Car Accidents and Lawyers to Reduce Stress

Posted on: 7 July 2023

Are you a mechanic who struggles to deal with customers who don't pay their bills? Most states allow mechanics to place liens on property to secure their payment. The lien means you must get paid before the individual can sell their car or trade it in. It also may allow you to keep the car on your lot until the customer pays their bill. Filing a mechanic's lien is the easy part. In most states, it only requires a simple form and proof that the work has gone unpaid. Where many mechanics fail is in maintaining the lien. They find they aren't compensated because they lost their lien rights due to an administrative issue. Below are three mistakes to avoid with your mechanic's liens.

Failure to notify the court or car owner on time.

Every state has different timelines for filing liens. Some states govern mechanic's liens just like they do contractor liens. Other states have specific rules for mechanics. In either case, your state likely has deadlines for which you must file paperwork with the court. This paperwork must usually be completed within one or two months from the project's completion. You also must notify the vehicle owner that you have placed a lien on their car. This can be done through certified mail to their home address. If you cannot go that route, you also may be able to post an ad in the local newspaper to satisfy the notification requirement.

Failure to provide all information.

Most states have a list of required information for liens. Generally, you must describe the work, the vehicle owner's name and address, the work's cost, and the vehicle identification number. Each state may have its own requirements. If you forget to include the required information, the vehicle owner could claim your lien is invalid. And if you've missed the deadline to file a lien at that point, you may be unable to correct the mistake. It's helpful to have a lawyer review your lien so you can make sure all information is included.

You let the lien expire.

Liens don't last forever. In most states, they last several years. At that point, you have to renew the lien for it to continue. Of course, it's easy to forget about a lien over that period of time. You may forget to renew it, so the owner can sell the car without paying you. If you're filing multiple liens, as many mechanics do, it's wise to have a system where you keep track of them and their expiration dates. This is also something a lawyer can help with so you don't inadvertently let liens expire.

Ready to collect your outstanding payments? Talk with a lawyer about setting up a lien program. They can help you set up a system and make sure you get paid for your work.