Connecticut State Lien Law Summary

Furnisher of services or material to owner, general or sub, including those who rent construction equipment and machinery, and including employee benefit trust funds. Lower-tiered subcontractors may also have lien rights, as long as the owner consented to the construction and the lien is for services or materials provided to the construction project. Architectural services, such as plans and drawings, are lienable. [Weber v. Pascarella Mason Street, LLC, 103 Conn.App. 710, 930 A.2d 779 (Conn.App. 2007); Connecticut Carpenters Benefit Funds v. Burkhard Hotel Partners II, LLC, 849 A.2d 922, 83 Conn.App. 352 (2004)] Landscape architects’ work may be covered where it is directly associated with the physical construction or improvement of the real property. [Keith E. Simpson Associates, Inc. v. Ross, Not Reported in A.2d, 2010 WL 745500 (Conn.Super. 2010); aff’d at 9 A.3d 394 (Conn.App. 2010)] Surveying services may be lienable as well. [Compass Eng’g Group, LLC v. Lord, No. CV010168086 (J.D. of Waterbury 2003), Schor at §8.03[B]]. Employee benefit trust funds do have standing to file a lien. [Connecticut Carpenters Benefit Funds v. Burkhard Hotel Partners II, LLC, 849 A.2d 922, 83 Conn.App. 352 (2004)] Note that the subcontractor is subrogated to the general contractor’s rights, so if the contractor is fully paid, the subcontractor will not be able to recover. [Jeffrey v. R. Franco Home Improvements, Not Reported in A.3d, 2014 WL 7525628 (Conn.Super. 2014)]

On residential projects, only REGISTERED home improvement contractors and new home construction contractors; if they fail to comply with the registration requirements of the Home Improvement Act (HIA) or the New Home Construction Contractors Act (NHCCA), which include provisions that must be in all of their contracts, they do NOT have lien rights, nor will they be allowed to recover in quantum meruit.

Note that an architect must register as a home improvement contractor unless he or she is licensed as an architect in Connecticut. [Meadows v. Higgins, 49 Conn. App. 286, 714 A.2d 51 (1998), rev’d on other grounds, 249 Conn. 155, 733 A.2d 172 (1999); Hopko v. St. Peter, No. CV020100039S (J.D. of Middlesex, 2003); Gibbs v. Oliver, Not Reported in A.3d, 2014 WL 2024888, (Conn.2014); McGuire v. Weiser, Not Reported in A.3d, 2013 WL 5395841 (J.D. of Stamford-Norwalk, 2013)]

HOWEVER, licensed professionals such as electricians and plumbers are not required to comply with the HIA or the NHCCA when they are performing the work for which they are licensed. NOTE THAT where a licensed professional such as a plumber also performs work incidental to his or her plumbing work, for example repairing the driveway and reseeding the lawn after having dug up the lawn and driveway to perform plumbing work, such work is ancillary to the plumbing work and will be covered by the exemption to the Home Improvement Act. Engineers also are not covered by the Home Improvement Act. [Conroy Electric, LLC v. Dos Santos, Not Reported in A.2d, 2007 WL 2318153 (Conn.Super.2007); Drain Doctor, Inc. v. Lyman, 973 A.2d 672 (Conn. App.2009)]; Bahjat v. Dadi, 1 A.3d 212 (Conn.App., 2010)] There is also an exception where the contractor proves bad faith by the homeowners. [Baybrook Remodelers, Inc. v. Bennett, No. CV020464368 (J.D. of New Haven, 2003); M & S Paving & Sealing, Inc. v. Villa Maria Condominium Ass’n, Inc., Not Reported in A.3d, 2014 WL 7714355 (Conn.Super. 2014)] Subcontractors are not covered by the Home Improvement Act. [Andy’s Oil Service, Inc. v. Hobbs, 9 A.3d 433 (Conn. App.,2010)] Thus subcontractors will have lien rights even if the original contract did not comply with the Home Improvement Act. [Absolute Plumbing & Heating, LLC v. Edelman, 77 A.3d 889 (Conn. App.2013)] In addition, people or businesses providing the services and materials required for removal of a heating fuel storage tank, as well as for remediation of the tank-related soil contamination, have lien rights. [49-33; Santa Fuel, Inc. v. Varga, 823 A.2d 1249, 77 Conn.App. 474 (2003) cert. denied 831 A.2d 251, 265 Conn. 907] NOTE that the owner must actually own the property, or have an equitable interest in it, at the time of commencement of the work. If they only acquire title or an interest after work commences, the lien is invalid, even on work performed after actual ownership. [New England Sav. Bank v. Meadow Lakes Realty Co., 706 A.2d 465 (1998)]

NOTE that for a homeowner to recover punitive damages under CUTPA, for performing home improvements without being licensed or registered, the homeowner may be required to prove that they were damaged by the contractor’s unlicensed status. [Campagnone v. Clark, 116 Conn. App. 622, 978 A.2d 1115 (Conn.App. 2009)] NOTE ALSO that for a homeowner to recover damages under the HIA (Home Improvement Act), the homeowner must prove that the contractor’s alleged breach caused damage to the homeowner. [Valentini v. Conners, Not Reported in A.3d, 2013 WL 4734782 (Sup.Ct. Ct. 2013)]

CONTRACT FUNDS OR PAYMENT BOND:

Furnisher of labor or mate­rials to general or at least first-tier sub, and including those who rent construction equipment and machinery. Suppliers to suppliers can probably assert a claim as well, as long as the claimant is in a second-tier position, i.e., supplying a first-tier subcontractor or supplier. Union trust funds may bring a claim on behalf of their members. Obtain a copy of the bond itself, as it can provide broader coverage than the statute requires. Third- and fourth-tier claimants are beyond the scope of the bond. [49-41a; Schor at §§ 8.02[D] case law and 8.03[B]; Bleiler v. Metcalf & Eddy, Inc., Not Reported in A.2d, 1999 WL 124347 (Conn.Super., 1999)]

CLAIM AGAINST THE STATE:

Any person, firm or corporation that enters into a contract with the state. This does not give subcontractors the right to bring a claim against the state. [4-61]

Buildings and land on which they stand, to extent of con­tract price. Where the materials are supplied pursuant to a contract with a tenant, the leasehold interest is subject to the payment of the claim. If, however, the lease terminates when the tenant fails to keep the property free of liens, then the lien will terminate also. NOTE that lien claims are limited to the amount of the own­er’s contract with the par­ty through whom the claim­ant claims. In addition, if the general contractor defaults, then the total of all lien claims is limited to the amount of the general contract after deducting the cost of completing the contract, all payments made, and any damages resulting from the general contractor’s default. [49-33; Schor update at §8.03[B]; Banka v. Call Peter, Inc., Not Reported in A.2d, 2007 WL 2039114 (Conn.Super.,2007); Raymond’s Bldg. Supply, LLC v. Prentice, Not Reported in A.2d, 2008 WL 441897
(Conn.Super.,2008)] NOTE that a bond may be substituted for the property, and the lien will thereby be removed. If a bond is substituted, however, then it is irrelevant that the lien claim would have been of such a low priority that there would not have been any equity to which the lien would have attached. [49-37; Santos Foundation, Inc. v. Bank of Scotland; Not Reported in A.2d, 2009 WL 1175523 (Conn.Super., 2009)]

CONTRACT FUNDS OR PAYMENT BOND:

Contract funds or contractor’s payment bond. If the public body fails to obtain a payment bond, then the claimant has a right of action against the public body. If, however, the public body requires a bond, and the contractor provides a bond, but the bond turns out to be inadequate or the bonding company is insolvent, then the public body is not required to investigate or guarantee the bond. If, however, the public body knows (or perhaps has reason to know) of the insolvency or non-existence of the bonding company, then the public body likely will be liable. [49-41, 49-41a; M & L Cons., Inc. v. Town of Darien, Not Reported in A.3d, 2015 WL 671691 (Conn.Super.2015] Note also that where a municipality (but not the state) fails to require a payment bond, or the payment bond provided is inadequate or ineffective, a claimant may be able to bring an unjust enrichment claim against the municipality. [M & L Const., Inc. v. Town of Darien, Not Reported in A.3d, 2015 WL 1427625 (Sup.Ct. Stamford-Norwalk 2015)]

CLAIM AGAINST THE STATE:

The state. [4-61]

ALL CONTRACTS:

General Contractor, where the General wants to receive notice of all other claimants’ claims. [49-35]

NEW HOME CONSTRUCTION:

There are very specific requirements pertaining to the information a new home construction contractor must give to a new customer. [20-417d]

HOME IMPROVEMENT CONTRACTORS:

There are certain requirements for the contract, which are not set out here. NOTE, however, that the lack of a signature by the claimant and lack of start and completion dates would be substantial defects in a contract. (Note, however, that this holding is actually in dicta, not a necessary part of the court’s holding, so it might not withstand further scrutiny if appealed. The failure to provide the notice of the three-day right to cancel also is not a mere technical violation of the statute.) [20-429; dicta in Caruso v. Raffone; Not Reported in A.2d, 2009 WL 3416377 (Conn.Super., 2009); Bennett Builders, LLC v. Mehta, Not Reported in A.3d, 2011 WL 4953020 (Conn.Super., 2011)] There is also other case law holding that the starting and completion dates may not be required to be fixed calendar dates; it may be acceptable to set them out as being determined upon the occurrence of specific events. [20-429(a)(7); Ippolito v. Olympic Const. LLC, Not Reported in A.3d, 2014 WL 7156676 (Conn.Super. 2014)] It also may be acceptable if the anticipated completion date is confirmed verbally but not expressly set out in in the contract. [Davis v. Lawrence Hogan, LLC, Not Reported in A.3d, 2014 WL 7739251 (Conn.Super., 2014]

ALL OTHER CONTRACTS:

(i.e., not home improvement or new home construction contracts): All claimants who do not contract directly with the owner, or who do not have a written subcontract with the general, assented to in writ­ing by the owner. NOTE that per case law, the preliminary notice is not REQUIRED to be given, as long as the lien certificate contains all the information required to be included in the preliminary notice, and the lien certificate is then served upon the owner and general contractor in the manner required for a preliminary notice. It is still a good idea to give a preliminary notice, however. [49-35; H&S Torrington Assoc. v. Lutz Eng’g Co., 185 Conn. 549, 441 A.2d 171 (1981); Schor at §8.03[C]]

CONTRACT FUNDS OR PAYMENT BOND:

(NOTE: This notice is primarily directed at the contract funds, but if properly written and timely given to the surety, it can also be used as a notice of claim against the payment bond. [49-41a, 49-42])

Suppliers of labor or materials to general contractor or subcontractor, who are not paid within 30 days after their customer is paid for the labor or materials the claimant provided. If the general contractor or subcontractor does not pay the claimant within ten days after receiving the notice, the general or sub will be liable to the claimant for 1% interest per month on the amount due. Also, if the claimant demands it in writing, the general or sub will be required to place the funds outstanding, plus interest, in an interest-bearing escrow account, unless the general or sub claims that the claimant has not substantially performed the required work according to their contract. If the general or sub refuses to place the funds in escrow, and the claimant is ultimately found to have substantially performed its work, then the general or sub will be liable for the claimant’s attorney’s fees. [49-41a]

NOTE that there are now special requirements for each payment requisition submitted under these contracts, except for contracts administered by or with the Department of Transportation. Now, the payment requisition must include a statement showing the status of all pending construction change orders, other pending change directives and approved changes to the original contract or subcontract. The statement must identify the pending construction change orders and other pending change directives, and must include the date such change orders and directives were initiated, the costs associated with their performance and a description of any work completed. Note that “pending construction change order” and “other pending change directive” mean an authorized directive for extra work that has been issued to a contractor or a subcontractor.

CLAIM AGAINST THE STATE:

No preliminary notice required. [4-61]

ALL CONTRACTS:

General Contractor must file notice with the town clerk in the town where the property is located. [49-35]

NEW HOME CONSTRUCTION:

The buyer, prospective buyer, or property owner, as appropriate. [20-417d]

ALL CONTRACTS OTHER THAN NEW HOME CONSTRUCTION:

-Owner. If the claimant has a written contract with the general contractor that has been assented to by the owner, then this notice is not necessary. [49-35] (Note that, per Schor, all owners must be served, where a property is jointly owned, and therefore for a lien to attach to each unit in a condominium development, each owner must be served.) [Schor at §8.03[C]]

-General contrac­tor. (Though con­tractor is not entitled to this notice unless it files an affidavit with the town clerk within 15 days of commencing construction, stating the name under which it conducts business, the contractor’s business address, and a description of the property.) [49-35; Schor at sec. 8.03[C]]

CONTRACT FUNDS OR PAYMENT BOND:

-To the general if the claimant supplied the general, or to the subcontractor if the claimant supplied the sub. In the latter case, it may also be helpful to notify the general contractor as well. [49-41a]

-If the claimant wishes to have this notice also be a notice of claim against the bond, it can also be given to the surety according to the time schedule described in the section pertaining to final notices, below. [49-42]

NOTE that all payment requests, except on contracts with the Department of Transportation, must include a statement showing the status of all pending construction change orders, other pending change directives and approved changes to the original contract or subcontract. The statement must identify the pending change orders and change directives, and must include the date the change orders and directives were initiated, the costs associated with their performance, and a description of any work completed. [49-41a]

CLAIM AGAINST THE STATE:

No preliminary notice required. [4-61]

ALL CONTRACTS:

General Contractor must file his or her notice not later than 15 days after commencing construction, removal, repair, etc. [49-35]

NEW HOME CONSTRUCTION:

Prior to entering into a contract with the consumer. [20-417d]

ALL CONTRACTS OTHER THAN NEW HOME CONSTRUCTION:

Notice should be received after start­ing, but no lat­er than 90 days after last del­ivery. If separate preliminary notice is given, recommend giving it earlier, so that it predates lien and so that claim­ant will receive signed return card within 90-day period. [49-35]

CONTRACT FUNDS OR PAYMENT BOND:

Received more than 30 days after the claimant’s customer (the general contractor or a subcontractor) receives payment for the labor or materials provided by the claimant, and fails to pay the claimant. The owner and general contractor will be liable for interest 10 days after receiving the notice. [49-41a]

If the notice is also given to the surety, it must be received more than 30 days but not later than 180 days after the claimant’s customer has been paid. [49-42]

CLAIM AGAINST THE STATE:

No preliminary notice required. [4-61]

ALL CONTRACTS:

General Contractor’s notice must state the name under which the contractor conducts business, the contractor’s business address, and a description of the building, lot or plot of land where the project is taking place. [49-35]

NEW HOME CONSTRUCTION:

-A copy of the contractor’s certificate of registration

-The contractor or his agent must also discuss with the consumer the installation of an automatic fire extinguishing system in a new home.

-The contractor must also disclose to the customer each corporation, LLC, partnership, sole proprietorship or other legal entity which is or has been a new home construction contractor, in which the owner or owners providing the notice is/are or has/have been a shareholder, member, partner or owner during the previous five years. [20-417d]

ALL CONTRACTS OTHER THAN NEW HOME CONSTRUCTION:

-State­ment that cl­ai­mant has fur­nished or is fur­nishing mat­erials.

-Statement that claimant intends to claim a lien. [49-­35]

CONTRACT FUNDS OR PAYMENT BOND:

Notice setting forth claimant’s claim. In addition, the notice should include a demand that if the claimant is not paid within ten days after the general contractor or subcontractor receives the notice, then the funds due must be placed in an interest-bearing escrow account. [49-41a]

To make this notice also effective as a claim against the surety bond, it must also include the amount claimed, the name of the person for whom the work was performed or to whom the materials were furnished, and a detailed description of the project. [49-42]

NOTE that all payment requests, except on contracts with the Department of Transportation, must include a statement showing the status of all pending construction change orders, other pending change directives and approved changes to the original contract or subcontract. The statement must identify the pending change orders and change directives, and must include the date the change orders and directives were initiated, the costs associated with their performance, and a description of any work completed. [49-41a]

CLAIM AGAINST THE STATE:

No preliminary notice required. [4-61]

ALL CONTRACTS:

General Contractor’s notice must be recorded with the town clerk. [49-35]

NEW HOME CONSTRUCTION:

“Provide to the consumer.” Personal service recommended. [20-417d]

ALL CONTRACTS OTHER THAN NEW HOME CONSTRUCTION:

-If owner or contractor resides in town where work performed, notarized copy must be SERVED on each, or left at their residence by a neu­tral person or state marshal. Certified mail is NOT acceptable. [49-35; Attam v. Salmeron, Not Reported in A.2d, 2008 WL 4926336 (Conn.Super. 2008)]

-If owner or contractor resides out of town, notice may be delivered to local agent where there is one, or else send notarized copy by registered or certified mail to out-of-town resi­dence.

-If more than one owner or original contractor, serve each.

-If returned unclaimed, notice shall be given by publication.

-Endorsed return card re­quired. [49-35]

CONTRACT FUNDS OR PAYMENT BOND:

Registered or certified mail. [49-41a]

CLAIM AGAINST THE STATE:

No preliminary notice required. [4-61]

An interim notice is not required.

An interim notice is not required.

Every claimant. [49-34]

Notice of nonpayment described below applies where a party has been paid but fails to pay their subs and suppliers, or where the owner fails to pay. By giving this notice, if the claimant’s customer does not pay within ten days, the customer will be liable for interest at the rate of 1% per month, and, upon demand, the customer will be required to place the outstanding funds, plus interest, into an escrow account. (Though the customer can refuse to do so if the claimant has not substantially performed.) If the owner fails to pay its contractors, subs, suppliers, or other contracting directly with the owner, then a claimant who has not been paid by their customer because of the owner’s failure to pay, may demand payment directly from the owner, with a copy to the contractor. If the owner fails to make this payment as demanded, the claimant will have a right of action directly against the owner. The owner’s liability is limited to the amount owed to the contractor by the owner at the time the owner receives the claimant’s notice. [42-158j]

Every claimant. [49-42; 4-61]

-Town clerk of town in which land is located. (Liens are not recorded in county offices. They must go to the town clerk in the town or city where the property is located). [49-34]

-Owner. Note that, per Schor, ALL owners must be served, where a property is jointly owned, and therefore for a lien to attach to each unit in a condominium development, each owner must be served. Note also that the owner to be served is the owner at the time of service of the lien. Note also that if there is more than one owner or original contractor, serve each person, EVEN IF THE OWNERS ARE A MARRIED COUPLE LIVING TOGETHER. [49-34; Schor at §8.03[C]; Sallstrom v. Borowski, Not Reported in A.2d, 2003 WL 21213658, 34 Conn. L. Rptr. 603; 36 DeForest Avenue, LLC v. Creadore, 915 A.2d 916, (2007), cert. denied 920 A.2d 311]

-General Contractor also recommended, per Schor.

NOTICE OF NONPAYMENT:

To the owner, where the claimant seeks to have a claim directly against the owner if the owner has failed to pay its contractors, subs or suppliers, and the claimant wishes to potentially have a claim directly against the owner personally.

To the claimant’s customer, i.e.:

-To the owner, where the claimant contracts with the owner.

-To the contractor, where claimant contracts with the contractor.

-To the subcontractor or supplier, where contractor contracts with a sub or supplier. [42-158j]

CONTRACT FUNDS OR PAYMENT BOND:

-Surety

-The contractor named as principal in the bond. [49-42]

CLAIM AGAINST THE STATE:

To the agency head of the department administering the contract. [4-61]

TO THE TOWN CLERK:

After work is commenced or mate­rial furnished, but within 90 days after last delivery. Where the 90^th day falls on a weekend or holiday, the lien MAY be allowed to be filed the following day, but it is NOT recommended to rely on that. [S.M. Berger, Inc. v. MCJ, LLC, Not Reported in A.2d, 2010 WL 3667115, 50 Conn. L. Rptr. 514 (Conn. Super.,2010)] Note that an otherwise untimely lien is not saved by work performed after the lien is recorded. [Stephen J. Yellen Builders v. Hitter, Not Reported in A.2d, 2000 WL 1269383 (Conn.Super.2000)]

TO THE OWNER:

True and at­tested copy must be delivered before or with­in 30 days after filing with town clerk. IF, however, claimant is giving only one notice, combining the preliminary notice and the final notice, then the owner must be served within the time period for serving the preliminary notice, i.e., within 90 days after last delivery. [49-34; Torrington case, supra;]

TO THE GENERAL CONTRACTOR:

Received after work is commenced or mate­rial furnished, but within 90 days after last delivery.

NOTE, however, that the lien claim cannot exceed amount owed to general or sub at the time the notice is given, so it is advanta­geous to file early. [49-34]

NOTE also that where a lien is filed too late, it is not saved by work performed after the lien is recorded. [Schor at §8.03[C]]

NOTE also that materials supplied under a separate contract months after substantial completion will not revive the lien rights for materials provided before substantial completion. [Schor at §8.03[C]]

NOTE also that, when work has been substantially completed and the contractor delays final completion, or arranges for delivery of a trivial item(s) in order to extend the filing deadline, the time period for filing will be computed from the date of substantial completion, not the date of delivery of the final trivial item(s). [Conroy v. Northeast Builders Supply and Home Centers, LLC, Not Reported in A.3d, 2013 WL 6038390 (Conn.Super.2013)]

NOTE also that punch list work may extend the deadline for filing a lien. [Schor at §8.03[C]]

NOTICE OF NONPAYMENT:

Sent more than 30 days after claimant’s customer has been paid but the customer has failed to pay the claimant. [42-158j]

CONTRACT FUNDS OR PAYMENT BOND:

The date for giving the notice depends on whether the general contractor or subcontractor included the amount due to the claimant in their submission to the public body or the general, respectively.

-If amount due to claimant was included in general’s submission to the public body or the sub’s submission to the general, the notice must be received more than 60 days but not later than 180 days after the applicable payment date for the work performed or materials supplied by the claimant.

-If the amount due to the claimant was not included in general’s submission to the public body or the sub’s submission to the general, then this notice must be received more than 60 but not later than 180 days after claimant’s last delivery to project. [49-42]

-To bring a claim against the bond for unpaid retainage, the notice must be received not later than 210 days after the general contractor received payment of the retainage withheld from him or her. (The general contractor is supposed to pay out retainage it received within 30 days after receiving it, and the notice must be received not later than 180 days after the general contractor was supposed to make the retainage payment.) [49-42]

CLAIM AGAINST THE STATE:

After the execution of the contract or the authorized commencement of work on the project, whichever is earlier; but less than two years after the acceptance of the work by the agency head (as evidenced by a certificate of acceptance issued to the contractor) or two years after termination of the contract, whichever is earlier. [4-61]

IF THE PRELIMINARY NOTICE IS GIVEN SEPARATELY FROM THE FINAL NOTICE:

-Filed with the county clerk;

-If the owner or contractor resides in the same town where the building is erected, then a true and attested copy of the notice must be left with the owner or contractor or delivered to their usual place of abode. If they live elsewhere, then it may be mailed to owner or agent by registered mail or cer­tified mail or by personal service by state marshal or con­stable. If it is returned unclaimed, then it may be given by publication. Actual service is recommended. [49-34, 49-35; Schor at sec. 8.03[C]]

IF THE PRELIMINARY NOTICE AND FINAL NOTICE ARE GIVEN AS ONE:

-Filed with the county clerk.

-If owner or contractor resides in town where work performed, notarized copy delivered to each, or left at their residence by a neu­tral person or state marshal. An employee of the claimant’s attorney is not a neutral person, and service by such an employee will be invalid. [Sallstrom v. Borowski, Not Reported in A.2d, 34 Conn. L. Rptr. 603]

-If owner or contractor resides out of town, notice may be delivered to local agent where there is one, or else send notarized copy by registered or certified mail to out-of-town resi­dence.

-If more than one owner or original contractor, serve each person, EVEN IF THE OWNERS ARE A MARRIED COUPLE LIVING TOGETHER. [Sallstrom v. Borowski, Not Reported in A.2d, 34 Conn. L. Rptr. 603]

-If returned unclaimed, notice shall be given by publication.

-The notice, endorsed by the person who served it, must be returned to the claimant within thirty days after the filing of the certificate. [49-34, 49-35]

NOTICE OF NONPAYMENT:

Registered or certified mail. (Note that that the return receipt may be returned via mail, electronic or digital methods of returning the return receipt to the sender.) [42-158j]

CONTRACT FUNDS OR PAYMENT BOND:

Registered or certified mail, or in the same manner as civil process is served. [49-42]

CLAIM AGAINST THE STATE:

No specific provision; “given” in writing to the agency head. Personal service or other method of service that provides proof of service is strongly recommended. [4-61; C.R. Klewin Northeast, LLC v. State, Not Reported in A.2d, 2009 WL 241735 (Conn.Super., 2009), rev’d on other grounds, 9 A.3d 326 (2010)]

NOTE: THE Lien claim MUST be signed by the claimant, not the attorney. [Brochu v. Northwest Lumber And Hardware, Inc., Not Reported in A.2d, 1994 WL 86683 (Conn. Super.), 11 Conn. L. Rptr. 160]

Note also that if the preliminary notice and final notice are given as one document, then the final notice must also contain all the requirements of the preliminary notice, set out above. The following are required for the final notice only:

-Must state basis for the claim, and state if it derives from an agreement with the property owner or the consent of the property owner, per Schor

-Name of persons against whom lien is filed (usually the owner). Failure to include this information is fatal to the lien. [Coffee v. West Haven Lumber Co., Not Reported in A.2d, 2009 WL 567034 (Conn.Super., 2009)]

-Name of lien claimant. It is essential to use the claimant’s legal name, not merely its trade name or assumed business name. [Greco Const. v. Edelman, 49 A.3d 256 (Conn.App.2012)]

-Amount of claim (NOTE that the lien is limited to the amount of the owner’s contract with the party through whom the claimant claims. If the general contractor defaults, then the total of all lien claims is limited to the amount of the general contract after deducting the cost of completing the contract, all payments made, and any damages resulting from the general contractor’s default. [49-33])

-Date of first delivery (NOTE that where the date is listed incorrectly, but does not affect priority of the lien, this error MAY not invalidate the lien. STRONGLY RECOMMEND getting this date right, however. [Northeastern Clearing, Inc. v. Applegate Estates, LLC, Not Reported in A.2d, 2009 WL 3087257 (Conn.Super. 2009)])

-Should also state the date of last delivery or else a statement that the lien is recorded within 90 days of the last work performed, per Schor

-Description of prop­erty (Note that where text of lien lists correct property but claimant erroneously attaches legal description of different property, lien will not be invalid if the erroneous description was attached in good faith. [MNZJ, LLC v. Q&P Const., LLC, Not Reported in A.3d, 2011 WL 1018056 (Conn.Super.,2011)])

-Statement that amount claimed is justly due as nearly as it can be ascer­tained

–Subscribed and sworn to by claim­ant, NOT claimant’s attorney. Claimant must swear to the truth of the statements in the lien, and not merely acknowledge that he or she signed it, though apparently is long as the lien includes evidence that the claimant did swear to the truth of the lien, it will be acceptable. (A case has allowed a lien where the claimant signed the lien, and the claimant’s attorney verified it, stating that the claimant had sworn to the truth contained in the lien. The claimant did not himself sign that he had sworn to the veracity of the lien.) [49-34; Stone-Krete Const. Inc. v. Eder, 289 Conn. 672, 911 A.2d 300 (2006); Brochu v. Northwest Lumber and Hardware, Inc., Not Reported in A.2d, 1994 WL 86683 (Conn. Super. 1994), 11 Conn. L. Rptr. 160; Jay Alpert Architects, AIA, PC v. Trellevik, No. CV020464431 (J.D. of New Haven, 2003); Schor at §8.03[C]] [Note that there are cases where the lien has been upheld even though it was not sworn to, but it is STRONGLY recommended that the lien include the claimant subscribing and swearing to the truth of the document. A case has invalidated a lien that was signed, notarized and acknowledged, but it was not subscribed and sworn to, nor was there any other indication of an oath being administered. [Kesco, LLC v. 201 Salem Turnpike, LLC, Not Reported in A.2d, 2009 WL 3739178, 48 Conn. L. Rptr. 576 (Conn.Super.,2009); Schor at §8.03[D]]

NOTE that where there is a defect in the lien (such as an error in the description) and the defect is minor and an honest mistake, (not major and an intentional mistake or fraud,), then the lien may be upheld. [Mark Ouellette Drywall, LLC v. DeRosa, Not Reported in A.2d, 2008 WL 2553053 (Conn.Super. 2008)]

NOTICE OF NONPAYMENT:

Statement of claimant’s claim against the claimant’s customer. The claimant may also include a demand that the defaulting party either pay the funds or put the funds, in addition to interest at the rate of 1% per month, into an interest-bearing escrow account within 10 days of receiving the notice. [42-158j]

CONTRACT FUNDS OR PAYMENT BOND:

-Amount claimed

-Name of person for whom work was performed or to whom material was furnished

-Detailed description of project

-If preliminary notice discussed above was timely given and has the above information, that notice can suffice, if it is also given to the surety. [49-42]

CLAIM AGAINST THE STATE:

Notice must be in writing, and must include notice of each such claim under such contract and the factual bases for each such claim. It is recommended that a claimant also include notice of claimant’s intent to pursue a claim for damages, but it is not required. [4-61; C.R. Klewin Northeast, LLC v. State, 9 A.3d 326 (Conn. 2010)]

Within 1 year after filing lien or within 60 days af­ter appeal from a ruling as to whether the lien should be reduced or discharged, pursuant to 49-35a – 49-35c, whic­hever is later. The lis pendens must also be filed within this time period. [49-39; Interior Environments, Inc. v. WA445 Associates, LLC, Not Reported in A.2d, 2009 WL 3644739 (Conn.Super.2009)] It is essential that suit be brought in the claimant’s legal name, not merely its trade name or assumed business name. [Greco Const. v. Edelman, 49 A.3d 256 (Conn.App.2012)] NOTE that a lien foreclosure action is commenced when the complaint is served on the defendants, so filing the complaint more than a year after the lien was recorded may not invalidate the lien, if the defendants were timely served. A trial court has held that the calculation of the one year time period begins the day after the lien was perfected. [Park Ridge Owners’ Ass’n., Inc. v. MBM, Inc., Not Reported in A.2d, 2002 WL 982695 (Conn. Super., 2002); Schor at §8.03[D], Curran v. Samos, LLC, 36 Conn. L. Rptr. 409, No. CV030091852S (J.D. of Litchfield, 2004)] There is a split within Connecticut on this issue, but there are now 2 superior court a cases holding that, where the claimant timely delivers process to the state marshal for service, and the marshal serves the defendant within 30 days after receiving the documents but more than one year after the lien was filed, the service of process will constitute timely commencement of the lien foreclosure. [Belfor USA Group, Inc. v. Paredim Partners, LLC, Not Reported in A.3d, 2012 WL 3641655 (Conn.Super.2012); Frank Lill & Son, Inc. v. O & G Industries, Inc., Not Reported in A.3d, 2012 WL 6582897 (Conn.Super. 2012)]

CONTRACT FUNDS OR PAYMENT BOND:

After the surety denies liability for all or a portion of the debt, or more than 90 days after surety receives notice of claimant’s claim, whichever is earlier. It can be brought no later than one year after the date of the claimant’s last delivery or last labor performed, except that if the claim is solely for recovery of retainage, then it must be brought within one year after the date that payment of the retainage was due (which is thirty days after the general contractor receives the retainage). NOTE that if the surety fails to respond within 90 days, it is treated as a denial of the claim, not a waiver of the surety’s right to defend the claim on the merits. [Electrical Contractors, Inc. v. Insurance Co. of State, 104 A.3d 613 (Conn. 2014)] NOTE that per an unreported trial court case, the statute of limitations for starting suit begins to run EACH TIME the claimant fails to receive its applicable payment. It does not commence based on the final payment, but based on any payment missed. The suit can then be amended to add subsequent missed payments, if necessary. NOTE ALSO that the time to file a claim against the bond cannot be tolled even by the agreement of all the parties, including the surety. This also means that the surety cannot agree to waive statute of limitations defenses, as the requirement to bring the suit within a certain time is jurisdictional and cannot be waived. NOTE that there is a trial court case that held that a surety can use a pay-if-paid clause in a subcontract as a defense. [49-42; Acoustics Inc. v. Travelers Ins. Co., No. CV30519565S (J.S. of New Britain, 2004); Paradigm Contract Management Co. v. U.S. Fidelity & Guar. Co., Not Reported in A.2d, 2008 WL 1914290 (Conn.Super., 2008), affirmed as Paradigm Contract Management Co. v. St. Paul Fire and Marine Ins. Co., 293 Conn. 569, 979 A.2d 1041 (Conn.,2009); Lindade Constr. Co. v. Cont’l Cas. Co., Not Reported in A.2d, 2009 WL 765501, 47 Conn.L.Rptr. 323 (J.D. of Waterbury, 2009)]

CLAIM AGAINST THE STATE:

After the execution of the contract or the authorized commencement of work on the project, whichever is earlier; but less than three years after the acceptance of the work by the agency head (as evidenced by a certificate of acceptance issued to the contractor) or three years after termination of the contract, whichever is earlier. In the alternative, the claimant may submit a demand for arbitration of the claim. The demand must include the amount of damages and the facts and contractual or statutory provisions that form the basis of the claim. [4-61]