ARKANSAS

LIEN LAWS BY STATE
DISCLAIMER: TRADITION SOFTWARE, INC. makes no warrant, express or implied for the use of this website. In no event shall TRADITION SOFTWARE, INC. be liable to anyone for any problem, claim or loss arising out of the use of TraditionSoftware.com. TRADITION SOFTWARE, INC. is not engaged in practicing law nor does TRADITION SOFTWARE, INC. provide legal advice in the state of Arkansas.
ARKANSAS CODE
Simple Mechanic’s Lien Rules for Contractors and Subcontractors
doing construction business in the State of ARKANSAS

Prepared by: Craig R. Altman – President, TRADITION SOFTWARE, INC.

Sucontractor’s have two 1st notices to be aware of. For Residential projects, ARKANSAS Code Annotated §18-44-115 mandates that a Preliminary Notice To Owner (Residential) must be served to the Owner of a residential property being improved before labor or materials are provided for the improvement of the property. Delivery should be made in person or by Certified Mail. The Owner’s signature on the Notice should be obtained – the signature on the Certified Mail Return Request green card will legally be accepted.

For Commercial projects, ARKANSAS Code Annotated §18-44-115 mandates that a Preliminary Notice To Owner (Commercial) must be served to the Owner and General/Prime Contractor of a commercial, non-residential property being improved within seventy-five (75) days after labor or materials are provided for the improvement of the property.

Subcontractors (Private Projects): ARKANSAS Code Annotated §18-44-114 mandates that a Notice Of Intent To File A Lien Claim must be sent by Subcontractors via Certified Mail to the Owner(s) and Owner Agent of the improved property at least ten (10) days prior to filing a Verified Statement Of Account And Claim Of Lien.

General/Prime/Sub Contractors (Private Projects): ARKANSAS Code Annotated §18-44-117 mandates that a Verified Statement Of Account And Claim of Lien can be recorded at any time up to one hundred twenty (120) days after providing labor or materials for a project. It is recorded at the Circuit Clerks office in the county where a project you provided construction related labor, services, equipment or materials is located.

TITLE 18 PROPERTY

SUBTITLE 4 MORTGAGES AND LIENS

CHAPTER 44 MECHANICS’ AND MATERIALMEN’S LIENS

SUBCHAPTER 1 GENERAL PROVISIONS

18-44-101 Persons Entitled to Lien

18-44-102 Extent of Lien on Land

18-44-103 Liens on Leaseholds

18-44-104 Liens for Drainage Improvements

18-44-105 Engineers and Surveyors Liens

18-44-106 “Owner” or “Proprietor”

18-44-107 Definitions

18-44-108 Lists of Persons Performing Work, Certification

18-44-109 Use of Materials as Designated

18-44-110 Priorities, Labor Liens, Foreclosure

18-44-113 Assignment

18-44-114 Preliminary Notice

18-44-115 Notice to Owner

18-44-116 Service of Notice, Recordation

18-44-117 Filing of Account

18-44-118 Release Bond

18-44-119 Limitations

18-44-122 Petition to Foreclose Lien

18-44-123 Parties

18-44-124 Duty of the Contractor to Defend

18-44-125 Court Orders

18-44-126 Publication of Warning Order

18-44-127 Trial

18-44-128 Attorneys Fees

18-44-131 Satisfaction of Lien

18-44-132 Payment by Contractor to Discharge Lien, Felony, Misdemeanor

18-44-133 Architects, Engineers, Surveyors, Appraisers, Abstractors, Title Insurance Agents

18-44-134 Landscaping Liens

18-44-135 Joint Ownership

SUBCHAPTER 5 BONDS

18-44-501 Uniform Bonding Procedure

18-44-502 Exclusions from Subchapter

18-44-503 Public Projects, Payment Bonds

18-44-504 Religious and Charitable Organizations, Payment Bonds

18-44-505 Private Construction, Payment Bonds

18-44-506 Condition of the Bond

18-44-507 Filing Bond

18-44-508 Actions, Limitations

ARKANSAS CODE

TITLE 18 PROPERTY

SUBTITLE 4 MORTGAGES AND LIENS

CHAPTER 44 MECHANICS’ AND MATERIALMEN’S LIENS

SUBCHAPTER 1 GENERAL PROVISIONS

18-44-101 Persons Entitled to Lien

(a) Every contractor, subcontractor, or material supplier as defined in section 18-44-107, who supplies labor, services, material, fixtures, engines, boilers, or machinery in the construction or repair of an improvement to real estate, or any boat or vessel of any kind, by virtue of a contract with the owner, proprietor, contractor, or subcontractor, or agent thereof, upon complying with the provisions of this subchapter, shall have, to secure payment, a lien upon the improvement and on up to one (1) acre of land upon which the improvement is situated, or to the extent of any number of acres of land upon which work has been done or improvements erected or repaired.

(b) If the improvement is to any boat or vessel, then the lien shall be upon the boat or vessel to secure the payment for labor done or materials, fixtures, engines, boilers, or machinery furnished.

18-44-102 Extent of Lien on Land

The entire land, to the extent stated in section 18-44-101, upon which any building, erection, or other improvement is situated including that part of the land which is not covered with the building, erection, or other improvement as well as that part of the land which is covered with it, shall be subject to all liens created by this subchapter to the extent, and only to the extent, of all the right, title, and interest owned therein by the owner or proprietor of the building, erection, or other improvement for whose immediate use or benefit the labor was done or things were furnished.

18-44-103 Liens on Leaseholds

(a) Every building or other improvement erected or materials furnished, according to the provisions of this subchapter, on leased lots or lands shall be held for the debt contracted for, or on account of it, and also the leasehold term for the lot and land on which it is erected.

(b) In case the lessee shall have forfeited his lease, the purchaser of the building and leasehold term, or so much of it as remains unexpired, under the provisions of this subchapter, shall be held to the assignee of the leasehold term and, as such, shall be entitled to pay to the lessor all arrears of rent or other money, interest, and costs due under the lease, unless the lessor shall have regained possession of the leasehold land, or obtained judgment for the possession of it on account of the noncompliance by the lessee with the terms of the lease, prior to the commencement of the improvements thereon. In this case the purchaser of the improvements under this subchapter shall have the right only to remove the improvements within sixty (60) days after he shall purchase them, and the owner of the ground shall receive the rent due him payable out of the proceeds of the sale, according to the terms of the lease, down to the time of removing the building.

18-44-104 Liens for Drainage Improvements

(a) Every manufacturer or contractor who shall furnish to any landowner any soil or drain pipe or tile for drainage of his land, or who shall put in soil or drain tile for any land, shall have a lien for each tract of forty (40) acres or less of the real estate upon which the tile is placed for the payment of the lien. The lien shall extend for a period of two (2) years.

(b) The lien for the tile shall attach to the real estate and all improvements thereon in preference to any subsequent liens, encumbrance, or mortgage executed upon the land after the purchase of the tile. The lien shall be enforced in the same manner as a mechanic’s or contractor’s liens.

18-44-105 Engineers and Surveyors Liens

Every engineer or surveyor who shall do or perform any engineering or surveying work upon any land, building, erection, or improvement upon land, under or by virtue of any contract or agreement with the owner thereof, or his agent, shall have a lien upon the land, building, erection, or improvement upon land to the extent of the agreed contract price or a reasonable price for those services. However, the lien does not attach to the land, building, erection, or improvement upon land unless and until the lien is duly filed of record with the circuit clerk and recorder in the county in which the land, building, erection, or improvement is located. This recorded lien will be enforced in the same manner as a mechanic’s or contractor’s lien.

18-44-106 “Owner” or “Proprietor”

Every person, including all cestui que trust, for whose immediate use, enjoyment, or benefit a building, erection, or other improvement is made, shall be concluded by the words “owner or proprietor thereof,” under this subchapter.

18-44-107 Definitions

As used in this subchapter, unless the context otherwise requires:

(1) “Contractor” means any person who contracts orally or in writing directly with a person holding an interest in real estate, or such person’s agent, for the construction of any improvement to or repair of real estate;

(2) “Subcontractor” means any person who supplies labor or services pursuant to a contract with the contractor, or to a person in direct privity of contract with such person;

(3) “Material supplier” means any person who supplies materials, goods, fixtures, or any other tangible item to the contractor or a subcontractor, or an individual having direct contractual privity with such persons; and

(4) “Person” includes an individual, a partnership, a corporation, a limited liability organization, a trust, or any other business entity recognized by law.

18-44-108 Lists of Persons Performing Work, Certification

(a) The owner or proprietor, material supplier, subcontractor, or anyone interested as mortgagee or trustee in the real estate upon which improvements are made under this subchapter, may, at any time, apply to the contractor or subcontractor for the following:

(1) A list of all parties doing work or furnishing material for the buildings and the amount due to each of the persons;

(2) Certification that the owner or agent has received the preliminary notice specified under section 18-44-115.

(b) Any contractor or subcontractor who, upon request, refuses or fails within five (5) business days to give a correct list of the parties furnishing material or doing labor, and the amount due to each, on the building, or who falsely certifies that an owner or agent has received the preliminary notice specified under section 18-44-115, shall be guilty of a misdemeanor and shall be punished by a fine not exceeding two thousand five hundred dollars ($2,500).

18-44-109 Use of Materials as Designated

Any contractor or subcontractor who shall purchase materials on credit and represent at the time of purchase that they are to be used in a designated building or other improvement and shall thereafter use, or cause to be used, the materials in the construction of any building or improvement other than that designated without the written consent of the person from whom the materials were purchased, with intent to defraud that person, shall be deemed guilty of a misdemeanor if the materials were valued at one thousand dollars ($1,000) or more and shall be punished by a fine not exceeding two thousand five hundred dollars ($2,500).

18-44-110 Priorities, Labor Liens, Foreclosure

(a)(1) The liens for labor performed or material or fixtures furnished, as provided for in this subchapter, shall have equal priority toward each other without regard to the date of filing the account or lien or the date when the particular labor or material was performed or furnished. All such liens shall date from the time that the construction or repair first commenced.

(2) Construction or repair commences when there is a visible manifestation of activity on real estate that would lead a reasonable person to believe that construction or repair of an improvement to the real estate has begun or will soon begin, including, but not limited to, the following:

(A) Delivery of a significant amount of lumber, bricks, pipe, tile, or other building material to the site;

(B) Grading or excavating the site;

(C) Laying out lines or grade stakes; or

(D) Demolition in an existing structure.

(3) In all cases where a sale shall be ordered and the property sold, and the proceeds arising from the sale are not sufficient to discharge in full all the liens against the property without reference to the date of filing the account or lien, the proceeds shall be paid pro rata on the respective liens.

(b)(1) The liens for labor performed or materials or fixtures furnished, as provided for in this subchapter, shall attach to the improvement on which the labor was performed or the materials or fixtures were furnished in preference to any encumbrance existing on the real estate prior to the commencement of construction or repair of the improvement. In all cases where the prior encumbrance was given for the purpose of funding construction or repair of the improvement, that lien shall have priority over all liens given by this subchapter.

(2) The liens, as provided for in this subchapter, shall be enforced by foreclosure, as further provided for in this subchapter, and the property ordered sold subject to the lien of the prior encumbrance on the real estate.

(c) The lien for labor performed and materials or fixtures furnished, as provided for in this subchapter, shall have priority over all other encumbrances that attach to the real estate or improvements thereon subsequent to commencement of construction or repair.

18-44-113 Assignment

The lien given in this subchapter shall be transferable and assignable, but it shall not be enforced against the owner or proprietor of the ground or buildings unless the owner or proprietor shall have actual notice of the assignment so as to protect himself.

18-44-114 Preliminary Notice

(a) Every person, except the original contractor, who may wish to avail himself of the benefit of the provisions of this subchapter shall give ten (10) days’ notice before the filing of the lien, as required in section 18-44-117(a), to the owner, owners, or agent, or either of them, that he holds a claim against the building or improvement, setting forth the amount and from whom it is due.

(b)(1) The notice may be served by any officer authorized by law to serve process in civil actions, by any person who would be a competent witness, or by any form of mail addressed to the person to be served with a return receipt requested and delivery restricted to the addressee or the agent of the addressee.

(2) When served by an officer, his official return endorsed thereon shall be proof thereof; when served by any other person, the fact of the service shall be verified by affidavit of the person so serving; and when served by mail, the service shall be verified by a return receipt signed by the addressee or the agent of the addressee, or a returned envelope, postal document, or affidavit by a postal employee reciting or showing refusal of the notice by the addressee. If delivery of the mailed notice is refused by the addressee, then the person holding the claim shall immediately mail to the owner, owners, or agent a copy of the notice by first class mail and may proceed to file his lien.

18-44-115 Notice to Owner

(a)(1) No lien may be acquired by virtue of this subchapter unless the owner or his authorized agent has received, by personal delivery or by certified mail, a copy of the notice set out in subsection (c) of this section.

(2) The notice required by this section shall not require the signature of the owner or his authorized agent in instances where the notice is delivered by certified mail.

(b)(1)(A) It shall be the duty of the contractor to give the owner or his authorized agent the notice set out in subsection (c) of this section on behalf of all potential lien claimants under his contract prior to the supplying of any materials or fixtures.

(B) Any potential lien claimant may also give notice.

(2) However, no lien may be claimed by any supplier of material or fixtures unless the owner or agent has received at least one (1) copy of the notice, which need not have been given by the particular lien claimant.

(c) The notice set forth in this subsection may be incorporated into the contract, or affixed thereto, and shall be conspicuous, worded exactly as stated, in all capital letters, and shall read as follows:

IMPORTANT NOTICE TO OWNER

I UNDERSTAND THAT EACH PERSON SUPPLYING MATERIAL OR FIXTURES IS ENTITLED TO A LIEN AGAINST PROPERTY IF NOT PAID IN FULL FOR MATERIALS USED TO IMPROVE THE PROPERTY EVEN THOUGH THE FULL CONTRACT PRICE MAY HAVE BEEN PAID TO THE CONTRACTOR. I REALIZE THAT THIS LIEN CAN BE ENFORCED BY THE SALE OF THE PROPERTY IF NECESSARY. I AM ALSO AWARE THAT PAYMENT MAY BE WITHHELD TO THE CONTRACTOR IN THE AMOUNT OF THE COST OF ANY MATERIALS OR LABOR NOT PAID FOR. I KNOW THAT IT IS ADVISABLE TO, AND I MAY, REQUIRE THE CONTRACTOR TO FURNISH TO ME A TRUE AND CORRECT FULL LIST OF ALL SUPPLIERS UNDER THE CONTRACT, AND I MAY CHECK WITH THEM TO DETERMINE IF ALL MATERIALS FURNISHED FOR THE PROPERTY HAVE BEEN PAID FOR. I MAY ALSO REQUIRE THE CONTRACTOR TO PRESENT LIEN WAIVERS BY ALL SUPPLIERS, STATING THAT THEY HAVE BEEN PAID IN FULL FOR SUPPLIES PROVIDED UNDER THE CONTRACT, BEFORE I PAY THE CONTRACTOR IN FULL. IF A SUPPLIER HAS NOT BEEN PAID, I MAY PAY THE SUPPLIER AND CONTRACTOR WITH A CHECK MADE PAYABLE TO THEM JOINTLY.

SIGNED:

ADDRESS OF PROPERTY

DATE:

I HEREBY CERTIFY THAT THE SIGNATURE ABOVE IS THAT OF THE OWNER OR AGENT OF THE OWNER OF THE PROPERTY AT THE ADDRESS SET OUT ABOVE.

CONTRACTOR

(d) If the contractor supplies a performance and payment bond or if the transaction is a direct sale to the property owner, the notice requirement of subsection (a) of this section shall not apply, and the lien rights arising under this subchapter shall not be conditioned on the delivery and execution of the notice. A sale shall be a direct sale only if the owner orders the materials from the lien claimant or authorizes another person to do so.

(e)(1)(A) The General Assembly hereby finds that owners and developers of commercial real estate are generally knowledgeable and sophisticated in construction law, are aware that unpaid suppliers of labor and material are entitled to assert liens against the real estate if unpaid, and know how to protect themselves against the imposition of mechanics’ and material suppliers’ liens.

(B) The General Assembly further finds that consumers who construct or improve residential real estate containing four (4) or fewer units generally do not possess the same level of knowledge and awareness and need to be informed of their rights and responsibilities.

(C) Because supplying the notice specified in subsection (c) of this section imposes a substantial burden on material suppliers, the notice requirement mandated under subsection (b) of this section as a condition precedent to the imposition of a material supplier’s lien shall only apply to construction of or improvement to residential real estate containing four (4) or fewer units.

(2)(A) No material supplier or laborer shall be entitled to a lien unless the material supplier or laborer notifies the owner of the commercial real estate being improved, in writing, that such material supplier or laborer is currently entitled to payment, but has not been paid.

(B) This notice shall be sent to the owner and to the contractor by registered mail, return receipt requested, before seventy-five (75) days have elapsed from the time that the labor was supplied or the material furnished.

(C) Such notice shall contain the following information:

(i) A general description of the labor, service, or material furnished, and the amount due and unpaid;

(ii) The name and address of the person furnishing the labor, service, or materials;

(iii) The name of the person who contracted for purchase of the labor, service, or materials;

(iv) A description of the job site sufficient for identification; and

(v) The following statement set out in boldface type:

NOTICE TO PROPERTY OWNER
IF BILLS FOR LABOR, SERVICES, OR MATERIALS USED TO CONSTRUCT AN IMPROVEMENT TO REAL ESTATE ARE NOT PAID IN FULL, A CONSTRUCTION LIEN MAY BE PLACED AGAINST THE PROPERTY. THIS COULD RESULT IN THE LOSS, THROUGH FORECLOSURE PROCEEDINGS, OF ALL OR PART OF YOUR REAL ESTATE BEING IMPROVED. THIS MAY OCCUR EVEN THOUGH YOU HAVE PAID YOUR CONTRACTOR IN FULL. YOU MAY WISH TO PROTECT YOURSELF AGAINST THIS CONSEQUENCE BY PAYING THE ABOVE NAMED PROVIDER OF LABOR, SERVICES, OR MATERIALS DIRECTLY, OR MAKING YOUR CHECK PAYABLE TO THE ABOVE NAMED PROVIDER AND CONTRACTOR JOINTLY.

3) Any contractor who fails to give the notice required by this subsection shall be guilty of a misdemeanor and shall be punished by a fine not exceeding one thousand dollars ($1,000).

18-44-116 Service of Notice, Recordation

(a) Whenever property is sought to be charged with a lien under this subchapter and the owner of the property so sought to be charged is not a resident of this state, or does not have an agent in the county in which the property is situated, or when the owner is a resident of this state but not of the county in which the property is situated, or conceals himself, or has absconded, or absents himself from the usual place of abode, so that the notice required by section 18-44-114 cannot be served upon him, then, in every such case, the notice may be filed with the recorder of deeds of the county in which the property is situated. When filed, it shall have like effect as if served upon the owner or his agent in the manner contemplated in section 18-44-114.

(b) A copy of the notice so filed, together with the certificate of the recorder of deeds that it is a correct copy of the notice so filed, shall be received in all courts of this state as evidence of the service, as provided in this section, of the notice.

(c) The recorder of deeds in each county of this state shall receive, file, and keep every such notice presented to him for filing and shall further record it at length in a separate book appropriately entitled. For service so performed, the recorder shall receive for each notice, the sum of twenty-five cents (25 cents), and for each copy certified, as stated in this section, of each of the notices he shall receive the sum of fifty cents (50 cents), to be paid by the party so filing or procuring the certified copy, as the case may be.

(d) The costs of filing and of one (1) certified copy shall be taxed as costs in any lien suit to which it pertains to abide the result of the suit.

18-44-117 Filing of Account

(a) It shall be the duty of every person who wishes to avail himself of the provisions of this subchapter to file, with the clerk of the circuit court of the county in which the building, erection, or other improvement to be charged with the lien is situated and within one hundred twenty (120) days after the things specified in this subchapter shall have been furnished or the work or labor done or performed, a just and true account of the demand due or owing to him after allowing all credits. This account shall contain a correct description of the property to be charged with the lien, verified by affidavit.

(b) It shall be the duty of the clerk of the circuit court to endorse upon every account the date of its filing and to make an abstract thereof in a book kept by him for that purpose, properly indexed. This abstract shall contain the date of the filing, the name of the person laying or imposing the lien, the amount of the lien, the name of the person against whose property the lien is filed, and a description of the property to be charged with it. For this service, he shall receive the sum of three dollars ($3.00) from the person laying or imposing the lien, which shall be taxed and collected as other costs in case there is suit thereon.

18-44-118 Release Bond

(a) In the event any person claiming a lien for labor or materials upon any property shall file such a lien, within the time and in the manner required by law with the circuit clerk or other officer provided by law for the filing of such liens and if the owner of the property, any mortgagee or other person having an interest therein, or any contractor, subcontractor, or other person liable for the payment of such liens shall desire to contest the lien, then the person so desiring to contest the lien may file with the circuit clerk or other officer with whom the lien is filed as required by law a bond with surety, to be approved by the officer in double the amount of the lien claimed. The bond shall be conditioned for the payment of the amount of the lien, or so much thereof as may be established by suit, together with interest and the costs of the action, if upon trial it shall bfound that the property was subject to the lien.

(b) Upon the filing of the bond, if the circuit clerk or other officer before whom it is filed approves the surety, he shall give to the person claiming the lien, at his last known address, three (3) days’ notice of the filing of the bond. The notice shall be in writing sent by certified mail with return receipt requested. Within that time, the person claiming the lien may appear and question the sufficiency of the surety or form of the bond. At the expiration of three (3) days, if the person claiming the lien shall not have questioned the sufficiency of the bond or surety or if the clerk finds the same to be sufficient, the clerk shall note the filing of the bond upon the margin of the lien record; the lien thereof shall thereupon be discharged and the claimant shall have recourse only against the principal and surety upon the bond.

(c) If no action to enforce the lien shall be filed within the time prescribed by law for the enforcement of liens against the surety, the bond shall be null and void, but, if any action shall be timely commenced, the surety shall be liable in like manner as the principal.

(d) If the clerk shall determine that the bond tendered is insufficient, the person tendering the bond shall have twenty-four (24) hours within which to tender a sufficient bond, and, unless a sufficient bond shall be so tendered, the lien shall remain in full force and effect.

(e) Any party aggrieved by the acceptance or rejection of the bond may apply to any court of competent jurisdiction by an action which is appropriate. The court shall have jurisdiction to enter an interlocutory order, upon notice as required by law, as may be necessary for the protection of the parties by requiring additional security for the bond, by reinstating the lien in default thereof, pending trial and hearing, or by requiring acceptance of the bond as may be necessary for the protection of the parties.

18-44-119 Limitations

All actions under this subchapter shall be commenced within fifteen (15) months after filing the lien and prosecuted without unnecessary delay to final judgment. No lien shall continue to exist by virtue of the provisions of this subchapter for more than fifteen (15) months after the lien is filed, unless within that time an action shall be instituted as described in this subchapter.

18-44-122 Petition to Foreclose Lien

The petition, among other things, shall allege the facts necessary for securing a lien under this subchapter and shall contain a description of the property to be charged with the lien.

18-44-123 Parties

In all suits under this subchapter, the parties to the contract and all other persons interested in the controversy and in the property charged with the lien may be made parties to the suit. Those that are not made parties shall not be bound by the proceedings.

18-44-124 Duty of the Contractor to Defend

(a) In all cases where a lien shall be filed under the provisions of this subchapter by any person other than a contractor, it shall be the duty of the contractor to defend at his own expense any action brought thereupon. During the pendency of the action, the owner may withhold from the contractor the amount of money for which the lien shall be filed.

(b) In case of judgment against the owner or his property upon the lien, the owner shall be entitled to deduct from any amount due by him to the contractor the amount of the judgment and costs. If the owner shall have settled with the contractor in full, he shall be entitled to recover back from the contractor any amount so paid by the owner for which the contractor was originally liable.

18-44-125 Court orders

The court shall make orders in the case as will protect and enforce the rights of all interested therein.

18-44-126 Publication of Warning Order

Whenever the owner of an erection or improvement, or of land on which an erection or improvement is put, or the owner of any boat or vessel, is a nonresident of the state or resides out of the county in which the erection or other improvement is put, as provided by this subchapter, or when the owner so conceals himself that personal service of summons cannot be had on him, then the mechanic, builder, artisan, workman, laborer, or other persons entitled to a lien under this subchapter, upon instituting suit, may cause a warning order to issue and be published as may be prescribed by law for the issuance of warning orders in proceedings under attachment. Such service shall be binding and of full force and effect.

18-44-127 Trial

(a) The court shall ascertain by a fair trial, in the usual way, the amount of the indebtedness for which the lien is prosecuted and may render judgment therefore in any sum not exceeding the amount claimed in the demand filed with the lien, together with interest and costs, although the creditor may have unintentionally failed to render in his account when filed the full amount of credits to which the debtor may have been entitled.

(b) The judgment, if for plaintiff, shall be that he recover the amount of the indebtedness found due, to be levied out of the property charged with the lien therefore, which property shall be correctly described in the judgment.

18-44-128 Attorneys Fees

When any contractor, subcontractor, or material supplier who has filed a lien, as provided for in this chapter, gives notice thereof to the debtor or owner of property which has been subjected to the lien in writing sent by registered or certified mail, and the claim has not been paid within twenty (20) days from the date of the mailing, and if the contractor, subcontractor, or material supplier is required to sue for the enforcement of his claim, the court shall allow the successful party in the action a reasonable attorney’s fee in addition to other relief to which he may be entitled.

18-44-131 Satisfaction of Lien

Whenever any indebtedness which is a lien on any real estate, erection, building, or other improvement is paid and satisfied, it shall be the duty of the creditor to enter satisfaction of the lien upon the record or margin thereof in the office of the clerk of the circuit court. Any creditor refusing or neglecting to do so for ten (10) days after payment shall be liable to any person injured to the amount of injury and for cost of suit.

18-44-132 Payment by Contractor to Discharge Lien, Felony, Misdemeanor

(a) It shall be unlawful for any contractor, subcontractor, or other person who has performed work or furnished materials for the improvement of any property where the work or materials may give rise to a mechanic’s, laborer’s, or materialman’s lien under the laws of this state, this subchapter, Sections 18-44-201 ¾ 18-44-210 and subchapter 3 of this chapter, or any other statute providing for a mechanic’s, laborer’s, or materialman’s lien, or the assignee of such person, knowingly to receive payment of the contract price or any portion of it without applying the money so received toward the discharge of any liens known to the person receiving the payment, or properly record it as required by statutes, with the intent thereby to deprive the owner or person so paying the contractor or other person receiving payment of his funds without discharging the liens and thereby to defraud the owner or person so paying.

(b) In any prosecution under this section as against the person so receiving payment, when it shall be shown in evidence that any lien for labor or materials existed in favor of any mechanic, laborer, or materialman and that the lien has been filed within the time provided by law in the office of the circuit clerk or other officer provided by law for the filing of such liens, and that the contractor, subcontractor, or other person charged has received payment without discharging the lien to the extent of the funds received by him, then the fact of acceptance of the payment without having discharged the lien within ten (10) days after receipt of the payment or the receipt of notice of the existence of the lien, whichever event shall occur last, shall be prima facie evidence of intent to defraud on the part of the person so receiving payment.

(c) If the amount of the contract price so received and not applied to the discharge of the liens, with the intent to defraud, shall exceed the sum of twenty-five dollars ($25.00), the party so receiving shall be deemed guilty of a felony and shall be punished by a fine not exceeding one thousand dollars ($1,000) or by imprisonment in the penitentiary for not less than one (1) year nor more than five (5) years, or by both. If the amount so received does not exceed the sum of twenty-five dollars ($25.00), the party shall be deemed guilty of a misdemeanor and punished by imprisonment in the county jail for not more than one (1) year or by fine not less than ten dollars ($10.00) nor more than three hundred dollars ($300), or by both.

18-44-133 Architects, Engineers, Surveyors, Appraisers, Abstractors, Title Insurance Agents

(a)(1) Every architect, engineer, surveyor, appraiser, abstractor, or title insurance agent who shall do or perform any architectural, engineering, surveying, appraisal, or abstracting work on, or who shall issue any title insurance policy on any land, building, erection, or improvement upon land, under or by virtue of any written agreement for performance of the work with the owner or his agent thereof shall have a lien upon the land, building, erection, or improvement to the extent of the agreed contract price or a reasonable price for those services.
(2) However, the lien does not attach to the land, building, erection, or improvement unless and until the lien is duly filed of record with the circuit clerk and recorder in the county in which the land, building, erection, or improvement is located.
(b) This recorded lien will be enforced in the same manner as a mechanic’s or contractor’s lien.

18-44-134 Landscaping Liens

(a)(1) Every person who shall do or perform landscaping services or provide landscaping supplies on any land, building, erection, or improvement upon land, under or by virtue of any written agreement for performance with the owner or his agent thereof shall have a lien upon the land, building, erection, or improvement to the extent of the agreed contract price or a reasonable price for those services.
(2) However, the lien does not attach to the land, building, erection, or improvement unless and until the lien is duly filed of record with the circuit clerk and recorder in the county in which the land, building, erection, or improvement is located.
(b) This recorded lien will be enforced in the same manner as a mechanic’s or contractor’s lien.

18-44-135 Joint Ownership

In the event that property is jointly owned, the signature of one (1) of the owners is sufficient for the purposes of this chapter.

SUBCHAPTER 5 BONDS

18-44-501 Uniform Bonding Procedure

The bond required or authorized in this subchapter shall in itself be a full compliance with all other statutes of this state in effect relating to bond requirements on contracts for the repair, alteration, or erection of any building, structure, or improvement, public or private, it being the intention of this subchapter to provide a uniform bonding procedure in conjunction with such contracts.

18-44-502 Exclusions from Subchapter

This subchapter shall not apply to any contract executed by the Arkansas State Highway and Transportation Department.

18-44-503 Public Projects, Payment Bonds

(a) No contract in any sum exceeding twenty thousand dollars ($20,000) providing for the repair, alteration, or erection of any public building, public structure, or public improvement shall be entered into by the State of Arkansas or any subdivision thereof, by any county, municipality, school district, or other local taxing unit, or by any agency of any of the foregoing, unless the contractor shall furnish to the party letting the contract a bond in a sum equal to the amount of the contract.

(b) All persons, firms, associations, and corporations who have valid claims against the bond may bring an action on the bond against the corporate surety, provided that no action shall be brought on the bond after twelve (12) months from the date on which the Arkansas State Building Services approves final payment on the state contract, nor shall any action be brought outside the State of Arkansas.

18-44-504 Religious and Charitable Organizations, Payment Bonds

(a) No contract in any sum exceeding one thousand dollars ($1,000) providing for the repair, alteration, or erection of any building, structure, or improvement shall be entered into by any church, religious organization, charitable institution, or by any agency of the foregoing, unless the contractor shall furnish to the party letting the contract a bond in a sum equal to the amount of the contract.

(b) The bond shall be filed in the office of the clerk of the circuit court in the county in which the property is situated. Any person or his assigns to whom there is due any sum for labor or material furnished may bring an action on the bond for the recovery of the indebtedness. No action shall be brought after six (6) months from the completion of the church, hospital, orphanage, charitable institution, or benevolent institution. If the bond is not filed as provided in this subsection, any person performing labor or furnishing material, except the principal contractor, shall have a lien upon the property for the unpaid amount of the claim.

18-44-505 Private Construction, Payment Bonds
Any person, firm, corporation, or association entering into a contract for the repair, alteration, or erection of any building, structure, or improvement may, at his or its option, require the contractor to furnish a bond in a sum equal to the amount of the contract.

18-44-506 Condition of the Bond

The bond required or authorized in this subchapter shall be executed by a solvent corporate surety company authorized to do business in the State of Arkansas. The bond shall be conditioned that the contractor shall faithfully perform his contract and shall pay all indebtedness for labor and materials furnished or performed in the repair, alteration, or erection.

18-44-507 Filing Bond

Before any work is performed under the contract, the bond shall be filed with the clerk of the circuit court of the county in which the repairs, alterations, or erection of any building, structure, or improvements are made.

18-44-508 Actions, Limitations

All persons, firms, associations, and corporations who have valid claims against the bond may bring an action thereon against the corporate surety. No action shall be brought on the bond after six (6) months from the date final payment is made on the contract, nor outside the State of Arkansas.