Trying to collect money as a cabinet maker in the woodworking industry is not the best position to be in.

Have you struggled keeping up with the changing rules and regulations for liens?  Are you tired of waiting in line to collect the money you have earned, only to find out that the money has all been taken by the others in the front of the line?  Keeping up on the lien rules just might save you cash flow that may have gone down the tube.    When Utah House Bill 260 went into effect on Aug. 1, 2011, some of the rules and processes for filing mechanics liens were changed.   Here is a brief snapshot of some of the high points of the changes that took place:

1.  A new category of liens has been created (Preconstruction Services)

2.  Notice of retention for preconstruction services

• When  construction is started a “Notice of Retention” must be filed with the SCR within 20 days of beginning work to     reserve the right to later file a mechanics lien

• Failure to file a Notice of Retention generally results in a complete loss of rights

3.  A preliminary notice is almost always required

4.  Lien priority Clarifications

• The changes have made it more favorable to the lien claimant by changing the date relating back to the date when the construction first began

5.  Restriction on waiving lien rights

• Utah will prohibit lien waivers before payment

To read about the new rules and regulations in more depth see the following links: