I know that I am always talking about the importance of filing a lien if you are unpaid for labor or materials supplied to a construction project. Liens are the best protection when a contractor or material supplier is not paid. The thing to remember is that the steps to be taken to have a valid lien are different in each state. This article will tell you what steps have been taken to have a valid lien in Colorado.
Who Qualifies for Lien Rights in Colorado?
In Colorado lien rights are available to anyone who improves property with their labor and/or materials, but to have a valid lien, the person claiming the lien must strictly comply with the notice and filing requirements.
The first step in the lien process is to send to the owner and general contractor a notice of intent to lien. This notice must be sent at least 10 days before the lien is filed. The notice must be personally served or sent certified mail return receipt requested.
When The Lien Must Be Filed
Next, the person claiming the lien must file a lien statement with the office of the clerk and recorder in the county where the property is located within four months of the last work or last material supplied. The lien statement must include:
- The name of the owner of the property
- The name of the person that supplied the labor and materials to the property 3. The name of the general contractor
- A legal description of the property
- A sworn statement of the amount that the person claiming the lien is owed. 6. A sworn statement of how, when and to whom the notice of intent to lien was sent.
A lawsuit to enforce the lien must be filed within six months of completion of the project or the last time claimant supplied labor and/or materials.
The steps above list the deadlines for sending notice and filing a lien, there is nothing to stop you from sending notice and filing the lien earlier. If you are owed money, have not been paid, and do not think you will be paid, start the lien process immediately.
To find out more about liens in Colorado list to our podcast on Colorado liens.