Welcome to our Mechanics Lien Workshop Burton A. Brown Babak Bakhtiari Maria Hernandez The Law Offices of Burton A. Brown 205 W. Wacker Dr., Suite 922 Chicago, IL 60606

The Anatomy of a Job

New Job How bad do you want this job?

What do you know about the job? Who is the owner? Who is the general? Where is the money coming from? Is there a bond? Get a copy of it! Is your contract in writing? Make sure it is!

Contract Review Special Clauses to look at: – Insurance Clause – Indemnification Clause – Venue for Dispute Resolution

Special Home Remodeling Notice IF you are doing a home remodeling job... MAKE SURE you get a contract in writing, AND enclose the special notice to the homeowner Home Repair & Remodeling Act: 815 ILCS 513/1 et seq. – Requires written contract – MUST include consumer rights brochure – IL Sup. Ct.: Act applies to Generals only, not subs

Documentation Keep detailed invoices Time sheets, Payroll, executed pay estimates, proof of delivery tickets: have them, keep them Document your last day of non-punchlist work Keep portions of contracts that reflect the work was required

Dispute Resolution Mediation Arbitration Court

Completion Dates What if delayed? – Consequences Send letter to General and/or Architect

The Sinking Ship No Lien No Notice to Public Body No Bond Claim

New Issues in Contract Clauses OSHA – Who is in control or in charge? Monitor other adjoining subs

Follow the Plans and Specs Don’t Look / Don’t Tell Reliance – Implied Warranty

When Lightning Strikes Bond Claim – 6 months Mechanics Lien Claim – 90 days for Subcontractor – 120 days for General Contract Claim – 2 years

Special Notices Subcontractors: 60-day notice to owners of residential homes! General contractors: send Sworn Statement along with notice of lien IF owner sends demand, you must file your lien notice within 30 days!

To Be Continued… Thank You for Joining Us. Burton A. Brown Babak Bakhtiari Maria Hernandez