Mechanics' Lien

A mechanics' lien is a legal claim that a contractor, subcontractor, or supplier can place on a property when they are not paid for work or materials provided. This lien ensures that they have a right to seek payment from the property's value if necessary. It serves as a public notice that the property has a financial obligation attached. Essentially, if a property owner doesn’t pay for construction work, those who contributed can claim a stake in the property until they're compensated, potentially affecting the owner's ability to sell or refinance the property.