2004 June 21
Florida's Construction Lien Law
Protect Yourself and Your Investment
According to Florida law, those who work on your property or provide materials, and are not
paid-in-full, have a right to enforce their claim for payment against your property. This claim is
known as a construction lien.
If your contractor fails to pay subcontractors or material suppliers, the people who are owed
money may look to your property for payment, even if you have paid your contractor in full.
This means that if a lien is filed against your property, your property could be sold
against your will to pay for labor, materials, or other services which your contractor may
have failed to pay.
This document provides information regarding Florida Statute 713, Part 1, as it pertains to home
construction and remodeling, and provides tips on how you can avoid construction liens on your
property.
Protecting Yourself
If you hire a contractor and the improvements cost more than $2,500, you should know the
following:
•
You may be liable if you pay your contractor and he then fails to pay his suppliers or
contractors. There is a way to protect yourself. A Release of Lien is a written statement
that removes your property from the threat of lien. Before you make any payment, be
sure you receive this waiver from suppliers and subcontractors covering the materials
used and work performed on your property.
•
Request from the contractor, via certified or registered mail, a list of all subcontractors
and suppliers who have a contract with the contractor to provide services or materials to
your property.
•
If your contract calls for partial payments before the work is completed, get a Partial
Release of Lien covering all workers and materials used to that point.
•
Before you make the last payment to your contractor, obtain an affidavit from your
contractor that specifies all unpaid parties who performed labor, services or provided
services or materials to your property. Make sure that your contractor provides you with
final releases from