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What Is a Mechanic’s Lien and How Does It Affect Property Owners in California?

If you have hired a contractor, subcontractor, or material supplier for a construction project on your California property—and that party claims they have not been fully paid—a mechanic’s lien may be filed against your property. Mechanic’s liens are one of the most powerful remedies available to construction industry participants in California, and they can have serious consequences for property owners. The construction and real estate attorneys at SBEMP Attorneys LLP help both property owners and contractors throughout the Coachella Valley navigate mechanic’s lien issues effectively.

What Is a Mechanic’s Lien?

A mechanic’s lien (also called a construction lien or materialman’s lien) is a legal claim filed against a property by a contractor, subcontractor, laborer, or material supplier who claims they provided labor or materials for improvements to that property and have not been fully paid. The lien attaches to the real property itself—not to the property owner personally—and can encumber the title, making it difficult or impossible to sell or refinance the property until the lien is resolved.

Who Can File a Mechanic’s Lien in California?

California’s mechanic’s lien law (Civil Code Sections 8000 et seq.) allows a broad range of construction industry participants to file liens against property, including:

  • General contractors and prime contractors
  • Subcontractors of any tier
  • Material suppliers who furnished materials used in the project
  • Equipment lessors who provided equipment used on the project
  • Design professionals such as architects, engineers, and surveyors
  • Laborers who performed work on the project

Notably, a property owner may face a mechanic’s lien from a subcontractor or material supplier even if the property owner paid the general contractor in full. If the general contractor failed to pay those downstream parties, they can still file liens against the property.

The Preliminary Notice Requirement

California law requires most claimants (other than direct contractors) to serve a preliminary notice on the owner, general contractor, and construction lender within 20 days of first furnishing labor or materials to the project. This is a critical procedural requirement—failure to serve a timely preliminary notice may bar the claimant from filing a valid mechanic’s lien. Property owners who receive a preliminary notice should understand it is not itself a lien—it is an advance notice that preserves the sender’s right to file a lien if payment disputes arise.

Deadlines for Filing a Mechanic’s Lien

In California, mechanic’s liens must be filed within specific deadlines after the completion of the project (or the cessation of work):

  • Direct contractors (those with a direct contract with the owner): 90 days after completion of the work of improvement
  • Subcontractors and material suppliers: 90 days after completion of the work of improvement, OR 30 days after the owner records a Notice of Completion or Notice of Cessation—whichever comes first

The recording of a Notice of Completion by the property owner is an important tool for shortening the lien filing window for subcontractors and suppliers.

How a Property Owner Can Respond to a Mechanic’s Lien

When a mechanic’s lien is filed against your property, options include:

  • Paying the claim—if the lien is valid and the claimant is genuinely owed money, payment releases the lien
  • Bonding over the lien—the property owner can record a lien release bond that substitutes the bonding company’s obligation for the lien on the property, freeing the title
  • Disputing the lien—if the claim is invalid, overstated, or procedurally defective, an attorney can challenge the lien through a petition to release it
  • Waiting for the enforcement deadline—if the claimant fails to bring a foreclosure action within 90 days of filing the lien, the lien expires and can be expunged

How a Contractor or Supplier Can Enforce a Mechanic’s Lien

A mechanic’s lien is not self-enforcing. To collect on a lien, the claimant must file a lawsuit to foreclose on the lien within 90 days of recording it. If the lawsuit is not filed within this window, the lien expires. An attorney experienced in California construction law is essential for navigating this process correctly.

SBEMP provides mechanic’s lien and construction law representation to property owners and contractors throughout Palm Springs, Rancho Mirage, Palm Desert, Indian Wells, La Quinta, and the Coachella Valley. Contact our construction attorneys today.