Rhode Island State Lien Law Summary

All suppliers of materials, labor, and/or rental equipment used in con­struc­tion. Architects and engineers also have lien rights. [34-28-1, 34-28-3.1, 34-28-32.2, 34-28-7] Ap­parently unlimited as to tier. Sup­pliers to suppliers are apparently covered. [34-28-32.2; Myles P. Flaherty Associates, Inc. v. Russo, 685 A.2d 663 (1996)] NOTE that contractors are required to be registered in order to bid on projects or obtain a building permit, and all contractors are required to hire registered contractors and subcontractors. [5-65-3]

All providers of materials and/or labor to the project. [37-12-2] Note, however, that more tiers of claimants may be covered in some circumstances as a claimant may, especially where the claimant’s customer suddenly goes out of business, make a claim against the payment bond following the requirements (or lack thereof) of the private works payment bond. Such a claim is IN THE ALTERNATIVE to a traditional claim on a public works contractor’s bond. [34-28-30; Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I., 2009)]

-Improvement and the land it is upon. If work is done under contract with a tenant, the owner is not liable unless the owner’s written consent to work is obtained in advance. Note also that a lien will cover all retainage earned but not paid. [34-28-1; 34-28-9]

-Contractor’s payment bond, if one is provided. No notices are required prior to bringing suit against such a bond. [34-28-30]

Contractor’s payment bond. Note that the bonding requirement cannot be waived. [37-12-1, 37-2-41; 37-13-14] NOTE that a claimant may, especially where the claimant’s customer suddenly goes out of business, make a claim against the payment bond following the requirements (or lack thereof) of the private works payment bond. Such a claim is IN THE ALTERNATIVE to a traditional claim on a public works contractor’s bond. [34-28-30; Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)] Note that the public body entering the contract will not be liable, even where it fails to obtain a bond. [Accent Store Design, Inc. v. Marathon House, Inc., 674 A.2d 1223

LIEN:

NOTE that all contracts for work on residential projects must contain a notice of the right of rescission, as required in Rhode Island consumer protection laws, and the contractor must also state whether or not all the proper insurances are in effect for each job contracted. [5-65-3; 5-65-24]

NOTICE A: There is now also a special notice required of all contractors who contract directly with the owner, lessee, tenant, or owner of less than the fee simple. Material suppliers are not required to give this notice. NOTE that if this notice is not given, those claiming under the general contractor do not lose their lien rights. The general contractor who fails to give this notice, however, must indemnify and hold harmless the owner, tenant, etc. from the claims of subs and suppliers, unless the owner, tenant, etc. has not paid the general contractor. [34-28-4.1; 5-65-3]

NOTICE B: For residential projects, there is also a notice in the form of a summary of chapter 5-65 that is to be given by the general contractor to the owner. This notice is to be prepared by the contractors’ registration board and given to all registered contractors. [5-65-3]

NOTICE C: All contractors contracting with a property owner. [5-65-18]

BOND: No notice is required for a claim against a payment bond. You will need to obtain a copy of the bond, however, to find out what is the deadline to bring an action to collect on it. [34-28-4; 34-28-30]

A preliminary notice is not required.

LIEN:

NOTE that architects and engineers must file the lien notice (listed below as the final notice) in the land evidence records. [34-28-4; 34-28-7]

NOTICE A: Owner, lessee, tenant or owner of less than the fee simple. Note that having Notice D, below, incorporated conspicuously into the contract will make this notice unnecessary. [34-28-4.1]

NOTICE B: Owner. [5-65-3]

NOTICE C: Owner. This notice may make Notice B, above, unnecessary. [5-65-18]

BOND: Not applicable.

Not applicable.

LIEN:

Note also that for ar­chi­tects and engineers, the “final” notice discussed below must be given before the LATER of 200 days after performance, or 10 days after ac­tual and visual commence­ment of work at the site. [34-28-7]

NOTICE A: Must be either incorporated into the written contract or sent at any time prior to commencing work or delivery of materials. If received later, the general contractor claimant must indemnify the owner, etc. for claims of claimants not in privity with the owner, unless the general contractor has not been paid.[34-28-4.1]

NOTICE B: Delivered when the contractor begins work on the structure. [5-65-3]

NOTICE C: Incorporated into the written contract between owner and a contractor. [5-65-18]

BOND: Not applicable.

Not applicable.

LIEN:

NOTICE A:  Recommend that the contractor include in the contract the date that will be considered the “commencement” of work. [34-28-4.1]. Please contact Levy von Beck and Associates for form information.

NOTICE B: This notice is to be a summary of Chapter 5-65, and is prepared by the contractors’ registration board.  [5-65-3] Please contact Levy von Beck and Associates for form information.

NOTICE C: Statement that the contractor, subcontractors or material suppliers may file a lien in accordance with the Rhode Island Mechanics Lien Act, chapter 28 of title 34. [5-65-18] Please contact Levy von Beck and Associates for form information.

BOND: Not applicable.

Not applicable.

LIEN:

NOTICE A: Incorporated conspicuously into a written contract or sent via certified mail, return receipt requested. [34-28-4.1]

NOTICE B: “Delivered” by the contractor to the owner. [5-65-3]

NOTICE C: Incorporated into the contract between the owner and the contractor. [5-65-18]

BOND: Not applicable.

Not applicable.

An interim notice is not required.

An interim notice is not required.

LIEN:

All claimants. [34-28-4]

BOND:

No notice is required for a claim against a payment bond. You will need to obtain a copy of the bond, however, to find out what is the deadline to bring an action to collect on it. [34-28-4; 34-28-30]

All claimants contracting with a sub but not with the general. [37-12-2] Note that, according to Schor, per case law notice may not be required if the claimant chooses to follow the statutes discussed pertaining to private works bonds (which have been held to apply to public works bonds as well). Nonetheless, it is strongly recommended that notice be given. If none is timely given, then these arguments may be made, but better safe than sorry. [Schor at §40.02[D]]

NOTE that a claimant may, especially where the claimant’s customer suddenly goes out of business, make a claim against the payment bond following the requirements (or lack thereof) of the private works payment bond. Such a claim is IN THE ALTERNATIVE to a claim under this section. [34-28-30; Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)]

LIEN:

To the owner, lessee or tenant, AND to the town clerk, recorder of deeds, or office of records of land evidence. [34-28-4]

BOND:

Not applicable.

General contractor. [37-12-2]

(Note that, especially where the claimant’s customer goes out of business suddenly, a claimant may bring a bond claim following the rules for a claim against a private works bond, in which case no notice is necessary. [Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)])

LIEN:

Within 200 days after claimant last furnishes labor or materi­als, but the lien will only relate back 200 days before filing, so anything furnished earlier than that will not be covered by the lien. It will, however, cover all retainage withheld since the beginning of the work. NOTE also, that where the original notice of intention is returned to claimant as not delivered, claimant must file the notice, along with the original envelope, within 30 days of having the notice returned, and within 200 days of mailing the notice. The notice mailed to the owner needs to precede the filing of the notice, and can precede it by a while, as long as both notices are given within 200 days of all the material or labor that the notice covers. [34-28-4; 34-28-9]

BOND:

Not applicable.

Within 90 days of claimant’s last de­livery. [37-12-2]

(Note that, especially where the claimant’s customer goes out of business suddenly, a claimant may bring a bond claim following the rules for a claim against a private works bond, in which case no notice is necessary. [Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)])

LIEN:

–To the owner, lessee or tenant: Regis­tered or certified mail, return receipt requested. If, however, the owner can­not be found, mail the notice to property address. If it is re­turned unde­livered, file the notice along with returned envelope with records of land evidence, within 30 days of receiving it back. Make sure to keep the return receipt, because if it cannot be proven that the Notice was given via certified mail, the lien will be lost. [34-28-4; Pezzuco Constr., Inc. v. Melrose Assocs., L.P., 764 A.2d 174 (R.I. 2001)]

-To town clerk, recorder of deeds, or office of records of land evidence: filed. [34-28-4]

BOND:

Not applicable.

Certified mail. [37-12-2]

(Note that, especially where the claimant’s customer goes out of business suddenly, a claimant may bring a bond claim following the rules for a claim against a private works bond, in which case no notice is necessary. [Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I. 2009)])

LIEN:

-Notice of Intention to do work or furnish materials, or both

-Statement that claimant may within 200 days file copy of this notice in the records of land evidence in the city or town where the land is located

-Statement that mailing and filing of notice will per­fect lien of claimant and will subject land to lien

-Name and address of owner or lessee, with name and address located in upper left hand corner of notice

-Description of land suffi­cient for identification. This description must be either (1) by metes and bounds description and street address; (2) by the assessor’s plat and lot designation and street address, or (3) by stating the book and page of the mortgage and the street address.

-Description of nature of labor or materials fur­nished or to be furnished, and their approximate value as of date of notice

-Name and address of person to whom labor or materials were fur­nished or to be furnished

-Name and address of person mailing notice

-Name and address of person whose signature will bind claimant on matters regard­ing the notice or lien

-Statement that person mai­ling notice hasn’t been paid for labor or materials furnished

–Statement must be under oath. Neither the statute nor the case law clarifies whether anyone other than the claimant can sign the claim. A notarial acknowledgement does not satisfy the requirement that the statement be under oath. If it is not signed under oath, the lien will be lost, even if there is no prejudice resulting from the lack of oath. [GSM Indus., Inc. v. Grinnell Fire Protection Systems Co., Inc., 47 A.3d 264 (R.I. 2012)]

-Proof of service upon the owner or tenant. Note that the lien claim will cover any retainage earned but not paid. NOTE also, that where the original notice of intention is returned to claimant as not delivered, claimant must file the notice, along with the original envelope, within 30 days of having the notice returned, and within 200 days of mailing the notice. [34-28-4; 34-28-9]

BOND:

Not applicable.

-Amount claimed

-Name of party to whom labor, mate­rials or equipment were fur­nished.

-Neither the statute nor the case law specifies who must sign the notice. [37-12-2]

(Note that, especially where the claimant’s customer goes out of business suddenly, a claimant may bring a bond claim following the rules for a claim against a private works bond, in which case no notice is necessary. [Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)])

LIEN:

Within FORTY (40) days after fil­ing the Notice of Intention. NOTE that the Complaint must be filed on the same day or within 7 days after filing of a lis pendens. (Both the lis pendens and the complaint to enforce the lien must be filed within the 40-day deadline.) There is a recommended statutory form for the lis pendens. [34-28-10] NOTE ALSO that after the Complaint is filed, there is another notice the claimant is ultimately required to mail to each person who has filed a Notice of Intention on that project. At that point, however, there should be local counsel involved, so details of this notice are not set out here. [34-28-14] NOTE that if the owner, lessee or tenant bonds around the lien, or puts up a cash deposit, the claimant must amend the complaint to include the surety or deposit within 60 days of receiving notice of the existence of the bond or deposit. NOTE that if a bond or cash deposit was posted before the lien was filed, then the complaint must be brought against the surety (for a bond) or the clerk of the court (for a cash deposit). [34-28-17]

BOND:

More than 90 days after claimant’s last delivery, but within whatever time frame is specified in the bond itself. [Schor at §40.02[D]]

More than 90 days but less than 2 years after claimant’s last de­livery. If the bond itself provides for a longer time limit, than that will control, so obtain a copy of the bond itself, just to be safe. If the claimant does not give notice, however, and the bond actually provides for a shorter time limit for filing suit, then the claimant will be bound by that shorter time period. Again, it is strongly advised to give the final notice discussed above. [37-12-2, 37-12-5; Schor at §40.02[D]]

(Note that, especially where the claimant’s customer goes out of business suddenly, a claimant may bring a bond claim following the rules for a claim against a private works bond [Air Distribution Corp. v. Airpro Mechanical Co., Inc., 973 A.2d 537 (R.I.,2009)])