What Happens When A Mechanics Lien Is Filed? (2026)

A Lien Is a Claim, Not a Judgment

A mechanics lien is a legal claim by a contractor, supplier or laborer. The resulting security interest places the claimant in line to be paid when the property is sold or refinanced.

However, a lien is not a judgment. It simply gives notice to the public and the property owner of the claimant’s right to payment.

How the Lien Affects Your Property

What happens when a mechanics lien is filed, and you want to keep the property? Liens create a cloud on the title, impeding all of the following:

• Selling
• Mortgaging or refinancing
• Pledging as collateral

Additionally, the claimant can file a foreclosure action to force a sale so they can be paid from the proceeds.

The Contractor Must Sue to Enforce It

Mechanics liens are usually not self-enforcing. The claimant must sue the property owner for foreclosure.

Deadlines That Can Void the Lien

Claimants have several deadlines. States often require claimants to file a preliminary notice early in the project. For example, in Utah, all claimants must file a preliminary notice within 20 days of starting a project to protect their right to record a lien.

Most states also set a deadline for recording a lien after project completion. For instance, general contractors must file 90 days after work completion or 60 days after the owner records a notice of completion to create a mechanics lien California will enforce.

Finally, after recording a lien, most states limit the time to enforce it. In Virginia, lienholders have six months after recordation or 60 days after project completion (whichever is later) to start a lien enforcement lawsuit.

How to Check if the Lien Is Valid

A title search on the property can tell you whether a lien has been properly recorded. A lawyer can determine validity based on whether the claimant complied with your state’s laws on how to file a mechanics lien.

Options for Removing the Lien

So what happens when a mechanics lien is filed, and you do not want to lose the property? You have two primary options for removing a lien. First, you can negotiate with the claimant to release the lien. Alternatively, you can sue the claimant to challenge an invalid lien.

What Happens in a Foreclosure Suit?

A foreclosure lawsuit focuses on the claimant’s right to be paid. If the agreement was unclear or the owner already paid, the court might not enforce the lien. However, if the claimant proves that the debt is valid and due, the court can order an auction of the property. All creditors with valid liens, including mortgage holders, are paid.

Use the Right Mechanics Lien Template

You may have only one chance to file a valid mechanics lien. Find the right mechanics lien form for your needs by exploring ConsumerShield’s guides and forms today.