Colorado Lien Law Summary (Private)

NOTICE REQUIREMENTS

Notice of Intent to Lien must be delivered to the Owner 10 days before filing a lien. If party did not contract with the owner, Notice of Intent to Lien must be delivered to the Owner and Prime Contractor 10 days before filing a mechanic’s lien.

Preliminary Notices are not required before work begins from any party to preserve lien rights.

Notice to Owner is not required. However, anyone other than the prime contractor can deliver this notice to the property owner. The notice places a duty on the property owner to either pay the notifying party directly, or withhold enough funds to satisfy any claims the notifying party may make.

THE MECHANICS LIEN

Prime Contractors, Subcontractors, Sub-Subs, Architects, Engineers, Suppliers and Equipment Lessors all have lien rights in Colorado.

- Referred to as “Statement of Lien”

- In most cases, must be filed within 4 months from when materials, equipment, services or labor last delivered to the jobsite.

- On residential projects of one or two family homes, lien can be filed within 4 months, but will only be effective to good faith purchasers of a home if it is filed within 2 months from when materials, services, equipment or labor were first delivered.

- Action to enforce a mechanic’s lien must be filed within 6 months from last delivery of work, labor, materials, etc., or the completion of the construction project, whichever is later.

TERMINOLOGY
Prime Contractor is any contractor who contracts directly with the property owner.

Last Day Work / Materials Furnished does not include “punchlist” items or other trivial work.