Preliminary Notice
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In Mechanics lien law a Preliminary Notice (also known as a Notice to Owner, Materialmens Notice to Owner, Notice of Furnishing, Contractor/Subcontractors Notice to Owner, and others) is a notice sent by the contractor, subcontractor, materialmen, equipment lessors or other parties to a construction project not to create a Mechanics lien but rather to establish a right to file a Mechanics lien. The distinction is important. If the Preliminary Notice is sent but the claimant's bill is paid the Preliminary Notice has no further legal effect. However, if the bill is not paid the claimant may now file a Mechanics lien on the owner's property. Most states do not allow the filing of a Mechanics lien without claimants being able to prove they first sent a Preliminary Notice.
In the United States about forty states now require some form of a Preliminary Notice to the owner and general contractor of a construction project.
The Mechanics lien process can be of great value to contractors, subcontractors, materialmen and other related parties to a construction work in enforcing their claims, if done according to the laws of the various states, or the federal government (Why do a mechanics lien). These parties are entitled to be paid for their material or labor contributions to the improve of real property. Most forms for the process can be obtained from local office supply stores, and a few computer programs exist to handle the process on a nationwide basis.
