last providing labor or material for a project.

Delivered jointly with a recorded Claim of Lien On Real Property (Subcontractor) is a Notice Of Claim of Lien By First, Second Or Third Tier Subcontractor/Supplier. NORTH CAROLINA General Statutes § 44A-19(b) mandates that it be sent to the property owner and any other legal parties on the project (General/Prime Contractor, Lender, Customer. It does not need to be filed with the Clerk of the Superior Court in the county where the project is located. There is no time limit to enforce through a lawsuit a Notice Of Claim of Lien By First, Second Or Third Tier Subcontractor/Supplier. The Owner or party owning the money for the project has an obligation to withhold payment to the General/Prime Contractor until the Lien Claimant’s payment is satisfied.

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