Mechanic’s and Materialmen’s Liens or M & M Liens
In a perfect world, people always get paid for the work they perform. In our imperfect world, that is not always the case.
It seems that building contractors are especially susceptible to not being paid for their work. Non-payment can be the result of a building owner’s cash flow crunch, or maybe he thought he was insured for a loss but the claim was denied by his insurance carrier. Maybe he was paid by the insurer but spent the proceeds on something other than his contractor’s invoice.
Remedy for Non-Payment
Regardless of the reason for non-payment, the Texas constitution and the Texas legislature have provided a unique remedy for contractors who supply materials or perform services on buildings. The law allows contractors to place mechanic’s and materialmen’s liens on the real estate. The laws governing M & M liens are very complicated and consequently, most contractors’ require the help of a business lawyer to properly file a lien, and after filing, work to get payment.
Filing a lien does not guaranty payment, but since a properly filed lien can severely limit the activities of an owner with respect to his property, it offers an owner a significant incentive to pay the contractor.
For a free telephone consultation, call me at 713-974-1766 or send me an email.