New Handbook Updates Georgia’s Lien Laws for 2021

As our readers know, the 2020 Georgia Legislative Session amended Georgia’s Lien Laws, and these new rules take effect on January 1, 2021.  These amendments to the laws were in response to a Georgia Court of Appeals decisions which negatively impacted construction professionals.

In anticipation of this, we have completely revised our Georgia Handbook on Materialmen’s Liens and Payment Bonds.  This new edition includes all of the 2020 / 2021 changes to Georgia Lien Laws, and it includes even more substantive lien law and payment bond law basics than earlier editions of the handbook.  The handbook will be available in a 28-page print edition for our clients and friends as well as for free download on our website in December; however, until it is available there, we are giving our readers a sneak peak into some of the updated information.

Georgia’s new lien laws have changes some of the deadlines  for those contractors and material suppliers who desire to keep their payment bond rights and their rights to file a materialmen’s lien.  Specifically, if a design professional, contractor, subcontractor, or supplier executes one of Georgia’s statutory lien waiver forms and they do not received payment, then that design professional, contractor, subcontractor, or supplies has ninety (90) days in which to file an Affidavit of Nonpayment in order to void the lien waiver.

The latest edition of the Lien and Bond Handbook includes an explanation of this amendment to the lien laws as well as updates all of the essential deadlines regularly used by construction professionals.  Here is a peak at the list of updated deadlines related to Georgia lien claims and payment bond deadlines:

Summary of Some Important Deadlines Related to Liens, Lien Waivers, and Payment Bond Claims:

In order to take advantage of Georgia’s materialmen’s lien and payment bonds statutes, potential lien claimants must fulfill all of their obligations. The following is a list of some of the more important deadlines which suppliers might encounter. Meeting these deadlines can help prevent payment issues on construction projects.

General Contractor/Project Owner’s deadline  to file a Notice of Commencement:  15 days from the start of the project to file

General Contractor’s deadline to provide a copy of Notice of Commencement:  10 days from receipt of request to provide copy to requestor

Subcontractor / Supplier’s Notice to Owner & Notice to Contractor deadline:  within 30 days from the first day in which labor, services, or materials are first supplied

Deadline for Filing Preliminary Liens: within 30 days after the date a party delivered any materials or provided any labor or services for which a lien may be claimed

Deadline for Filing Affidavit of Nonpayment if Georgia Lien Waiver is signed but payment is not received: within 90 days of the date of the lien waiver

Deadline to File a Materialmen’s Lien: within 90 days of the last day worked

Deadline to Make a Payment Bond Claim: within 90 days of the last day worked

Deadline to Commence an Action to Perfect a Lien if no Notice of Contest of Lien is filed:  within 1 year of lien filing date

Deadline to Commence an Action to Perfect a Lien if a Notice of Contest of Lien is filed:  within 60 days of the filing of the Notice of Contest

Deadline to File a Lawsuit on a Bond Claim: Depends on type of bond and (often within 6 months to 1 year)

Deadline to File a Notice of Action of Filing Suit: within 30 days of commencing an action to enforce lien rights