📋 Overview

You've received a threat of a mechanic's lien or a lien has already been recorded against your property. This is a serious matter that can affect your ability to sell or refinance, but you have rights and options. Many liens are defective or for disputed amounts - you don't have to simply pay to make it go away.

Don't Panic

A lien threat or recorded lien doesn't mean you must pay immediately. Many liens are invalid, overstated, or can be challenged.

90-Day Enforcement

After recording, the claimant has only 90 days to file a lawsuit to foreclose. If they don't sue, the lien becomes unenforceable.

Bond-Off Option

You can post a release bond to remove the lien from title while the dispute is resolved. Protects sale/refinance ability.

Types of Lien Situations

  • Lien threat (not yet recorded) - Contractor is demanding payment or threatening to record a lien
  • Preliminary notice received - Sub or supplier is preserving lien rights (required step for them)
  • Lien recorded - Claim has been filed with county recorder - now encumbers your title
  • Foreclosure lawsuit filed - Contractor is suing to force sale of your property
$450
Lien Defense Consultation

Analysis of lien validity, response strategy, and options for removal. Includes demand letter if appropriate.

Schedule Review

🔍 Evaluate the Lien

Before responding, carefully review the lien claim for defects. Many mechanic's liens are technically invalid due to procedural failures.

Lien Validity Checklist

Requirement What to Check If Missing
Valid CSLB License Verify at cslb.ca.gov during work period Lien invalid
Preliminary Notice (subs/suppliers) Must be served within 20 days of first work Lien invalid
90-Day Recording Deadline Lien recorded within 90 days of completion Lien invalid
Proper Legal Description Correct property identification May be voidable
Statement of Claim Requirements Civil Code 8416 required information May be voidable

📄 Verify Claimant

  • ✓ Contractor license was active during work
  • ✓ License type matches work performed
  • ✓ Workers' comp insurance was in place
  • ✓ Preliminary notice served (if sub/supplier)

📝 Check Amounts

  • ✓ Amount matches contract/invoices
  • ✓ Credits given for payments made
  • ✓ Work was actually performed
  • ✓ Change orders authorized

Check the CSLB Website

Go to cslb.ca.gov and verify the contractor's license was active and properly classified during the entire project. An unlicensed contractor cannot enforce a mechanic's lien under B&P Code 7031.

🛡 Your Defenses

California law provides homeowners with multiple defenses against mechanic's liens. Identify which apply to your situation.

Unlicensed Contractor

Under B&P Code 7031, an unlicensed contractor cannot file a valid mechanic's lien or recover any payment. If the contractor wasn't properly licensed during ANY part of the work, the lien is invalid.

When to use: Verify license at cslb.ca.gov; check for suspensions during project.

Missed Deadlines

Liens must be recorded within 90 days of completion. Subs/suppliers must serve 20-day preliminary notice. If deadlines were missed, lien rights are extinguished.

When to use: Calculate dates carefully from last day of work.

Prior Payment / Lien Waivers

If you paid the general contractor and obtained unconditional lien releases, you're protected even if the GC didn't pay subs. Always get releases with payments.

When to use: Sub or supplier is claiming but you paid GC who provided releases.

Owner-Occupied Dwelling Protection

Under Civil Code 8444, liens on owner-occupied residential property (1-4 units) require strict compliance with notice requirements. Additional protections apply.

When to use: This is your primary residence or small rental property you own.

Defective Work / Offset

You can offset the lien amount by the cost to repair defective work or complete unfinished work. Document all defects thoroughly.

When to use: Work was defective, incomplete, or didn't match contract specifications.

Watch for Fraudulent Liens

Knowingly recording a fraudulent or excessive lien is a crime under Civil Code 8424 and Penal Code 115. If the lien amount is grossly inflated or for work never authorized, report to CSLB and consider demanding release.

⚖ Response Options

Choose your approach based on lien validity, disputed amounts, and your timeline needs.

Demand Release for Invalid Lien

If lien is clearly invalid (unlicensed, missed deadline, no preliminary notice), demand in writing that it be released within 30 days or face liability.

  • No payment required
  • Claimant liable for damages
  • Creates paper trail

Post Release Bond

Under Civil Code 8424, post a bond for 125% of lien amount to remove it from title. Dispute continues but your property is clear.

  • Clears title immediately
  • Allows sale/refinance
  • Cost: 2-5% of bond amount

Negotiate Settlement

If some amount is owed but less than claimed, negotiate a reduced payment in exchange for full lien release.

  • Resolves matter quickly
  • Avoids litigation costs
  • Get release first

Petition for Release

Under Civil Code 8480, petition the court to release an invalid or expired lien. Claimant may be liable for your attorney fees.

  • Court orders release
  • Attorney fees possible
  • Need attorney

Wait-and-See Strategy

The 90-day enforcement deadline can work in your favor

Lien recorded Day 0
Claimant must file lawsuit by Day 90
If no lawsuit filed Lien expires
Request release (CC 8460) After day 90
IF NO LAWSUIT Lien becomes void

Don't Pay to Get Release First

Never pay a disputed lien amount without receiving a unconditional lien release simultaneously or beforehand. Use an escrow arrangement if needed. Once paid without a release, you may have difficulty getting one.

📝 Sample Response Letters

Copy and customize these templates for your situation.

Response to Lien Threat - Invalid Claim
Re: Threatened Mechanic's Lien - [PROPERTY ADDRESS] I have received your letter threatening to record a mechanic's lien against my property. I dispute this claim for the following reasons: [SELECT APPLICABLE REASONS] - Your contractor's license was not active during the work period - The work performed was defective and requires $[AMOUNT] to repair - You were paid in full per our contract - The extra work claimed was never authorized Recording a false or fraudulent lien is a violation of California Civil Code 8424 and Penal Code 115. If you record a lien on these false pretenses, I will pursue all available remedies including petition for release with attorney fees, damages for slander of title, and a complaint to the CSLB. If you believe you have a valid claim, please provide documentation supporting your position. Otherwise, consider this matter closed.
Demand for Lien Release - Unlicensed Contractor
Re: Demand for Immediate Release of Mechanic's Lien Property: [PROPERTY ADDRESS] Document No: [RECORDING NUMBER] You have recorded a mechanic's lien against my property for work allegedly performed between [DATES]. My investigation reveals that your contractor's license [LICENSE NUMBER] was [suspended/expired/not properly classified] during this period. Under California Business and Professions Code Section 7031, an unlicensed contractor cannot enforce a mechanic's lien. Your lien is therefore void and unenforceable as a matter of law. DEMAND IS HEREBY MADE that you record a release of this lien within ten (10) days pursuant to Civil Code Section 8480. If you fail to do so, I will petition the court for release of the lien and seek recovery of my attorney fees, costs, and damages for slander of title. Additionally, I am filing a complaint with the Contractors State License Board regarding this unlicensed work.
Demand for Release - Expired Lien
Re: Demand for Release of Expired Mechanic's Lien Property: [PROPERTY ADDRESS] Recording Date: [DATE] The mechanic's lien you recorded against my property on [RECORDING DATE] has expired by operation of law. Under California Civil Code Section 8460(a), a mechanic's lien expires and is unenforceable 90 days after recording unless a lawsuit to foreclose is filed. More than 90 days have passed since recording, and no foreclosure action has been filed. The lien is therefore void. Under Civil Code Section 8460(b), you are required to execute and record a lien release within 10 days of my written demand. This letter constitutes that demand. Please record an unconditional release of lien with the [COUNTY] County Recorder's Office within 10 days and provide me with a copy. If you fail to comply, I will petition the court under Civil Code 8480 for release and seek my attorney fees and costs as provided by law.
Settlement Response with Offset
Re: Response to Mechanic's Lien - Settlement Proposal Property: [PROPERTY ADDRESS] I acknowledge receipt of your mechanic's lien claiming [$LIEN AMOUNT]. While I dispute the full amount claimed, I am willing to resolve this matter as follows: Your Claimed Amount: [$LIEN AMOUNT] Less: Payment already made: [$PAYMENT] Less: Cost to repair defective work: [$REPAIR COST] Less: Incomplete work per contract: [$INCOMPLETE] Net Amount I Calculate Owed: [$NET AMOUNT] I am prepared to pay [$SETTLEMENT AMOUNT] in full and final settlement, contingent upon: 1. Your execution and recording of an unconditional lien release 2. A mutual release of all claims 3. Payment to be held in escrow until release is recorded This offer expires in 14 days. If not accepted, I will exercise my legal remedies to challenge this lien and seek attorney fees and costs.

🚀 Next Steps

Take these actions to protect your property rights.

Step 1: Verify License

Check cslb.ca.gov immediately. An unlicensed contractor's lien is void and unenforceable.

Step 2: Check Deadlines

Was lien recorded within 90 days of completion? Has 90 days passed since recording without lawsuit?

Step 3: Gather Documents

Contract, payments, lien waivers, emails, photos of defects or incomplete work.

Step 4: Respond in Writing

Send appropriate response letter via certified mail. Create a clear paper trail.

If You're Selling or Refinancing

  • Title company will flag it - Liens show up on title search
  • Bond off the lien - Post 125% bond to remove from title
  • Escrow the disputed amount - Proceed with transaction, resolve lien from escrow funds
  • Negotiate payoff - Often claimants will accept less to get paid at closing

If Sued for Foreclosure

  • Answer within 30 days - Don't default; file a response
  • Assert all defenses - Invalid lien, offset, payment, etc.
  • Consider cross-complaint - For defective work, overcharges
  • Mediation often helps - Courts may require it

Protect Your Property

Don't let an invalid or inflated lien cloud your title. Get professional help with your lien defense strategy.

Schedule Consultation - $450

California Resources

  • CSLB License Lookup: cslb.ca.gov - Verify contractor licensing
  • County Recorder: Where liens are recorded and released
  • Civil Code 8000-8494: Complete mechanics lien law
  • CSLB Complaint: cslb.ca.gov/Consumers/Filing_A_Complaint