Alabama
Preliminary Notice-Private Work

Warning: All information contained within this data base is subject to change at any time by the various states and is not guaranteed in any way by Lienwriter.com, LLC. Nor does Lienwriter.com, LLC. assume any liability or responsibility for it's content. Please use in conjunction with advice from your attorney.

Note: This information is limited in scope and applies only to this document. Please see the general information, all forms memo and the general information memo for this type of document, for additional information.

Title of Document: Notice to Owner (Prior to Performance).

Scope: State of Alabama, Private Works

Time Constraints: A Preliminary Notice for private works in Alabama is not exactly needed, but highly recommended. The ability to establish full lien rights (that is, the full balance of the moneys due your company, whether the owner has paid your customer or not) against the project property depends on the type of relationship you have with the owner:

When you contract directly with the owners, you have an automatic full balance lien.

When you contract with Prime Contractors or Sub-contractors, (the situation for most suppliers) you have lien rights only on the unpaid moneys due the Prime Contractor or Sub-contractor from the owners. However, if you serve the owners, construction lenders and sureties (if any) with a Preliminary Notice prior to furnishing your labor, materials or service, and the owners do not disclaim responsibility before the labor is performed or the materials used, you establish a right to a full balance lien. You must send a Lien Warning Notice, however, before filing a lien. See Alabama Lien Warning Notice, Private Work, for more details.

So, the second you have the contract, mail your preliminary notices immediately.

Information Requirements: The information required by program and whether you intend to send an owner cover letter.

Forms Types: Preliminary Notice for Furnishing Labor, Materials or Equipment, Exhibits A-D (if needed) and Owner Letter.

Procedures: Enter the program data, including Additional Legal Parties or Releases for Other Companies. Copies of all of the forms (less the Owner Cover Letter and the Recorder Letter) must be sent to all legal owners, all lenders and all sureties. Sending a copy to the general contractors or your customer (unless he is the owner, general contractor, lender or surety.) is optional.

Important: When in doubt file your lien claim immediately. If you fail to prepare and serve your Preliminary Notice before furnishing, your lien rights revert only to the unpaid balance due your customer. If they have already been paid before you furnish, you may find yourself with an uncollectable bill and no lien rights at all.

Alabama
Preliminary Notice-Public Work

Warning: All information contained within this data base is subject to change at any time by the various states and is not guaranteed in any way by Lienwriter.com, LLC. Nor does Lienwriter.com, LLC. assume any liability or responsibility for its content. Please use in conjunction with advice from your attorney.

Note: This information is limited in scope and applies only to this document. Please see the general information, all forms memo and the general information memo for additional information.

Document Title: Notice of Right to Lien and Request for Copy of Bond.

Scope: State of Alabama, Public Work

Time Constraints: Serve your Notice of Right to Lien within 20 days of your first furnishing of labor, materials or equipment upon the Public Entity, General Contractor and the Bonding Company, if known. Claims can be made only on the bond- no liens are allowed.

Alabama is one of the states where public entities will provide you with a copy of the surety bond upon demand. Since that bond can be liened in addition to making demands on the public entity trust funds, it is handy to know the facts of the bond. If you do not have a copy of the surety bond already, we strongly urge you to send this form. If you do have the information, you are ready to file your public lien claim.

Bonds are required for all jobs over $1000.00 in a payment bond amount of not less than 50% of the contract price.

Information Requirements: The information required by program.

Form Types: Notice of Right to Lien and Request for Copy of Bond, Exhibits A-D (if needed) and Owner Letter (if used).

Procedures: Enter the program data, including additional Legal Parties or Releases for Other Companies. Copies of all of the forms must be sent to all public entities involved, general contractors and sureties. Serve within the time constraints listed above.

Important: Obtaining the public surety bond information, and filing against that bond, may represent your only chance of recovery if all public funds have been disbursed. We strongly urge you to obtain this information if at all possible.