Slow Payment & ICE Raid Halts Hyundai EV Plant: What It Means for Georgia Contractors & Suppliers
Hyundai’s EV “Metaplant” and LG Battery facility in Georgia has been fraught with slow-pay issues which means that sub-contractors and suppliers have not been getting paid promptly. Consequently, there are scores of matieralmen’s liens filed against the projects. More recently, the work on the projects were disrupted by an ICE raid. Here’s what it means for contractors, suppliers, and payment rights on the project.
Why Hyundai’s Georgia EV Plant Matters
Hyundai’s EV “Metaplant” in Ellabell, Bryan County, Georgia, and its companion electric battery plants “SK Battery” in Kingston, Bartow County, Georgia have been promoted by Governor Brian Kemp as the “largest economic development project in state history”. This project signaled the start of a manufacturing boom fueled by foreign investments and higher costs of international production.
The completion of this project was expected to have broader positive impacts across the manufacturing and construction board. It brings the possibility of greater economies of scale across the state, increasing the amount of work to be found by contractors, manufacturers, suppliers, and more.
The Hyundai plant, finished last year, and its accompanying battery facility to be finished next year, were expected to have the capacity to produce 500,000 cars per year. Not only projected to bring 8,500 on-site jobs, according to Hyundai, but a successful completion of the plant could encourage further investment, both foreign and domestic, into building new facilities and infrastructure into Georgia.
Continuous Slow Pay Concerns Sub-contractors and Material Suppliers
In 2020, when the Georgia Lien Laws were updated, Mark Cobb was one of three lawyers tapped to draft the lien law amendments for the legislature. Mark has built his career on filing mechanics and materialmen’s lien claims throughout Georgia. Thus, it is no surprise that when sub-contractors and suppliers began noticing that payments were slow, he has been contacted Today, he has been asked to advise on over 30 materialmen’s liens against the Hyundai and LG Battery projects involving approximately $40 million dollars in lien claims against the two projects.
ICE Raid Brings Work to a Halt
On the morning of September 5, 2025, federal raids brought the construction expanding the Hyundai plant and accompanying battery factory to a halt. An expected 475 workers have been seized by federal authorities due to immigration issues and disputes on their legality to work. With upwards of 300 of these workers being South Korean nationals, many of whom are claimed to be here on a training capacity, the likelihood of an on-time job completion falls drastically when considering the recent events.
What Work Stoppages Mean for Contractors
A long term disruption can create many problems for subcontractors. Although individual impacts will vary on a contractor specific basis, some common difficulties that will arise in a scenario like this are:
- Payment delays – While owners and managers restructure construction timelines, payments may be suspended or halted for the time being.
- Incurred expenses – Unexpected timeline increases raises time-dependent costs, such as: equipment rentals, labor and lodging costs, and lost possibilities on other projects.
- Contract disputes – These may arise when determining whether subcontractors, prime contractors or owners bear the additional costs associated with the extended timeline.
Georgia’s Lien Law Protections for Contractors and Suppliers
The state of Georgia understands that workers do not always get the money promised to them. In order to safeguard suppliers and contractors from payment stoppages, Georgia provides protections for them through lien laws. These laws allow for claims to be made against the property itself, ensuring payments are made, even when cash flow has dried up.
Georgia’s Basic Lien Requirements
Is a Notice to Owner Required? In order for a lien to be publicly recognized and valid or “perfected”, it must meet strict legal requirements. For example, to file a “mechanic’s lien” (one in which payment is being pursued), certain sub-subcontractors and suppliers may need to comply with Georgia’s Statutory Notice Scheme by sending out a Notice to Owner within 30 days of first providing service.
Lien Must be Filed Within 90 Days of the Law Day Worked! In order to have any claims against Hyundai or SK Battery, all liens must be filed with the appropriate Clerk of Court within ninety (90) days of the last day worked.
Follow Up the Claim of Lien: Finally, to perfect the lien, a lawsuit must be filed within 365 days of the filing date of the lien, a Notice of Filing Action must also be filed within 30 days of the lawsuit being filed.
Because of the strict time frames associated with filing liens, it is important that if you are on a project suffering payment delays, such as the Hyundai Metaplant, that you are aware of the steps needed to be taken in order to secure your payment.
Where to File Lien Against the Hyundai Plant & SK Battery:
All liens in Georgia are filed in the real estate records maintained by the Clerk of the Superior Court in the county where the project is located. In this case, all liens filed against the Hyundai plant must be filed with the Superior Court Clerk of Bryan County, and those associated with the Kingston SK Battery plant need to be filed in Bartow County, Georgia.
Other Helpful Actions
The raid on this facility has caused a lot of confusion both in terms of satisfying previous agreements and in deciding the best course of action moving forward. This may increase the time that it takes for you to receive payment, even when filing a lien. It is very important for those awaiting payments to remain proactive and on top of new developments.
This includes:
- Reviewing contracts to discover where financial responsibility for workplace delays lies.
- Maintaining all expenses related to costs incurred after construction was delayed.
- Monitoring lien deadlines, ensuring your rights are protected in the event of payment disputes.
The recent ICE raid on the Hyundai Metaplant shows how even the biggest and most secure projects can face sudden disruptions. For those working on high-profile construction, protecting payment rights and preparing for disputes is not optional, but essential.
Need Help Getting Paid?
Our team at Cobb Law Group specializes in commercial construction law and we have a free booklet on Georgia’s lien law (available here). We would also be happy to answer any further questions you may have regarding lien laws or handling any other payment disputes in the state of Georgia.
Reach us at:
Atlanta Office: (770) 886-5890
South Georgia Office: (229) 226-1344