by Mark A. Cobb
As you know, we started the Georgia Construction, Lien and Payment Bond Law Blog in 2010, and as the year draws to a close we are grateful for our many readers and clients. Needless to say, the holidays are a very busy time of the year; unfortunately, we might allow our hectic schedule to be the cause for forgetting important deadlines. Thus, we thought we take a few minutes to remind you that certain materialman lien and payment bond deadlines may run out on you despite the holidays. Please take a few minutes to review your current accounts receivable, your construction contracts, your delivery tickets and make sure that no deadlines are missed–it can make the difference between marking an account “PAID IN FULL” or “WRITE-OFF”.
Here are some Georgia construction law statutes of limitations which you may find useful:
- Notice of Commencements: In Georgia, a Notice of Commencement should be filed within 15 days of the start of a construction project by the general contractor or the project owner;
- Request for a Copy of a Notice of Commencement: If an owner or a general contractor received a request for a copy of a Notice of Commencement covering a particular job, a copy must be given to the requesting partying within 10 days of the receipt of the request;
- Notice to Owner & Notice to Contractor: Third-tier subcontractors and suppliers must give Notice to Owner/Contractor within 30 days of the first day in which they are on the job or begin supplying materials to the job-site;
- Preliminary Liens: Georgia’s lien laws require that preliminary lien or pre-liens must be filed within 30 days of the first day in which you start on the job or begin supplying materials to the job-site;
- Georgia Mechanics, Materialmen and Construction Liens: Unless the deadline is shortened because the lien claimant signed a lien wavier, Georgia materialmen’s lien must be filed within 90 days of the last day in which the lien claimant was on the job or last supplied materials to the job-site;
- Payment Bond Claims: Unless the deadline is shortened because the payment bond claimant signed a lien waiver, claims made against payment bonds must be sent within 90 days of the last day in which the claimant worked on the job or last supplied materials to the job-site;
- Lawsuit to Perfect a Materialmen’s Lien: Georgia liens must be perfected before they automatically expire; in order to perfect the lien, a lawsuit must be filed within 1 year of the date in which the lien was filed against the party with whom the Georgia lien claimant contracted;
- Lawsuit on a Bond Claim: Depending on the type of the payment bond, the deadline to file a lawsuit on a bond claim may be as short as 6 months from the date the claim was made; there are many different types of potential payment bonds including federal payment bonds required under the Miller Act, state of Georgia or Georgia municipality payment bonds, and private payment bonds and different requirements apply to each type of bond;
- Notice of Action of Filing Suit: As part of the process to perfect a Georgia lien, a Notice of Action must be filed in the real estate records within 30 days of filing a lawsuit to perfect the mechanic/materialmen/construction lien; and
- Affidavit of Nonpayment: If a Georgia interim or final lien waiver and release is signed but payment is not received, the entity executing the lien waiver must file an Affidavit of Nonpayment with the clerk of court within 60 days of the date of the lien waiver or release in order to maintain its lien and/or bond rights.
There are just a few of the many deadlines that may affect you. Please contact us if you have questions regarding these or other deadlines or call us at 1-866-960-9539. Although it’s the holidays, our offices will be open the week between Christmas and New Years Eve. Merry Christmas!!