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THE LANDLORD'S LAWYER sm 770.426.4619 THE LANDLORD'S LAWYER sm 770.426.4619

Malls And Mechanics’ Liens In Georgia

A highly regarded businessperson who owns a shopping mall recently learned there is a mechanics’ lien recorded against the property. The owner plans to sell the property in the next couple of years — however, news of this lien is hampering negotiations. A commercial real estate attorney provides a customized strategy to clients facing this type of commercial lien.

Defining a mechanics’ lien

To secure payment for services and materials, Georgia affords individuals who provide labor or materials for the improvement of real property of another a statutory lien, a mechanics’ lien.  Originating to prevent unjust enrichment of real property at the cost of workers, under O.C.G.A. § 44-14-361.1(a)(2), the claim of lien has seven essential elements:

  • The correct name of the lien claimant and a description of its business
  • The amount owed
  • The correct name of the owner of the premises, real estate, house, improvement or railroad
  • A description of the real property or improvements with sufficient specificity, so as to clearly identify it
  • The date the claim became due
  • A notice to the owner of the property on which the claim of lien is filed that the owner has the right to contest the lien
  • The following statement regarding the claim’s expiration pursuant to Code §44-14-367 to be included on the face of any claim of lien in at least 12-point, bold font: “This claim of lien expires and is void 395 days from the date of filing of the claim of lien if no notice of commencement of lien action is filed in that time period.”

These statutes often entangle unsuspecting real property owners and cause substantial expense and time as well as present a possibility of necessitating foreclosure. Individuals, such as the businessperson cited above, who had no role in the shortcomings of the materialmen or contractors who failed to pay their suppliers or laborers, are unfortunately held responsible. Given the extensive costs associated with such liens, a Marietta attorney experienced in commercial real estate lien law should be consulted to determine whether there are inaccuracies or errors in the lien.

Acquire effective support  from Marietta commercial real estate attorneys

By retaining Wiles & Wiles, LLP, a client receives efficient representation. The firm represents clients in Marietta, Atlanta, Decatur, Cobb County, Fulton County, DeKalb County, Clayton County, Gwinnett County and throughout Georgia, Florida and Tennessee with commercial real estate issues.


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