Montana Code Annotated 1997

MCA ContentsSearchPart Contents


     71-3-532. Content of notice of right to claim lien. (1) The notice of the right to claim a lien must be in writing and state that it is a notice of a right to claim a lien against real estate for services or materials furnished in connection with improvement of the real estate.
     (2) The notice must contain a description sufficient to identify the real estate against which the lien may be claimed.
     (3) The notice must contain the following information and be in substantially the following form:
          NOTICE OF THE RIGHT TO CLAIM A LIEN

     WARNING: READ THIS NOTICE. PROTECT YOURSELF FROM PAYING ANY CONTRACTOR OR SUPPLIER TWICE FOR THE SAME SERVICE.
     
     
     To:     ......     Date of mailing: ......
           (Owner)     
           ......     
           (Owner's address)     
     
     This is to inform you that .......... has begun to provide .......... (description of services or materials) ordered by .......... for improvements to property you own. The property is located at ...........
     A lien may be claimed for all services and materials furnished to you if this notice is given to you within 20 days after the date on which the services or materials described are first furnished to you. If the notice is not given within that time, a lien is enforceable for only the services or materials furnished within the 20-day period before the date on which the notice is given. However, if a regulated lender has provided the funds for the services or materials described in this notice, the notice may be given 45 days after the date the services or materials are first furnished to you. If the notice is not given within that time, a lien is enforceable for only the services or materials furnished within the 45-day period before the date the notice is given.
     Even if you or your mortgage lender have made full payment to the contractor who ordered these services or materials, your property may still be subject to a lien unless the subcontractor or material supplier providing this notice is paid. THIS IS NOT A LIEN. It is a notice sent to you for your protection in compliance with the construction lien laws of the state of Montana.
     This notice has been sent to you by:
     
     NAME:......
     ADDRESS:......
     TELEPHONE:......

     IF YOU HAVE ANY QUESTIONS ABOUT THIS NOTICE, PLEASE CALL US
     
          IMPORTANT INFORMATION ON REVERSE SIDE

          ______________________________     
          IMPORTANT INFORMATION FOR YOUR PROTECTION

     Under Montana's laws, those who work on your property or provide materials and are not paid 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 or neglects to make other legally required payments, the people who are owed money may look to your property for payment, even if you have paid your contractor in full.
     The law states that all people hired by a contractor to provide you with services or materials are required to give you a notice of the right to claim a lien to let you know what they have provided.
     WAYS TO PROTECT YOURSELF ARE:
     -- RECOGNIZE that this notice of delivery of services or materials may result in a lien against your property unless all those supplying a notice of the right to lien have been paid.
     -- LEARN more about the construction lien laws and the meaning of this notice by contacting an attorney or the firm sending this notice.
     -- WHEN PAYING your contractor for services or materials, you may make checks payable jointly to the contractor and the firm furnishing services or materials for which you have received a notice of the right to claim a lien.
     -- OBTAIN EVIDENCE that all firms from whom you have received a notice of the right to claim a lien have been paid or have waived the right to claim a lien against your property.
     -- CONSULT an attorney, a professional escrow company, or your mortgage lender.

     History: En. Sec. 8, Ch. 202, L. 1987; amd. Sec. 2, Ch. 484, L. 1991.

Previous SectionHelpNext Section
Provided by Montana Legislative Services