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One of most obvious parties that can claim a lien under mechanic’s lien laws is a contractor. “Contractor”, for purposes of mechanic’s lien law, is one who furnishes labor or materials under contract directly with the owner for the improvement of property.
One step farther out from a contractor is a subcontractor, defined for purposes of mechanic’s lien law as one who assumes portion of contract from the original contractor or another subcontractor for performance of all or part of services or work which the other had obligated himself to perform under contract with the owner. The court gave a similar definition that a subcontractor is one who takes from the contractor a specified part of the work. There is no privity of contract between a subcontractor and a property owner. Therefore, the subcontractor can obtain a mechanic’s lien only by complying with the statutory provisions.
For the purposes of liens, the subcontractor is bound to some terms of the original contract. Because the basis of a mechanic’s lien is the contract with the owner by the property to be improved, and , while a subcontractor is not bound by all of the terms of the contract that was made with the owner, he or she must take notice of the specifications in the contract relating to the particular materials or job which he or she undertakes to furnish. The subcontractor, consequently, is bound by those specifications. i.e. in the Eggleston case, where a contractor and a subcontractor entered into an agreement and the subcontractor installed a heating system substantially different from the requirements of the contract, and insufficient for the purpose intended, the subcontractor was not entitled to foreclose a mechanic’s lien against the owner’s land.
Another category of people that often try to claim liens are employees of a contractor. However, the Kansas Supreme Court has held that the contractor himself had the mechanic’s lien because he furnished the labor that was actually performed b others working under the contractor. In one view, a laborer who works under an agreement with the contractor is a subcontractor, but because a subcontractor is actually one who takes from the contractor a specified part of the work, this view is not usually taken.
The furthest step out from a contractor in Kansas case law are the final three categories that will be discussed in this section: subcontractors of a subcontractor, suppliers of a supplier, and suppliers of subcontractors and contractors. First, a subcontractor of a subcontractor has no lien rights under Kansas law. Similarly, a supplier of a supplier is not entitled to a mechanic’s lien. The JW Thompson Co. case did distinguish the supplier of a supplier from the supplier of a subcontractor or contractor. Suppliers of equipment and materials to contractors and subcontractors come within the purview of protection afforded by both mechanic’s liens and public works bonds.
Not for commercial projects. A Warning Statement must be given to the property owner if a subcontractor wishes to claim a lien on pre-existing residential property. K.S.A. 60-1103a. On new residential property, the contractor must file a Notice of Intent to Perform pursuant to K.S.A. 60-1103b.
A contractor has four months after the date of the last material, equipment, or supplies were furnished or the last labor was performed under the contract in order to file its mechanic’s lien. K.S.A. 60-1102. A subcontractor, supplier, or other person has three months after the date the last supplies, materials, equipment or labor was furnished. K.S.A. 60-1103.
Yes, the lien filing must be served by personal service, restricted mail, or posted upon the premises if the owner is unkown.
Yes.
The test to determine specifically when the work is completed (thus, beginning the time running for filing a mechanic’s lien ) is whether the work is part of the work necessary to be performed under the terms of the original contract to complete the job. Any delay in finishing work necessary and required under the contract must comply in good faith with the requirements of the contract.
Generally, the amount of the lien claim is the reasonable value of labor, equipment, materials or supplies used or consumed in the project. There is no allowance for attorneys’ fees, costs or other charges.
