Missouri State Lien Law Summary

Laborer or supplier of ma­ter­ial, or lessor or user of equipment or machinery, to owner, general con­tractor or sub. There is no apparent limit on the tiers of subcontractor protected, and apparently suppliers to suppliers will be covered. [429.010; Fruin-Bambrick Const. Co. v. Jones, 60 Mo.App. 1(1894); Western Sash & Door Co. v. Buckner, 80 Mo.App. 95 (1899); Knapp Bros. Mfg. Co. v. Kansas City Stockyards Co. of Missouri, 152 S.W. 119, 168 Mo.App. 146 (App. 1912)] For the lessor of rented machinery or equipment, a lien is only allowed where the project is commercial, the claim exceeds $5,000, and the claimant gives the requisite notices. Also, the lien amount is limited to the reasonable rental value of the machinery or equipment during the period of actual use and any periods of nonuse taken into account in the rental contract, while the equipment is on the property in question. Registered Architects, engineers and surveyors also have lien rights. [429.015]

NOTE ALSO that only materials that are “used in” the property are lienable. To be “used in” the property, the materials must either become a permanent part of the construction, or their use or consumption must be necessary for the completion of the finished structure. Where a supplier supplies acceptable materials (and no labor) that are used and then removed through no fault of the supplier, the supplier will have lien rights. [Bates County Redi-Mix, Inc. v. Windler, 162 S.W.3d 98, (App. W.D. 2005), rehearing and/or transfer denied.] NOTE, how­ever, that when repair­ing or remodeling owner-occu­pied residential prop­erty of 4 units or less, only those parties supply­ing directly to the owner may claim a lien, UNLESS the owner has signed the Con­sent of Owner form agreeing to be respon­sible for debts to subs and sup­pliers. (There is an exception for any person who performs work or provides material without a contract, if ordered by a city, town, etc. having a charter form of government to abate the conditions that caused a structure on the property to be deemed a dangerous building, may have a mechanic’s lien after complying with the notice and other provisions. [67.410, 429.010 et seq; Schor update at §26.09]) NOTE ALSO that any party who has been paid who in­tentionally fails to pay its subs, suppliers or la­borers is guilty of lien fraud, whether or not lien was timely perfected. [4­29.010, 429.0­13, 429.014]

Every person furnishing la­bor or material to general or first-tier subcontractors. Suppliers to suppliers are not covered. [522.300; City of Kansas City, MO ex rel. Lafarge North America Inc. v. Ace Pipe Cleaning, Inc., 349 S.W.3d 399 (Mo.App. W.D.2011); 107.170; Schor at §26.06[C][3]] Prevailing wage claims are allowed against the bond. [Thomas v. A.G. Elec., Inc., 304 S.W.3d 179 (Mo.App. E.D.,2009)]

Building and the land upon which it is situated. (If building is not within a city or village, lien af­fects land to extent of 3 acres. If building is within a town, city or village, the lien is upon the lot or lots or land upon which the building or improvement are situated.) NOTE, HOWEVER, that where the claimant is an engineer, architect or surveyor, and the project is outside a municipality regardless of the size of the project, the lien is limited to 1 acre, regardless of the size of the project, and a judgment must specify which acre is covered. [429.­010; 429.015; Killian Const. Co., Inc. v. Frontier Town-Missouri, Inc., 161 S.W.3d 408 (App. S.D. 2005)]

Contractor’s payment bond. [107.170, 522.300] Note that if a city fails to require a payment bond, the executive officers of the city may be held liable. [Union Pac. RR. Co. v. St. Louis Marketplace, Ltd. Partnership, 212 F.3d 386 (8^th Cir., 2000)]

GENERAL NOTICE:

Anyone (other than architects) contracting directly with the owner. Note that this notice is not required for new residential construction where the buyer has been furnished qualified title insurance protecting against mechanic’s liens. Note also that all other claimants must give the interim notice ten days before filing lien. See sections pertaining to interim notice, below. [429.012, 429.013, 429.100; Schor at §26.17[A][1]; Louis G. Chiodini, Inc. v.Summer Bridge Development Co., 751 S.W.2d 378 (Mo. 1988)]

CONSENT OF OWNER:

Owner of owner-occupied residential property of 4 units or less. [Schor at §26.17[A][2]]

EQUIPMENT OR MACHINERY RENTAL:

All lessors of equipment or machinery to commercial projects where the rental amount exceeds $5,000. [429.010]

NEW CONSTRUCTION OF RESIDENTIAL REAL PROPERTY OF FOUR UNITS OR LESS, WHERE THE UNITS ARE INTENDED TO BE OCCUPIED OR SOLD BY THE CURRENT OWNERS:

A Notice of Rights is to be recorded not less than five calendar days prior to the intended date of closing stated in a notice of intended sale. See the discussion of final notices, below.

There is no statutory provi­sion for any notice, nor any time constraints for filing suit. The claimant will, however, be bound by the terms of the bond itself. It is there­fore recommended that, with­in 30 days of first deliv­ery, claimant obtain a copy of the bond itself, to de­termine its requirements, as the court will uphold them as long as they are reasonable.

Owner [429.012, 429.013, 429.100] (But if owner is out of state and has no agent, or hides to avoid process, may serve the Re­corder of Deeds instead. [429.110])

EQUIPMENT OR MACHINERY RENTAL:

To the property owner. [429.010]

Not applicable.

There are 3 types of pre­liminary notice: one given by any party contracting directly with the owner; one that MAY BE given by an owner, on an owner-occupied residence of 4 units or less; and one that is given by the lessor of equipment or machinery to a commercial project:

GENERAL NOTICE:

given by any party contracting di­rectly with owner, on every project: Must be received prior to receiving any pay­ments, either when exe­cut­ing con­tract, when work is com­menced, when materials are first delivered, or with first in­voice. Please contact Levy von Beck and Associates for form information. [429.­012] THIS NOTICE MUST BE IN 10-POINT BOLD TYPE. [Schor at §26.17[A][1]]

CONSENT OF OWNER:

must be obtained by general con­tractor or other claimant working on the repair, remodel or addition to an owner-occu­pied resi­dential pro­perty of 4 units or less, prior to filing lien. The general contractor should ob­tain a copy of this consent notice, but if the contractor doesn’t, then the clai­mant must obtain it. The general contractor who obtains the notice is re­quired to give a copy of it to each supplier and sub. [429.­013] THIS NOTICE MUST BE IN 10-POINT BOLD TYPE. [Schor at §26.17[A][2]] There is also a notice, which must be received just before a lien can be filed. See Interim Notice sec­tions, below.

EQUIPMENT OR MACHINERY RENTAL:

Notice must be received within fifteen business days of the commencement of the use of the rental equipment or machinery. [429.010]

Not applicable.

GENERAL NOTICE:

Please contact Levy von Beck and Associates for form information. No specific person’s signature is required, nor is the form required to be verified. [42­9.012] NOTE – THIS NOTICE MUST BE IN 10-POINT BOLD TYPE.

CONSENT OF OWNER:

Please contact Levy von Beck and Associates for form information. [429.013] NOTE – THIS NOTICE MUST BE IN 10-POINT BOLD TYPE.

EQUIPMENT OR MACHINERY RENTAL:

Notice that rental machinery or equipment is being used upon the owner’s property, and must also identify the name of the entity that rented the machinery or equipment, and the machinery or equipment being rented. (Until September 28, 2013, the notice must also include the rental rate.) [429.010]

Not applicable.

GENERAL NOTICE:

No spe­cific provision-Personal service is recommended, as the notice is to be provided either at the time of the execution of the contract, when the materials are delivered, when the work is commenced, or delivered with first invoice. The owner must receive the notice. [429.012]

CONSENT OF OWNER:

No spe­cific provision. Pe­rsonal service advised to ensure signature is ob­tained. [429­.013]

EQUIPMENT OR MACHINERY RENTAL:

No spe­cific provision – “provided to” the owner. Recommend using a method that ensures timely delivery. [429.010]

Not applicable.

All claimants except the original contractor. [429.­100] NOTE, however, that this notice is not required on a project involving newly constructed residential real property of four units or less, intended to be either occupied or sold by the owner. In that case, if the claimant records a notice of rights, then this interim notice is not required. [429.016]

An interim notice is not required.

-Statement that claimant holds a claim against buil­ding or im­provement

-Amount due

-Person from whom amount is due. [429.100]

Not applicable.

Notice must be received at least ten days prior to filing lien. [429.­100; Schor at §26.17[A][2]]

Not applicable.

Every claimant. [429.080; 429.016]

PROJECTS INVOLVING NEWLY CONSTRUCTED RESIDENTIAL REAL PROPERTY OF FOUR UNITS OR LESS, INTENDED TO BE EITHER OCCUPIED OR SOLD BY THE OWNER:

These projects have special rules, and require an additional notice. Where the property is intended to be sold, if the owner records and posts a notice of intended sale, then the claimant is required to record a notice of rights on the property, discussed below. (The claimant can also request a copy of the notice, and must timely provide one to his or her subs and suppliers upon request.) If, however, the claimant is accurately identified in a previously recorded notice of rights on that property then the claimant is not required to record his or her own notice of rights. A separate notice must be given for each parcel or lot, though one notice can be given for multiple lots in the same subdivision if there is common ownership of the lots, or if the claimant began working prior to the platting or subdivision of the lots. Note that the notice of rights is in addition to the lien notice. [429.016]

There is no statutory provi­sion for any notices, or any time constraints for filing suit. The terms of the bond itself may, however, require notice, and these requirements must be followed. It is there­fore recommended that, with­in 30 days of first deliv­ery, claimant obtain a copy of the bond itself, to de­termine its requirements, as the court will uphold them as long as they are reasonable.

ALL PROJECTS:

Clerk of circuit court in the county where the property is located. [42­9.080]

PROJECTS INVOLVING NEWLY CONSTRUCTED RESIDENTIAL REAL PROPERTY OF FOUR UNITS OR LESS, INTENDED TO BE EITHER OCCUPIED OR SOLD BY THE OWNER:

In addition to filing a lien notice as discussed above, the notice of rights is to be recorded with the Recorder of Deeds for the county in which the property is located. A separate notice must be recorded for each lot or parcel on which the claimant furnishes labor or materials. [429.016]

Not applicable.

ALL PROJECTS:

For everyone except the lessor of rental equipment or machinery, filed within 6 months after in­debtedness accrues. This has been interpreted to mean within 6 months after claimant’s last delivery or last day of work. [Midwest Floor Co. v. Miceli Development Co., 304 S.W.3d 243 (Mo. App.E.D.2009); Schor at §26.17[C].] For rental equipment or machinery, notice must be filed within sixty (60) days after the date the last of the rental equipment or machinery was last removed from the property. [429.080]

PROJECTS INVOLVING NEWLY CONSTRUCTED RESIDENTIAL REAL PROPERTY OF FOUR UNITS OR LESS, INTENDED TO BE EITHER OCCUPIED OR SOLD BY THE OWNER:

The lien notice is to be given as described above. The notice of rights is to be recorded not less than five calendar days prior to the intended date of closing stated in a notice of intended sale. If the last day to record the notice of rights fall on a Saturday, Sunday or holiday, then it must be recorded not later than the next day that the recorders office is open. If the notice is recorded after the owner’s conveyance of the property to a bona fide purchaser for value, the claimant will lose his or her lien rights. [429.016]

Not applicable.

Filed (lien) or recorded (notice of rights). [429.080, 429.016]

Not applicable.

ALL PROJECTS:

-A just and true account of the demand due to the claimant, after all just cred­its have been given; ATTACH COPIES OF INVOICES, even if you also attached a copy to the prelien. NOTE, HOWEVER, that a general contractor, as opposed to a subcontractor, is not required to itemize his or her statement of account. It MAY be sufficient for a subcontractor to state the amount due and describe the nature of the materials furnished, but it is safest to attach an itemized statement of account. [Schott Elec. Distribs., Inc. v. Mac Elec., Inc., 998 S.W.2d 566 (Mo. Ct. App. 1999); Coomes v. Slater Development Corp., 36 S.W.3d 412, (Mo. Ct. App. 2001); Bolivar Insulation Company d/b/a A-1 Insulation and Materials Co. v. Bella Pointe Development, L.L.C., 166 S.W.3d 610 (Mo. Ct. App. 2005)] A claimant may include the work performed by his or her subcontractors in his or her claim. [Midwest Floor Co. v. Miceli Development Co., 304 S.W.3d 243 (Mo.App.E.D.,2009)] NOTE ALSO that a lien for leasing rental machinery or equipment is only allowed where the project is commercial, the claim exceeds $5,000, and the claimant gives the requisite notices. Also, the lien amount is ultimately limited to the reasonable rental value of the machinery or equipment during the period of actual use and any periods of nonuse taken into account in the rental contract, while the equipment is on the property in question. [429.010])

-Description of property sufficient for identifi­cation (NOTE, however, that where the claimant is an engineer, architect or surveyor, and the project is outside a municipality regardless of the size of the project, the lien is limited to 1 acre, regardless of the size of the project, and a judgment must specify which acre is covered. [429.­010; 429.015; Killian Const. Co., Inc. v. Frontier Town-Missouri, Inc., 161 S.W.3d 408 (App. S.D. 2005)])

-Name of owner

-Name of contractor

-Where improvement consists of two or more buildings on same lot or separate build­ings upon adjacent lots, it is not necessary to file separate liens for each building

-Claim must have a verification statement, verified by the claimant or some credible person on the claimant’s behalf. Neither the statute nor the case law discusses who is a “credible person on the claimant’s behalf.

-COPY OF THE SIGNED CONSENT OF OWNER FORM (Please contact Levy von Beck and Associates for form information.). [429.080, 429.040, 4­29.013; Schor update at §26.06[C][2] case law re: invoices.]

-Name of claimant

-Name of person with whom the claimant contracts

-Description of the improvement itself

-Basis of the claim (e.g., labor or materials)

-Date of the notice

-Claimant’s signature. [Schor at §26.13, and §§26.13[A]-[D]]

FOR NEWLY CONSTRUCTED RESIDENTIAL REAL PROPERTY INTENDED FOR SALE ONLY, THE FOLLOWING INFORMATION MUST ALSO BE INCLUDED IN THE LIEN NOTICE, AND SATISIFIES THE ‘JUST AND TRUE ACCOUNT’ REQUIREMENT FOR THE LIEN:

-A photocopy of the file-stamped notice of rights and any renewals of notice of rights recorded by or identifying claimant;

-The name and address of the person or entity which claimant contracted with to perform work on the property;

-A copy of any contract or contracts, purchase order or orders, or proposal or proposals, hereinafter collectively referred to as agreements, and any agreed change orders or modifications to such agreement or agreements under which claimant performed its work on the property;

-In the absence of any written agreement or agreements, a general description of the scope of work agreed to be performed by claimant on the property and the basis for payment for such work as agreed to by claimant and the contracting party;

-All invoices submitted by claimant for its work on the property;

-An accurate statement of account which shows all payments or credits against amounts otherwise due to claimant for the work performed on the property and the calculation or basis for the amount claimed by claimant in its mechanic’s lien statement; and

-The last date that claimant performed any work or labor upon, or provided any materials or equipment to, the property;

-The claimant shall attach a file-stamped copy of his or her notice of rights to claimant’s mechanic’s lien statement if and when filed with the circuit clerk under section 429.080. [429.016]

PROJECTS INVOLVING NEWLY CONSTRUCTED RESIDENTIAL REAL PROPERTY OF FOUR UNITS OR LESS, INTENDED TO BE EITHER OCCUPIED OR SOLD BY THE OWNER:

The lien is to be as described above. The notice of rights must include the date; the identity of the property owner and the claimant; the legal description of the property; the name, address and telephone number of the person or entity with whom the plaintiff contracted; and the claimant may identify any persons or entities who have or will be performing work or supplying materials on behalf of the claimant. The form must be signed by a person authorized to execute it, and the signature must be notarized and printed legibly or typed immediately below the signature. Please contact Levy von Beck and Associates for form information. [429.016]

Not applicable.

Within 6 months after filing lien. [429.170] Note, however, that if the owner or general contractor files for bankruptcy, it may toll the 6-month time limit. [Sachs Elec. Co. v. HS Const. Co., 86 S.W.3d 445 (Mo.App. E.D., 2002)] Note that where the claimant’s contract is not with the general contractor, the general contractor is not a necessary party to a mechanic’s lien foreclosure action. The party with whom the claimant contracts, however, is a necessary party in a lien foreclosure action. [Lee Deering Elec. Co. v. Pernikoff Const. Co., 247 S.W.3d 577 (Mo.App.E.D.2008); Iowa Steel & Wire Co., Inc. v. Sheffield Steel, 227 S.W.3d 549 (Mo.App.W.D. 2007)] Note also that where a claimant has a breach of contract claim but does not have a mechanic’s lien, the claimant does not need to join its claim with other claimants’ mechanic’s lien action. [George Weis Co. v. Stratum Design-Build, Inc., 227 S.W.3d 486 (Mo. 2007)] Note that where change-orders are created solely for the purpose of extending lien rights, they will be ineffective. The additional work is essentially a separate contract. The parties cannot extend the filing deadline by agreement, not can a contractor perform additional work simply to extend or revive a mechanic’s lien. This rule may not apply, though, where the owner requests additional work NOT for the purpose of extending the filing deadline. [Manning Const. Co., Inc. v. MCI Partners, LLC, 419 S.W.3d 134 (Mo.App.2013)]

No specific provision, but suit on the bond is allowed. The claimant has the right to sue on the bond in the name of the state, county, city, town, township, school or road district, for the claimant’s use and benefit. As part of the suit, the claimant must file a copy of the bond, cer­tified by the party in charge of the bond. There is apparently a 10-year statute of limitations for bringing suit, and apparently that time cannot be reduced, even by the terms of the bond. (There is an argument for a 5-year statute of limitations, but apparently the 10-year limit is generally followed.) NOTE, HOWEVER, that if the surety notifies the claimant in writing that the claimant must commence a suit against the contractor, the claimant must do so within 30 days after receiving the notice, and must pursue the action with due diligence to judgment and execution. If the claimant fails to do so, the surety will not be liable to the claimant. [522.300; Schor at §26.05]